ch 3 finance RE

Covenant in a general warrantee deed include: Multiple select question. - Covenant of no fraud - Covenant of quiet enjoyment - Covenant of seizin - Covenant against encumbrances - Covenant of good quality

- Covenant of quiet enjoyment - Covenant of seizin - Covenant against encumbrances

Which clause in a deed defines or limits the interest being conveyed? A. Words of conveyance B. Delivery C. Exceptions and reservations D. Habendum

-Habendum

Which of these property interests are likely to include an implied easement of access? Multiple select question. - Coal rights - Timber rights - Oil rights - Right to a view - Right to erect a power line

Coal rights Timber rights Oil rights Right to erect a power line

The general warranty deed is considered the highest quality deed because it : a. is the only deed that can convey title. B. affirms that the grantor is financially sound. C. is the only deed that always conveys good title. D. has the most covenants.

D. HAS THE MOST COVENANTS

Against which of these risks is a property owner protected by title insurance? Multiple choice question. a. Missing signature on a prior deed b. Eminent domain c. Changing waterfront boundaries d. Zoning changes e. Damaging effects of mineral extraction

Missing signature on a prior deed

Which kind of deed makes it certain that the grantee actually receives the interest intended to be conveyed? Multiple choice question. a. General warranty deed b. Special warranty deed c. Deed of bargain and sale d. No deed can provide such certainty

No deed can provide such certainty

For a deed, identify the requirements of the grantor. SELECT ALL THAT APPLY: - Of legal majority age - Signature required - Legally competent - Citizen of the property country

Of legal majority age Signature required Legally competent

Required conditions for successful acquisition of a prescriptive easement include that use must be Multiple select question. - "open and notorious." - advertised in a local newspaper. - hostile to the owner's interests. - continuous.

"open and notorious.", hostile to the owner's interests. continuous.

Which of these are required elements of a deed? Multiple select question: - Signature of the grantee - Signature of the grantor - Words of conveyance - Acknowledgment - Correct format

- Signature of the grantor - Words of conveyance - Acknowledgment

Covenants in a deed are important because they Multiple select question. - ensures that the property is encumbered liens and easement. - bind the grantor to legal promises about title. - assure that the grantee will receive title. - enable the grantee to sue for damages for misrepresentations about title.

- bind the grantor to legal promises about title. - enable the grantee to sue for damages for misrepresentations about title.

A quitclaim deed commonly would be used for Multiple select question. - conveying property to a lender as security for a loan. - conveying a marketable title. - adding a spouse to a property title. - clearing a conflicting claim to title.

- clearing a conflicting claim to title. - adding a spouse to a property title.

The quitclaim deed Multiple select question. - conveys whatever interest the grantor holds. - is mainly a quick way of conveying title. - Includes no promises about the interest that the grantor holds.. - can convey the same property interest as a general warranty deed.

- conveys whatever interest the grantor holds. - Includes no promises about the interest that the grantor holds.. - can convey the same property interest as a general warranty deed.

The quitclaim deed Multiple select question. - is mainly a quick way of conveying title. - conveys whatever interest the grantor holds. - Includes no promises about the interest that the grantor holds.. - can convey the same property interest as a general warranty deed.

- conveys whatever interest the grantor holds. - Includes no promises about the interest that the grantor holds.. - can convey the same property interest as a general warranty deed.

Easements where no deed is involved include: Multiple select question. - easement by estoppel. - easement by prior use. - easement of necessity. - highway right-of-way easement

- easement by estoppel. - easement by prior use. - easement of necessity.

Easements where no deed is involved include: Multiple select question. - highway right-of-way easement - easement by prior use. - easement by estoppel. - easement of necessity.

- easement by prior use. - easement by estoppel. - easement of necessity.

Marketable title laws Multiple select question. - generally restrict required title search to the years following root of title. - can cause restrictions or easements in deeds from before the root of title to disappear. - Reduce the importance of actual notice. - are being eliminated by states because they add risk to title search - define a "root of title," as the last conveyance of the property that is at least a certain number of years old.

- generally restrict required title search to the years following root of title. - can cause restrictions or easements in deeds from before the root of title to disappear. - define a "root of title," as the last conveyance of the property that is at least a certain number of years old.

Reasons that the conveyance of real estate is uniquely complicated include that: - real estate rights are long enduring - real estate interests are complex - real estate is very valuable - real estate is highly regulated - real estate must be described on a continuous surface

- real estate rights are long enduring - real estate interests are complex - real estate must be described on a continuous surface

Covenants in a deed are important because they:

-bind the grantor to legal promises about title. -enable the grantee to sue for damages for misrepresentations about title.

The conveyance of real estate is uniquely complicated because : Select more than 1: - real property interests are complex. - government regulation of real estate can change. - real estate records tend to disappear. - real property interests have a long history. - real estate must be described on a continuous surface.

-real property interests are complex. - real property interests have a long history. - real estate must be described on a continuous surface.

