Exam 14: Methods of Transfer and Conveyance in Real Estate

What document do most title companies require when a corporation is selling property to another?

Title insurance endorsements can provide coverage for boundary disputes.

The consideration clause in a deed:

Which of the following types of deeds guarantees title only for the time the grantor held it?

Assume the following sequence of events: Day 1 - O conveys to A (bfp) Day 2 - O conveys to B Day 3 - B records Day 4 - O conveys to C (bfp) Day 5 - A records Day 6 - C records Under a pure race statute, who has title?

Which of the following title issues would not be covered under a standard title policy?

David and Veronica Allen bought land in Independence, Missouri, during 1994 for $22,000. In January 1998, they listed it for sale with a broker, Chuck Zuvers, asking $88,000. The property remained on the market until May 1999, when Thomas C. Scott contracted to buy it for $90,000. Scott signed the sales contract as "Thomas C. Scott, or assigns" because he was organizing Scott, Hewitt & Mize as a limited liability company and wanted the land deeded to the firm. At closing, and following Scott's instruction, the Allens deeded the property to "Scott, Hewitt & Mize, LLC." Although Scott and his partners had filed articles of organization for Scott, Hewitt & Mize with the Secretary of State before closing, the Secretary of State rejected the articles because of errors contained in them. Scott corrected the errors, and the Secretary of State issued a certificate of organization to Scott, Hewitt & Mize nine days after closing. -The deed was recorded under the LLC's name, but the LLC did not exist. Which of the following statements is correct?

The term "hostile" in adverse possession requires proof of some underlying dispute between the parties.

Explain why we need priority statutes for title to property.

Which of the following types of deeds gives the warranty of quiet enjoyment?

A bargain and sale deed is the same as a special warranty deed.

The words of conveyance clause in a deed is referred to as the premises clause.

If two persons have title to property, both must sign a deed of conveyance to the property.

Intervivos gifts, to be valid, must be delivered.

In a notice jurisdiction, the first party to record takes title.

In a race-notice jurisdiction, the first bona fide purchaser to record takes title.

Jane and Richard Cohen, a married couple, own a mini-storage facility as joint tenants. Richard made a contract to sell the property to U-Store-It, a national mini-storage company. Richard only signed the contract and also the deed. U-Store-It recorded the deed. Which of the following is accurate?

Somerset Savings Bank agreed to finance a 72-unit condominium project, and Chicago Title issued a policy for Somerset's $9.5 million mortgage. After the title policy was issued, the city of Revere, Massachusetts, refused to issue a permit for the project because of issues with existing zoning laws, including a railroad right-of-way through the property. Somerset was left with a $9.5 million mortgage on condominiums that would never be built. Somerset brought suit against Chicago Title for its failure to note the zoning issue. Which of the following statements is correct?

Day 1 − Grantor transfers title to A Day 2 − Grantor transfers title to the same property to B Day 3 − Grantor transfers title to the same property to C (bfp) Day 4 − B records the deed from the grantor Day 5 − Grantor transfers title to D Day 6 − C records Day 7 − D records -Under a pure race state, who takes title to the property?

The deed must contain a recital of the purchase price paid.