Flashcards in chapter 12 Deck (39)
when does the transfer of title occur?
1. voluntary 2. involuntary 3. will 4. descent
what are the two meaning for title?
1. title to real estate means the right to ownership or actual ownership of the land
2. title is way referring to ownership its is note actual printed doc. the doc by which the owner transfer the title to another is deed. the deed must be recored to give public notice of the new owner
what is voluntary alienation?
is legal term for ht voluntary transfer of title. the transfer by making gift or selling the property
what is a deed?
is written doc by which owner or dal estate intentionally convey the right, title or interest in a parcel of real estate to someone else. the statue fraud requires that all deed be in writing
who is the person giving the title?
who is the person is receiving the title?
what are the 8 requirements for valid deed?
3. recital of consideration
4. granting clause
5. accurate legal decryption the property conveyed
6. any relevant exception or reservation
7. signature of the grantor
8. delivery of the deed and acceptance
what is habendum clause?
difine ownership by the grantee. sometime begins with the words to have and to hold. I provision must agree with those stated in the granting clause. is there is discrepancy, the granting clause prevails.
what are the requirements for the grantor for the deed?
1. must be lawful age at least 18
2. must be sound mind
3. the grantor name must be spelled correctly and consistently through out the deed
what is requirement for the grantee?
1. a deed must name the grantee
what is consideration for the deed?
1. must contain a clause acknowledging that the grantor has received consideration. Generally the amount
2. when a deed conveys as a gift may be sufficient consideration, most states, it is customary to recite at least a normal consideration such as $10 and other good and valuable
what is the granting clause?
1. a deed must contain a granting clause that states grantor's name intention to convey the property. depending on the type of deed and the obligation agreed to by the grantor
what is legal description of real estate?
1. valid deed must specifically not any encumbrance, that would affect the title being conveyed
what is signature of grantor?
a deed must be signed by all grantors named in the deed. some states require witness also
some states permit an attorney- in fact to sign for grantor. this must act under a power of attorney
Many state still require a seal but not in IL
what is acknowledgment or notarization?
is formal declaration that the person who signs a written doc does so voluntary and that her signature a genuine
is acknowledge require in IL
No, unless the deed is it introduce as evidence
what is delivery and acceptance?
a title is not considered transferred until the deed is actually delivered to and accepted by the grantee. the deed may be delivered by one's self or by a third party, commonly known as settlement agent or escrow agent, will deliver the deed to the grantee as soon as requirement are met
what is execution of corporate deeds basic rules?
1. corp can convey real estate only by authority granted in its laws or upon resolution passed by it board of directors. if all or substantial portion of a corp real estate is being conveyed, a resolution authorizing the sale must usually be secured from the shareholders
2. the deed to corp real estate can be signed only by the authorizing officer
what is general warranty deed?
this provides the greatest protection of any deed. the grantor is legally bound by certain covenants or warranties. in most states, the warranties are implied by the use of creation words specified by statue
what are basic warranties?
1. covenant of seisen: ownership of the property and has to convey title
2. covenant against encumbrances
3. covenant of quite enjoyment
4. covenant of further assurance: the grantor promises to obtain and deliver any instrument needed to make the title good
what is special warranty deed?
1. warranty that the grantor received title
2. warranty the property was not encumbrance during the time the grantor held the title
what is bargain and sale deed?
contains no express warranties against encumbrances. it does however, imply that grantor holds title and possession of the property
what is quitclaim deed?
provides the grantee the least protection for any deed. it carries no covenants or warranties convey whatever interest the grantor may have wen the deed is delivered, if the grantor has no interest the grantee will acquire nothing
what is deed in trust?
means by the a truster conveys real estate to a trustee convey real estate held in the trust for the beneficiary
what is trustee's deed?
a deed executed by a trustee. it is used when a trustee conveys real estate held in the trust to the beneficiary. the trustee's deed must state that the trustee is executing the instrument in accordance with peers and authority granted by the trust instrument
What is the rate for transfer tax stamp in IL?
real estate transfer act imposes a tax on conveying title to real estate in the amount of 0.50 per 500 and in all IL counties, there is an additional transfer tax of 0.25 per 500. total transfer tax to state and county combined is 0.75 per 500 or fraction?
where does the money go to from transfer tax stamps?
fifty percent of the state tax collected is deposited into the IL affordable housing trust fund, 35% is deposited into the open space and land acquisition and development fun and remain 15 percent goes into to the natural area acquisition fund.
who pay for the transfer tax stamps?
generally, the seller pays.
what is local transfer tax?
many local municipalities have their own tax as well, charts indicating these local transfer tax amounts are available from counties and individual municipalities