Transfer of Real Property

Nuncupative will

An oral will spoken by a terminally ill person before two witnesses.

Administrator

A person appointed by the court to carry out the instructions in a will when no executor has been named, or to manage and distribute an estate when no will exists

Constructive notice

A person is presumed to have constructive notice (legal notice) of something when they should have learned about it through reasonable diligence or an inspection of the public record.

Intestate

A person who dies without leaving a will dies intestate

Legatee

A person who receives bequeathed property

Devisee

A person who receives devised property

perfecting title

An adverse possessor's interest is not recorded, so they must take additional steps to obtain marketable title.

Accession

Any addition to real property from natural or artificial causes, can result in involuntary alienation. -Includes accretion, reliction, avulsion

Extended coverage

-A mortgagee's policy, protecting the lender, is almost always an extended coverage policy. -Insures against any defects not in the public record, such as rights of adverse possessors, unrecorded mechanic's liens, and encroachments. -Also includes a survey of the property to ascertain boundary lines.

Warranty deed

-Also called "general warranty" deed. -Most common type of deed in WA. -Offers greatest protection for a real estate buyer. -The grantor warrants against all defects in title that arose before or during the grantor's period of ownership. -Covenant of right to convey, which states that the grantor has title to an interest in the property or authority to transfer title. -Covenant of seisin, good faith belief in one's ownership -Covenant against encumbrances -Covenant of quiet enjoyment -Covenant of warranty

Homeowner's coverage

-Available for residential property with up to four units. -It covers most of the same title problems an extended coverage policy does, plus some additional ones.

Quitclaim deed

-Contains no warranties of any sort and unlike a warranty deed, it does not convey after acquired title. -Compared with other deeds, a quitclaim deed creates the least liability for the grantor -Conveys only the interest the grantor has when the deed is delivered. -It conveys nothing at all if the grantor has no interest at the time -The primary reason for using a quitclaim deed is to cure clouds on title. -A quitclaim deed may also be known as a reformation deed

Special warrant deed

-Contains the same warranties made in a general warranty deed but it limits the grantor's warranties to the period during which the grantor owned the property. -The grantor makes no assurances about earlier defects -Most commonly used by corporations which may not have the authority to make greater warranties.

Deed requirements

-In writing (WA statue of frauds) -Identify the parties -Signed by competent grantor or attorney in fact (given by power of attorney document) -Grantee only has to be alive and identifiable, not legally competent (ex. an infant can receive title) -Must contain words of conveyance, such as "grant" or "convey" -Description of the property (legal description isn't required but SHOULD be always used) -Acknowledgement (occurs when the grantor swears before a notary public or other official witness that their signature is genuine and voluntary), delivery, and acceptance -Grantee does NOT sign deed, the date of conveyance is usually included although not required -Habendum clause, exclusions and reservations clause and recital of consideration are not essential but sometimes included

Standard coverage

-Insures against defects in title, including hidden risks such as forgery, an improperly delivered deed, or a lack of capacity by a party to a transaction. -Does not insure against defects known to the owner but not disclosed to the title insurer, the rights of an adverse possessor, encroachments, or other problems that would be discovered only by inspection of the property.

Quiet title

-Is a court procedure to remove a cloud on title when the cloud cannot be cleared amicably with a quitclaim deed. -The court decides questions of property ownership and he result is a binding determination of who owns what

Deed

-Most common form of voluntary alienation. -The grantor (current owner) transfer title to the grantee (prospective owner) with a deed. -The act is called a conveyance of title. The deed provides evidence of the change in title.

Heirs

-Persons who receive property by court order through the intestate succession process. -Heirs take title by descent and distribution, rather than by bequest or devise.

Alienation

-Process of transferring ownership of real property from one party to another. -Voluntary and involuntary.

Dedication

-When private property is given to the public. -May be involuntary, and voluntary.

