Chapter 9 Titles deeds and ownership restrictions

Gives the government the right to take land from an owner through a legal process referred to as condemnation as long as the taking is for public purpose. the government must pay a fair price for any land taken under eminent domain. Form of involuntary alienation

Eminent domain

The 3 most important subcategories of public, or governmental limitations on ownership of real property are

Eminent domain, Police power, Taxation.

the unauthorized use of another property. For example, a fence or garage located beyond a legitimate boundary without the owner's consent is an infringement or intrusion on property

Encroachment

Reversion of property to the state when an owner dies (intestate) without leaving a will or any known heirs. a practical solution to ensure the property is always owned by someone. In many states this power extends to personal property as well as to real property

Escheat (to the state)

(one of 3 unique covenants in the Gen. warranty deed ) Guarantees the grantor will sign and deliver any legal instrument that might be required to make a title good in the future

Further assurance

The three covenants of the general warranty deed are

Further assurance, Quiet enjoyment, Warranty forever.

A__ __ may affect all properties of a debtor. They include the following: judgment, income tax (IRS),and estate tax liens

General lien

sometimes called the full covenant and warranty deed, provides the most comprehensive guarantee and contains three unique covenants

General warranty deed

A lease where a tenant pays fixed rent is called

Gross lease

The five common types of leases

Gross lease, Ground lease, Net lease, Percentage lease, Variable lease

Long-term lease and the land. Tenant may direct a building

Ground lease

Provision in a deed that stipulates the estate or interest the grantee is to receive, & the type of title conveyed. Starts with the Latin phrase to have and to hold, & usually the word forever follows if the estate is fee simple, or the words (for the life of the grantee) if it is a life estate

Habendum clause

____ policy, is transferable and protects for the balance of the mortgage loan. is issued for the unpaid mortgage amount the lenders policy or mortgagee policy. protects the lender against title defects

Lender's (mortgagee)

A right or legal interest given to a creditor or a unit of Government to have a debt satisfied out of some specific property belonging to debtor.

Lien

A pending legal action or

Lis pendens

When a tenant pays fix rent plus building expenses

Net lease

____ policy is issued for the total purchase price of the property. helps to protect the new owner or the owner's heirs against unexpected risks such as, forged deed signatures, and damages for any defect in the title. NOT TRANSFERABLE. protects for the purchase price of the property

Owner's

the two types of title insurance

Owners, Lenders

Rent based on the gross sales of tenant

Percentage lease

Lease agreements

-Gross lease -net lease -percentage lease -variable lease -ground lease

The two parties to a deed are

1-the grantor (owner giving title). 2-The grantee (new owner receiving title) the deed must be signed by a competent grantor, and witnessed by two people. the grantee does not sign the deed

A summary report of what the title search found in the public record.

Abstract title

Formal declaration before an authorized official, by the person who executed the instrument, that it is a free act

Acknowledgment

Direct knowledge acquired during a transaction. Assume that a seller discloses orally to the buyer that there is a construction lien on his home for an unpaid pool repair job. The seller has given the buyer actual notice that there is a lien on the property

Actual notice

Arises when the true owner of record fails to maintain possession and the property is seized by another.

Adverse possession

examples of Involuntary alienation

Adverse possession, Eminent domain, Descent, Escheat,

The act of transferring ownership title, or an interest in real property from one person to another.

Alienation

Occurs when a tenant assigns to another all of the leased property for the remainder of the lease. A written instrument that seves to transfer the rights or interests from one person to another

Assignment

Transfers title with limited warranties made of title to, or use of the property. Usually consists of the granting clause, habendum clause, & covenant of seisin. grantor doesn't covenant or warrant to defend the title against any future claims or attacks on title. Used when out-of-state property owner wants to sell several parcels of land through a Fla real estate auctioneer

