Real Estate Terms to Know!!!

Grant deed

Conveys the grantor's title by use of a granting clause. The grantor makes no express warranties of title, but a grant deed carries implied warranties that the grant's interest has not already been conveyed and that neither the grantor nor anyone who might claim title from the grantor has placed any encumbrance, such as a tax lien, on the property.

Quitclaim Deed

Provides the grantee with the least protection of any deed. With a quitclaim deed, the grantor makes no claim to any ownership interest in the described real estate but conveys whatever interest the grantor may own, if any.

Recording

The safest way of ensuring that one's title to property is unquestioned is by recording the deed that conveys the property.

Acknowledgement

To be recorded in the county recorder's office or other repository of title information, most states require that a deed contain an acknowledgment of the grantor's signature. Usually, this is accomplished by the stamp (or seal) and signature of a notary public, judge, justice of the peace, court clerk, or other person provided by law.

Warranty Deed

Warrants expressly that the grantor has good title. With the prevalence of title insurance to protect the buyer in the event that the title turns out not to be good, this form of deed is becoming less common in most states. In some areas of the country, the grant deed has replaced the warranty deed as the most popular form of conveyance.

Tax Deed

When property is sold by the county tax collector for nonpayment of taxes, the successful purchaser receives a tax deed. The quality of the title conveyed by a tax deed varies from state to state according to statutory provisions.

Reconveyance Deed

When the truster under a deed of trust has repaid the underlying debt in full, it is the duty of the beneficiary to notify the trustee so that the property can be deeded back to the truster by means of a reconveyance deed.

equitable estoppel

(a common-law theory meant to prevent unjust enrichment) prohibits a refusal to make the transfer. Equitable estoppel also prevents fraud or misrepresentation by the present owner of property.

Escheat

California law presumes that every person who dies has an heir who could take title to the decedent's property. Sometimes, however, it is impossible to locate an heir. The attorney general acts on behalf of the state to bring a claim against the estate and, if no claimant comes forward within five years, title to the property vests in the state.

A Bargin and Sale Deed

Contains no warranties against encumbrances; it only implies that the grantor holds title and possession of the property. Thus, the grantee has little legal recourse if defects later appear in the title. In some areas, the bargain and sale deed is used in foreclosures and tax sales, in which case the buyer would presumably purchase title insurance for protection.

The narrative report

gives the client the facts about the property and the reasoning the appraiser used to develop the final opinion of value.

Recording

important because it serves as notice to the world of the transfer of title. The deed must be recorded in the appropriate office in the county where the property is located.

The Trust Deed

or deed of trust, has already been described as a form of instrument used to hypothecate real estate as security for a debt. The trustor (owner) transfers title to the trustee (impartial third party) to hold for the benefit of the beneficiary (lender) in the event that the trustor defaults before the underlying debt is repaid.

A Sheriff's Deed

which contains no warranties, is given to the purchaser of property at a court-ordered sale.