For which of these legal threats would an owner be covered through title insurance, but generally not through an abstract with attorney's opinion? Multiple select question. - A successful lawsuit claiming title - A fraudulent deed - A failed legal challenge to title - Local government lowering the maximum residential density on the land

A successful lawsuit claiming title A fraudulent deed A failed legal challenge to title

Which of these events can affect the chain of title for real estate? Multiple select question. Deeds five-year lease Marriages Estate settlements Foreclosures

Deeds Marriages Estate settlements Foreclosures

In a deed the habendum clause: Multiple choice question. a. Names the grantee b. Imposes any restrictions sought by the grantor c. Promises that the grantor has title d. Defines the interest being conveyed

Defines the interest being conveyed

Which of the conveyances of a real property interest listed below probably would be detected only by actual notice? Multiple select question. - Mortgage - Easement by estoppel - Marital ownership claim by a - former spouse of the owner - Prescriptive easement

Easement by estoppel Prescriptive easement

Which of these risks is not mitigated by either of the main forms of evidence of title, title abstract with attorney's opinion or title insurance commitment? Multiple choice question. a. Erroneous land description b. Fraudulent deed c. Undetected claim of dower rights d. Undetected lien e. Facts discoverable by inspection of the property

Facts discoverable by inspection of the property

Which two of these modes of title conveyance are most prone to unresolved title conflicts? Multiple select question. - Probate - Foreclosure - Condemnation - Bankruptcy - Divorce

Foreclosure Bankruptcy

Which of these statements best characterizes the doctrine of constructive notice? Multiple choice question. a. If people are explicitly advised of a claim it is enforceable. b. If people know about a claim it is enforceable. c. If people are given legal notice of a claim it is enforceable. d. If it is possible to know about a claim it is enforceable.

If it is possible to know about a claim it is enforceable.

Property tax ID numbers and street addresses can never be sufficient as real property descriptions because: Multiple choice question. a. They are a point rather than a boundary description b. They frequently have errors c. Streets and roads may change d. They may repeat from one community to another

They are a point rather than a boundary description

For real property the best definition of title is Multiple choice question. a. the ownership claim of a person holding a certificate of title. b. the claim of whoever holds the last deed related to a property. c. a collection of documents and other evidence pointing to some person(s) or entity has holding a valid certificate of title. d. a collection of documents and other evidence pointing to some person(s) or entity as holding the fee, or titled, interest.

a collection of documents and other evidence pointing to some person(s) or entity as holding the fee, or titled, interest.

Two conveyances of real property that likely would be revealed only by actual notice are Multiple select question. - adverse possession. - an implied easement of access. - conveyance through probate. - an easement in gross related to oil rights.

adverse possession. an implied easement of access.

To establish title for real property the most important considerations are Multiple select question. - all recorded evidence. - actual notice. - only recorded deeds to the property. - property tax records of the property.

all recorded evidence. actual notice.

The primary means of satisfying the doctrine of constructive notice is by recording Multiple choice question. a. all documents in a real estate transaction. b. any document that might be disputed. c. any document related to a real estate sale d. any document conveying a real property interest.

any document conveying a real property interest.

The fundamental requirement for a land description is to be Multiple choice question. a. universally applicable. b. practical and inexpensive. c. permanently unambiguous. d. simple.

c. permanently unambiguous.

Covenants in a deed assure that the grantor Multiple choice question. a. will inform the grantor of any doubt about good title. b. can be sued for failing to deliver good title. c. will deliver good title. d. will take the property back in case of title problems.

can be sued for failing to deliver good title.

The covenant in a deed that promises the grantor actually holds title is the: Multiple choice question. a. covenant of seizin. b. covenant of ownership. c. covenant of no encumbrances. d. covenant of quiet enjoyment.

covenant of seizin.

A titled interest (rather than an easement) in real property can be conveyed intentionally, but without a deed, through Multiple choice question. a. necessity. b. estoppel. c. prior use. d. dedication.

dedication

In a title search examining public records, which of these is most likely to be discovered? Multiple choice question. a. Easement by estoppel b. Dedication c. Implied easement d. Easement by necessity

dedication

The primary document used to convey permanent interests in real property is a : Multiple choice question. a. deed b. sales contract c. lease d. mortgage

deed

Under the Statute of Frauds, which of these must be in writing to be enforceable? Multiple choice question. a. Deed b. Monthly lease c. Contract to buy a car d. Contract for moving services

deed

Which of these modes of title conveyance is most likely to cause conflicts or "clouds" to title? Multiple choice question. a. Condemnation b. Patent c. Probate d. Divorce settlement e. Foreclosure

foreclosure

The description of land by subdivision plat lot and block number Multiple choice question. a. rarely has useful information for a property buyer other than the parcel boundaries. b. is applicable to all urban property. c. cannot be use outside of cities. d. is the simplest form of description for most property owners to interpret.

is the simplest form of description for most property owners to interpret.

Under the Statute of Frauds which of these must be in writing to be enforceable? Multiple select question. - Property management contract - Monthly rental agreement - Ten-year lease - Mortgage

leases longer than a year, mortgages

The order of steps from first to last in creating a chain of title are:

locate, evaluate, reconstruct, identify

The type of deed with no covenants, explicit or implied, is the Multiple choice question. a. general warranty deed. b. quitclaim deed. c. limited warranty deed. d. deed of bargain and sale.

quitclaim deed.

The purpose of marketable title laws is to: Multiple choice question. a. shorten the time span of title search b. eliminate old easements and restrictive covenants c. root out faulty documents from the records d. limit the life span of recorded documents

shorten the time span of title search

The general warranty deed imposes the highest financial responsibility of any deed for the grantor to have good title. This is because the deed has Multiple choice question. a. the fewest covenants. b. covenants plus posted performance bond. c. acknowledgment or witnesses. d. the maximum number of covenants.

the maximum number of covenants.