Real Property- Land Conveyance

Front 1

Real estate process steps

Back 1

1. the land contract, which endures until

2. the closing, where the deed becomes operative document

Front 2

Statute of Frauds standard for land contract

Back 2

1. a writing

2. signed by the buyer,

3. must describe blackacre

4. must state some consideration

Front 3

Whent hthe amount of the land recited in the land contract is more than the actual size of the parcel, what is B's remedy?

Back 3

specific perforamnce with a pro rata reduction in price

Front 4

Statute of Frauds Exception for land sale contracts

Back 4

The doctrine of part performacne: if two of the folowing:

 

1) possession; 

2) B pays all or party of the price; AND/OR

 

3) B makes substantial improvement

Front 5

Once the contract is signed ____ owns the land.

Back 5

B, Buyer owns tha land subjec tot condition he pay purchase price at closing.

Front 6

If in the interim between contract and closing, Blackacre is destroyed through no fault of either party

Back 6

B bears teh risk of loss, unless the contract says otherwise. In equity we view it as a buyer's land an dthis is buyer's loss.

Front 7

In NY, if in the interim between contract and closing, Blackacre is destroyed through no fault of either party

Back 7

So long as buyer is without fault, the risk of loss remains with seller until buyer has title or takes possession.

Front 8

Implicit promises in every land contract

Back 8

Seller promises:

1) marketable title

2) not to make any false statemetns of material fact

Front 9

The standard for marketable title

Back 9

Title must be free from:

 

1. reasonable doubt,

2. lawsuits and

3. the threat of litigation

Front 10

Circumstances that render title unmarketable

Back 10

1. Adverse Posession

2. Encumbrances

3. Zoning Violations

Front 11

Adverse possession makes title unmarketable

Back 11

even when part of teh title rests on adverse possession

 

seller must be able to provide good recordable title.

Front 12

Encumberances make title unmarketable

Back 12

If there is not an unencumberred fee simple,

 

thus servitudes and mortgages render title unmarketable UNLESS

 

buyer has waived them.

Front 13

In what scanrio does a mortgage not render title unmarketable

Back 13

when the parties understand that the clsoing will result in the mortgage being satisfied and discharged because seller has a right to satisfy an outstanding mortgage or lien wat the closign with proceeds of sale.

Front 14

Zonign violations make title unamrketable

Back 14

when the land violates a zoning ordinance

Front 15

In addition to false statements of material fact, the majorty of states also hold sellers liable for

Back 15

1. failure to disclose

2. latent material defects

3. material lies and ommissions

Front 16

Can a seller be excused from liability where there is a general disclaimer of liability?

Back 16

Not for fraud or failure to disclose.

Front 17

Under common law, what is the implied warranty of habitability in the land contract?

Back 17

None.

 

Caveate emptor

Front 18

What is the implied warranty in the sale of a new home?

Back 18

IF by a builder vendor:

 

The implied warranty of fitness and workmanlike construction.

Front 19

How does the deed pass legal title from seller to buyer?

Back 19

L.E.A.D.

 

It is lawfully executed and delivered.

Front 20

Standard for lawful execution of a deed

Back 20

The deed nee dnot recite consdieration nor must consideration pass to maek a deed valid.

Front 21

For lawful execution of a deed, what description of land is necessary

Back 21

an unambiguous description that if researched could know the meaning.

Front 22

When is dleivery of a deed satisfied?

Back 22

When grantor phsyically transfers the deed to the grantee.

 

Although phsyical transfer of the instrument itself is not necessary.

Front 23

What is the standard for delivery of deed?

Back 23

a legal standard that requires solely present intent.

 

Whether the grantor had a present intent to be bound irrespective of whether or not the deed itself was handed over.

Front 24

What are permissible methods of delivery for a deed?

Back 24

mail

agent

messanger

escrow

Front 25

What effect if a recipent expressly rejects deed?

Back 25

It defeats delivery.

Front 26

What effect of an oral condition upon transfer of a deed, absolute on its face?

Back 26

The condition is void.

Front 27

Types of Deeds

Back 27

1. Quitclaim (the worst)

2. Epeical Warranty Deed

3. General Warranty (the best)

Front 28

Quticlaim deed covenants

Back 28

It contains no covenants.

 

Grantor does not promise he has title to convey.

Front 29

Special Warranty Deed covenants

Back 29

Contains two promises, grantor makes only on behalf of HIMSELF:

 

1. grantor promises he hasn't conveyed this estate to anyone other than grnatee

 

2. the estate is free from encumbrances made by grantor

Front 30

In NY, special warranty deed is called

Back 30

bargain and sale deed.

Front 31

General Warranty Deed Covenants

Back 31

1. Present Covenants

a) covenants of seisin

b) covenant of right to convey

c) covenant of encumbrances

2. Future Covenants

d) covenant for quiet enjoyment

e) covenant of warranty

f) covenant for fruther assurances

Front 32

When are present covenants breached?

Back 32

If at all, at the time of DELIVERY

 

SOL runs from delivery date

Front 33

Covenant of Seisin

Back 33

Grantor owns the estate and promises he owns teh estate he is transferring to grantee.

Front 34

Covenant of Right to Convey

Back 34

Grantor has the power to transfer. There are no temporary retraints or disabilities.

 

The grantor is under no disability to sell (i.e. sound mind, requisite age)

Front 35

Covenant against Encumbrances

Back 35

There are no servitudes or mortgages on the property.

Front 36

When are future covenants breached?

Back 36

If at all, not until grantee is distrubed and in possession of the land.

 

SOL runs from date of distrubance/possession

Front 37

Covenant for quiet enjoyment

Back 37

Grantee won't be disturbed in possesssion by a third party lawful claim of title.

Front 38

Covenant of warranty

Back 38

Grantor will defend grantee gainst lawful title claims asserted by others.

Front 39

Covenant for further assurances

Back 39

Grantor will do whatever is needed to perfect the title

Front 40

Under the doctrine of equitable conversion, equity regards the buyer of land as __________.

Back 40

owning the real property as soon as the contract is signed.

Front 41

Absent an agreement to the contrary, if neither the buyer nor the seller of land tenders performance on the closing date:

Back 41

The closing date is extended indefinitely until one tenders performance

Front 42

Who generally will be entitled to specific performance of a real estate contract?

Back 42

Both the buyer and the seller

Front 43

A title insurance policy owned by the mortgagee protects:

Back 43

The mortgagee only

Front 44

What type of damages may not be recovered for breach of a real estate contract?

Back 44

The fair market value of the land

Front 45

In title insurance, an owner's policy protects __________.

Back 45

only the person who owns the policy

Front 46

Under the doctrine of equitable conversion, if improvements on realty are destroyed without fault before the closing date:

Back 46

The risk of lss is on the buyer