Chain of title

A complete history of recorded interests in a property. -Allows the buyer's attorney to make a more informed decision as to the quality of the title, but it does not guarantee title or even insure against losses due to title defects

Abstract of title

A condensed history of the recorded interests.

Habendum clause

A deed generally includes a "to have and to hold" clause which states the nature of the interest the grantor is conveying (such as a fee simple or life estate)

Premium

A title insurance premium is paid once, at closing.

Wills

A will is a persons stipulation regarding how their estate should be disposed of after death. -Must be in writing -Must be signed -Must be witnessed by two competent individuals

Suit for Partition

Court procedure for dividing co-owned property when the co-owners cannot agree how to divide it

covenant of seisin

Gives the assurance that the grantor has the exact estate in the quantity and quality which is being conveyed. "I own and I have the right to sell it."

Inverse condemnation

If a property owner feels that their property has been taken or damaged by a public entity, the owner may file an inverse condemnation action to force the government to pay the fair market value of the property

Escheat

If the private court cannot locate any heirs or beneficiaries, the property of the person dying intestate will pass back to the state according to the laws of escheat. -State is the ultimate heir when there are no lawful heirs or beneficiaries -Abandoned property also passes to the state through escheat

Avulsion

Occurs when land is torn away by flowing water and deposited elsewhere, or when land is exposed by a sudden change in a watercourse (such as when a river that acts as a boundary between two properties changes its direction after massive flooding) -Avulsion usually does not alter the ownership of the changed piece of land

Testator

One who makes a will

Executor

Person appointed by the testator to carry out the instructions in a will

Foreclosure actions

Persons holding liens against real property may bring a foreclosure lawsuit to force the sale of the property if the the debts secured by their liens are not paid.

Probate

Procedure to prove a will's validity.

Adverse Possession (five basic requirements)

Process by which the possession and use of property can mature into title -Actual possession: occupation and use of the property in a manner appropriate to the type of property (adverse possessor does not have to reside on the property unless it is a residential property -Open and notorious: Possession of the land must be conspicious -Hostile to the interests of the true owner: exists when the adverse possessor uses the property the same way as an owner would use it -Exclusive: The adverse possessor must have exclusive possession of the property the true owner must be excluded from possession -Continuous and uninterrupted: In Wa, the possession must be continuous and uninterrupted for 10 years -Only 7 years if the possessor has color of title (an invalid deed and a good faith belief that they own the property and pays taxes on the parcel.

Title Insurance

Protects against losses resulting from undiscovered title defects. -Title insurance provides only financial protections (indemnification), not a guaranty of marketable title

Mortgagee's policy

Protects the security interest of the buyer's lender, also called the lender's policy. -The amount of financial protection for the lender will decrease as the mortgage balance decreases.

Owner's Policy

Protects the title of the home buyer (new owner)

Involuntary Alienation

Refers to the ways real property can be conveyed by operation of law, without any voluntary action by the owner.

Condemnation

The government has the constitutional power to take private property for public use as long as it pays just compensations to the owner of the condemned property. -The governments power to condemn (take) property is called the power of eminent domain -For eminent domain to be exercised, the use must be public use and the owner must receive just compensation -May be exercised by any government entity, and also by some semi-public entities (ex. Utility companies)

Intestate Succession

The law provides for the distribution of the property of someone who has died intestate.

Government action

Title insurance policies do not protect property owners from losses that result from government action, such as condemnation or zoning changes.

Patent

Title to land passes from the government to a private party by a document.

Bequeath

To transfer personal property by will

Devise

To transfer real property by will

Reliction

When a body of water gradually retreats, the new exposed soil belongs to the landowner

Voluntary Alienation

When property is transferred by its owner by a 1. Patent 2. Deed

Accretion

When riparian or littoral land is enlarged by waterborne soil, and the owner acquires title to the added soil

Holographic will

a will written entirely in the testator's handwriting, which may be valid even if not witnessed.