Bargain and sale deed

The four types of statutory deeds

Bargain and sale, General warranty, Special warranty, Quick claim

Recipient of a gift of personal property

Beneficiary

A gift of personal property

Bequest

complete successive record of a property's ownership beginning with the earliest owner. title may pass to many individuals. Each owner is linked to the next so that a chain is formed. a chain of title can be traced through linking conveyances from the present owner back to the earliest recorded owner

Chain of title

When an owner is declared legally incompetent or is committed to an institution a committee is often appointed by the court to administer the affairs of the incompetent

Committees deed

Specific liens include

Construction liens, Mortgage, Property tax, Special assessment, Vendor

Is accomplished by recording the information in the public record. when a pool company records a construction lien on the property for the unpaid repair job, it gives the world _____ notice of the lien

Constructive notice

Guarantee or promise that the property is free from liens or other encumbrances except as noted in the deed

Covenant against encumbrances

Lien priority of most liens is

Date and time a lien was recorded in the public records. However, property tax liens and special assessment liens take priority over all other liens (including IRS liens) regardless of date

A written instrument that conveys title to real property, it is an instrument of conveyance whereby title to real property is transferred from one party to another.

Deed

Private restrictions on ownership & private limitations on ownership of real property usually include

Deed restrictions, Easements, Leases, Liens

Occurs when a person dies without leaving a will (intestate) and the property descends to the legal descendants (heirs)

Descent

A gift of real property

Devise

Recipient of a gift of property

Devisee

Allows an owner the use of a neighbors property, such as the right to cross parcel A to reach parcel B

Easement appurtenant

Allows an owner the use of the neighbors property, such as the right to cross parcel A to reach parcel B

Easement appurtenant

Consideration, Execution, Description of property, Delivery and acceptance, Interest or estate being conveyed, Names of grantee and grantor, Granting and other appropriate clauses are the

Elements of a deed

I'll Courtnay authorize creation of an _____ to allow property owners to enter and exit there landlocked property

Easement by necessity

Utility easements are ___ _ __ .It allows the utility company to access the land to trim trees,work on a light pole and so forth to continue to the equipment

Easement in gross

Utility easements are:

Easement in gross

A right to use a portion of an owners land for a specific purpose. does not convey ownership

Easements

The ___ __ _ _ __, names the parties to the deed and the date of the deed. the premises contains the granting clause with the words used to convey the property, the habendum clause, indicates the type of estate being conveyed. And seisin clause

Premises section of a deed

Deed by which the grantor conveyes any present interest,claim or title to real property to the grantee . The grantor makes no warranties about the quality or extent of the title. This form of deed is useful for clearing existing or potential clouds on the title

Quitclaim deed

This power was specifically limited to the various states by the U.S. Constitution. Citizens pay for the benefits and protection provided by the various levels of government. Property is usually the primary basis for local taxation. Local taxing authorities can foreclose on real property for nonpayment of taxes

Right of property taxation

A promise that the grantor has the legal right to convey title (in the premises section of a deed)

Seisin clause

Deed where the grantor does not warrant the title or assume any responsibility for the title. except against acts by the grantor or his representative. grantor guarantees that nothing has been done to encumber or cloud the title during the grantors ownership. type of deed most large corporations use when selling property,& by lenders who have foreclosed on & have taken title to property.

Special warranty deed

indicates the decedent (deceased person) prepared a will before death. conveyance of property according to a last will and testament is voluntary alienation.

Testate

Person conveying property according to a last will and testament (person leaving the will)

Testator

A contract that protects the policy holder from losses arising from the facts in the title. Florida law does not require ___ ___

Title insurance

An examination of all of the public records to determine whether any defects exist in the chain of title.

Title search

Intestate

To die without leaving a will

Specific lienAffects only a particular property. T or F

True

Rent will change. graduated at set times. tied to an index

Variable lease

Is accomplished using a deed or will.

Voluntary alienation

Adverse possession

When the true owner of record fails to maintain possession, and the property seized by another. If the true owner sleeps on his rights and does not use the legal means available to remove all hostile trespassers, the owner will lose the right to the property after a period of time.

A legal instrument used to convey title to real and personal property after the person's death.

Will