There is an implied covenant in every land sale contract that, at closing, the seller will provide the buyer with marketable title. Easements are generally considered encumbrances that render title unmarketable; so if an easement is not provided for in the contract, it usually renders the seller’s title unmarketable.
Q. What kind of notice does Recording give?
1. C Explanation: Recording an instrument provides constructive notice to the public of the interest set forth in the recorded instrument. 2. A Explanation: A corporate seal may be added where a corporation is grantor, in order to indicate that the person who signed had authority to sign on behalf of the corporation.
Table of Contents
- Q. What kind of notice does Recording give?
- Q. Which statement best explains why instruments affecting real estate are recorded?
- Q. What is an encumbrance on a property title?
- Q. Does lis pendens title cloud?
- Q. What is considered a title defect?
- Q. What does a dirty title mean?
- Q. Is it safe to buy property without title?
- Q. What’s the difference between a clean and rebuilt title?
- Q. What makes a title not clean?
Q. Which statement best explains why instruments affecting real estate are recorded?
Which statement BEST explains why instruments affecting real estate are recorded? Recording gives constructive notice to the world of the rights and interests claimed in the identical parcel of real estate. You just studied 30 terms!
Q. What is an encumbrance on a property title?
An encumbrance is a claim against a property by a party that is not the owner. An encumbrance can impact the transferability of the property and restrict its free use until the encumbrance is lifted. The most common types of encumbrance apply to real estate; these include mortgages, easements, and property tax liens.
Q. Does lis pendens title cloud?
The recording of a lis pendens creates a “cloud on title” which notifies interested parties of the pending claims against the subject property. The presence of a recorded lis pendens can make it nearly impossible to finance, refinance or sell the subject property until the lis pendens has been removed.
Q. What is considered a title defect?
A defective title is a title that is impaired with a lien, mortgage, judgment, or another claim. Defective titles are considered unmarketable, so the asset in question cannot be transferred or sold. Any encumbrances on a defective title must be cleared before the owner can sell their asset.
Q. What does a dirty title mean?
A clean title proves that you are the sole owner of your land and no other outside party can make any legal claims against you in regards to ownership. On the other hand, a dirty title means there is a cloud of uncertainty or discredit hanging over the ownership of your land.
Q. Is it safe to buy property without title?
Again, it’s safe to buy a property even if it has no Title (Land Title) for the reason it has not been titled yet and has only Tax Declaration.
Q. What’s the difference between a clean and rebuilt title?
Some states have rebuilt titles, indicating the car used to have a salvage title but has since been rebuilt. It’s issued a rebuilt title instead of a clean title to prevent you from paying more for the car than what it’s worth. Once a car is issued a rebuilt title, it won’t ever be issued a clean title again.
Q. What makes a title not clean?
A clean title means that the car title has not been branded. In the section for brands on the title, it will be empty. That doesn’t necessarily mean the car is free of problems, only that it has never been declared a total loss by an insurance company or found to be flood or fire damaged.
