Ch. 8 Principal Instruments of Transfer

Habendum

- consideration - granting clause - habendum clause - designation of any limitations - exceptions and reservations

Why Record a deed?

- not required 1. Establishes priority 2. Provides constructive record 3. Transfer of title to real property is conveyed by deed which it is delivered and accepted by the grantee

Testimonium

- signature of grantor - delivery by the grantor and acceptance by the grantee - dated by the recorder of deeds, not a erquirement

5 Covenants contain in general warranty deed

1. Covenant of Seisin 2. Covenaant of Quiet Enjoyment 3, Covenant Against Encumbrances 4. Covenant of Further Assurance 5. Covenant of a Warranty Forever

4 basic deeds in real estate

1. General Warranty Deed 2. Special Warranty Deed 3. Bargain and Sale Deed 4. Quit Claim

Trustee's Deed

A deed executed by a trustee conveying land held in a trust.

Special Warranty Deed

A deed in which the grantor warrants, or guarantees, the title only against defects arising during the period of his or her tenure and ownership of the property and not against defects existing before that time, generally using the language, "by, through, or under the grantor but not otherwise."

Bargain and Sale Deed

A deed that carries with it no warranties against liens or other encumbrances but that does imply that the grantor has the right to convey title. The grantor may add warranties to the deed at his or her discretion

Quitclaim Deed

A deed to relinquish any interest in property which the grantor may have, without any warranty of title or interest.

Tax Deed

A deed used to convey title to property sold by the government for nonpayment of taxes.

manual delivery

A direct transfer of the deed from the grantor to the grantee.

Covenant of Seisin

A promise in a deed assuring the grantee that the grantor has the title being conveyed.

Covenant of Further Assurance

A promise that the grantor will perform further acts reasonably necessary to correct any defects in the title or in the deed instrument.

Parol Evidence Rule

A substantive rule of contracts under which a court will not receive into evidence the parties' prior negotiations, prior agreements, or contemporaneous oral agreements if that evidence contradicts or varies the terms of the parties' written contract.

The Gift Deed

A transfer of ownership made for love and affection. Creditors of the donor could still use the property for payment of the grantor's debts if it can be shown that the donor was insolvent and transferred the property to evade creditors.

Grant Deed

A type of deed used in some states which contains limited warranties. The grantor usually also provides title insurance. CA

Notarized deeds

Although it doesn't have to be recorded to be valid, if you want to record it, it must be notarized. The person must go before a notary public and ACKNOWLEDGE that the signing of the deed was a voluntary act. The signature of the notary is called the Attestation.

General Warranty Deed

Contains covenants in which the grantor formally guarantees that good and marketable title is being conveyed. Highest deed - 5 covenants.

Quiet Title Lawsuit

Correcting defect on title and removing cloud.

Actual Notice

Express information or fact; that which is known; direct knowledge.

Principal of laches

Legal doctrine used to bar a claim asserted after the passing of a statutory period of time.

Constructive notice

Notice given to the world by recorded documents. All people are charged with knowledge of such documents and their contents, whether or not they have actually examined them. Possession of property is also considered constructive notice that the person in possession has an interest in the property.

delivery through recording

The act of putting the title of record in the grantee's name at the county recorder's office.

Covenant of a Warranty Forever

The grantor promises to compensate the grantee for the loss sustained if the title fails at any time in the future.

equitable title

The interest held by a vendee under a contract for deed or an installment contract; the equitable right to obtain absolute ownership to property when legal title is held in another's name. in CA within 1 week

Land Patent

The legal documents that transferred land ownership from the U.S. Government to individuals.

Conditional delivery

Transfer of documents and funds to escrow agent or settlement officer to be held until the transaction is closed, at which time they are transferred to the designated party

Court-Ordered Deeds

Used when an officer of the court needs to convey title

livery of seisin

When you sell the entire bundle of rights "I own it and I have the right to sell it."

Covenant against encumbrances

a promise that the property is not encumbered with liens, easements, or other such limitations except as noted in the deed

Covenant of Quiet Enjoyment

a promise that the property will not be claimed by someone with a better claim to title

Statue of Frauds

a state law that requires that certain contracts be in writing

Habendum Clause

defines ownership taken by the grantee "TO HAVE AND TO HOLD"

Sheriff's Deed

document given to purchaser of foreclosed property CA

Deed

evidence of the title a document that transfer ownership from grantor to grantee

Premise

grantor, grantee, accurate legal description

Caveat emptor

let the buyer beware

3 Requirements for Valid Deed

premise Habendum Testimoniom

Grantee

purchaser or receiver

Alienation

right and evidence of ownership of the land

Grantor

the seller or the giver of the real estate

feoffment

total relinquishment and transfer of all rights of ownership in land from one individual to another.

Granding Clause

words of conveyance