Real Estate Class Chapter 5

Front 1

abstract of title

Back 1

The condensed history of a title to a particular parcel of real estate, consisting of a summary of the original grant and all subsequent conveyances and encumbrances affecting the property and a certification by the abstract her that the history is complete and accurate.

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Action to quiet title

Back 2

A lawsuit brought in a court having jurisdiction over property disputes in order to establish a party's title to real property or personal property having a title of against anyone and everyone and thus "quiet" any challenges or claims to the title

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Adverse possession

Back 3

The open, continuous, exclusive, adverse, notorious, possession of another's land under a claim of title. Position for a statutory period of 20 years in North Carolina may be a means of acquiring title

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Alienation

Back 4

The act of transferring property to another. Alienation may be voluntary, such as by gift or sale, or involuntary, as through eminent domain or adverse possession.

Front 5

ALTA policy

Back 5

A type of title insurance policy which affords all of the protections of a standard policy plus additional protection to cover risks that may be discovered only through inspection of the property.

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Bargain and Sale Deed

Back 6

Adda carries with it no warranties against liens or other encumbrances but that does imply that the grantor has the right to convey title. The grantor may add warranties to the deed at his discretion.

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Chain of title

Back 7

The succession of title conveyances, from some accepted starting point, whereby the present holder of real property derives title.

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Cloud on the title

Back 8

Any document, claim, unreleased lien, or encumbrances that may impair the title to real property or make the title doubtful; usually revealed by a title search and removed by either a quit claim deed or suit to quiet title.

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Condemnation

Back 9

A judicial or an administrative proceeding to exercise the power of eminent domain, through which a government agency takes private property for public use and justly compensates the owner.

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the Connor act

Back 10

A North Carolina law that requires many types of real estate documents to be recorded for protection against claims from third parties. These documents include deeds, mortgages, purchase contracts, installment land contracts, assignments, options, leases exceeding 3 years, easements, and restrictive covenants. A pure race statute.

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Constructive notice

Back 11

The notice given to the world by recorded documents. All people are charged with knowledge of such documents and their contents, whether or not they have actually examine them. Possession of property is also considered constructive notice that the persons in possession has an interest in the property.

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Covenant

Back 12

A written agreement between two or more parties in which a party or parties pledge to perform or not perform specified acts with regard to property. Usually found in such real estate documents as deeds, mortgages, leases, and contracts for deed.

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Deed

Back 13

A written instrument that, when executed and delivered, conveys title to or interest in real estate. Evidence of title.

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Delivery and acceptance

Back 14

The actual delivery of a deed by grantor and the actual or implied acceptance of the deed by the grantee. Recordation of the deed is viewed as acceptance.

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Eminent domain

Back 15

The right of a government or municipal quasi-public body to acquire property for public use to a court action called condemnation, in which the court decides that the use is a public use and determines fair compensation to be paid to the owner.

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escheat

Back 16

The reversion of property to the state, as provided by state law, in cases where a descendant dies intestate without heirs capable of inheriting or when the property is abandoned.

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Excise tax

Back 17

Deed transfer tax paid by the seller and required to be noted on a deed by state law. The rate is $1 per $500 of sale price.

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General warranty deed

Back 18

A deed in which the grantor fully warrants good clear title to the premises through four covenants in the deed . Used in most real estate deed transfers, a general warranty deed offers the greatest protection to the grantee of any deed.

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Grantee

Back 19

A person who receives a conveyance of real property from a grantor.

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Granting clause

Back 20

Words in a deed of conveyance that state the Grand Tours intention to convey the property at the present time. This clause is generally worded as convey and warrant, grant, bargain and sale, or the like.

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Grantor

Back 21

1 the property owner that is transferring title to or an interest in real property to a grantee.
To a borrower in a deed of trust loan transaction, also called trustor.

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Interstate

Back 22

The condition of the property owner who dies without leaving a valid will. Title to the property will pass to the descendants heirs as provided in the state law of descent.

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Marketable title

Back 23

A good or clear title, reasonably free from the risk of litigation over possible defects.

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Marketable title act

Back 24

The act is designed to eliminate obsolete defects in a chain of title. If a chain of title can be tracked back for 30 years without a problem, it becomes a marketable title.

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North Carolina intestate succession act

Back 25

The state law of descent that dictates distribution of the real and personal property of the deceased that died without a will.

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Quit claim deed

Back 26

A conveyance by which the grantor transfers interest in the real estate, if any, without warranties or obligations. Frequently used to remove clouds on the title.

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Recording

Back 27

The act of entering or recording documents into the public record at the recorder's office established in each county. Until recorded, a deed or mortgage ordinarily is not effective against third parties, such as subsequent purchasers or mortgagees.

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Special warranty deed

Back 28

A deed in which the grantor only warrants, or guarantees, the title against defects arising during the period of the Grantors tenure and ownership of the property and not against defects existing before that time, generally using the language by, through or under the grantor but not otherwise.

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Title

Back 29

1 the right to or ownership of land.
2 the evidence of ownership of land.

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Title insurance

Back 30

A policy insuring the owner and or mortgagee against loss by reason of defects in the title to a parcel of real estate, other than encumbrances, defects, and matters specifically excluded by the policy.

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Title search

Back 31

The search of public records to determine the current state of ownership of real estate. Examining chain of title.

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Will

Back 32

A written document, properly witnessed, providing for the transfer of title to property owned by the deceased.