Chapter 12 - Title & Recording Documents Flashcards Preview

National License > Chapter 12 - Title & Recording Documents > Flashcards

Flashcards in Chapter 12 - Title & Recording Documents Deck (33)
Loading flashcards...
1
Q

What is title

A

ownership - right to ownership

Title is all bundle of rights

2
Q

Deed

What does it transfer

A

the document
used to convey title
Deed is used to transfer real property
Bill of sale is used to transfer personal property

3
Q

Requirements for valid deed

A

Grantor - giver (legal age and sound mind), must sign

Grantee
- doesn’t need to sign, be of legal age or identified

Consideration - anything of value

Granting Clause - to grate title to someone

Habendum Clause (to have and to hold)

4
Q

Habendum Clause

A

to have and to hold

5
Q

Deed to be valid

A

Property description (legal)
Exceptions and reservations if any
Signature of all grantors
Delivery & Acceptance - make attempt to get it to grantee

6
Q

Recording Documents (public records)

A

Doesn’t have to be done
IF you don’t record, you can’t sell
Recording provides CONSTRUCTIVE NOTICE and establishes whos in line first for ownership or liens
Notarized signatures are required

7
Q

What are the 4 types of deeds to convey title?

A

1) general warranty deed
2) Special deed
3) Bargain & sales Deed
4) quit claim deed

8
Q

General warranty deed

A

most common, strongest rights for owner

  • covenant of seisin: ‘i’m owner with right to sell’
  • covenant of quiet engoyment
  • against encumbrances
  • further assurance: you do whatever it takes to make sure grantee has no title problems
  • warranty forever
9
Q

Special Warranty Deed

A

Like general but warranty only covers time the property was owned by grantor

10
Q

Bargain and Sale Deed

A

Doesn’t include warranties as to the title (small town deed- buyers trust the sellers)

11
Q

Quit Claim Deed

A

makes no promises, a release deed - used to clear a cloud on title or correct error

12
Q

Non-voluntary deeps

A

against owners will

  • tax deed
  • sheriffs deed
  • trustees deed = given upon foreclosure of sale
13
Q

Quiet Title Suit

A

claims title when there is a cloud, if one owner is unlocatable, quiet title relinquishes the rights of that person

14
Q

severalty

A

ownership by one person or corp

15
Q

Tenants in common

A

Condominium owners
ownership by 2 or more people (can be equal or not)
- Each person can sell or will portion
- If parties can’t agree - can file partition suit

16
Q

Joint Tenants

A

Unity of ownership by FOUR unities
1 time - everyone takes title at same time
2 title - all parties are on same title on deed
3 interest - all parties have EQUAL interest
4 possession - all have undivided interest in whole party

17
Q

right of survivorship

A

in a joint tenant, the remaining tenants are considered owners in severalty

18
Q

Tenants by entirety

A

HUSBAND AND WIFE
Can’t sue the other
Right of survivorship

19
Q

cOMMUNITY pROPERTY

A

derived by spanish law
property before marriage remains to single person
property purchased during is both

20
Q

Alliodial System

A

private ownership in US

21
Q

Difference between condo and co-op / cooperative

A

Condominium - ownership of real estate

Cooperative - ownership of stock in a co-op

22
Q

Cooperative

A

Co-op owns property in severalty (corporation)

  • you buy stock and get a lease
  • have to have securities license to sell since it’s stock
  • if co-op doesn’t make mortgage or tax payments, it could be foreclosed on and members can lose
23
Q

Condo

A

Fee simple owenership of units (interior)
Common ground owned with others
You can be foreclosed on without impact of other owners
Master deed or declaration is recorded
HOA exists
Both residental and commerical condos exist

24
Q

WILLS - how is property transferred

A

Testator - person who dies and leaves will
Testate - dying and have will
Intestate - dying without will
Devise - to give real property
Bequest - to give personal property
Descent - to die intestate and court creates will

25
Q

Salable

A

means the TITLE is free from defects and people want it

26
Q

Marketable Title

A

Good or clear title free from risk of litigation / salable

27
Q

Ways to prove marketable title

A
  • Abstract of title: contains histroy
  • Certificate of title: statement of opinion by title company
  • Title insurance - insurance pays off if there is litigation. The beneficiary will then subrogate
28
Q

Subrogate

A

giving up of yoru rights

29
Q

schedule of exceptions

A

what isn’t covered on title insurance policy

known issues with title

30
Q

cloud on title

A

means there are unclear issues with title

31
Q

REIT

A

REAL ESTATE INVESTMENT TRUST
syndicate - uses a trust form of ownership for favorable tax advantages
takes securities license to sell

32
Q

syndicate

A

group of investors purchase real estate

33
Q

Recommend your client to a __________ for title issues

A

attorney