Real Estate License Transfer of Property 2 — Questions and Answers
Question 1: A deed that provides the greatest protection to the buyer by warranting against all defects in title, even those arising before the grantor owned the property, is called a:
- General warranty deed (Correct answer)
- Special warranty deed
- Quitclaim deed
- Bargain and sale deed
Correct answer: General warranty deed
A general warranty deed warrants title against all defects, including those predating the grantor's ownership.
Question 2: Which type of deed contains no warranties and simply transfers whatever interest the grantor may have, if any?
- General warranty deed
- Special warranty deed
- Quitclaim deed (Correct answer)
- Grant deed
Correct answer: Quitclaim deed
A quitclaim deed conveys only the grantor's interest, if any, with no warranties of title.
Question 3: For a deed to be valid, which of the following is essential?
- Recording at the county
- Acknowledgment by a notary
- Delivery and acceptance (Correct answer)
- Payment of consideration in cash
Correct answer: Delivery and acceptance
A deed must be delivered by the grantor and accepted by the grantee to transfer title.
Question 4: The person who conveys real property by deed is known as the:
- Grantee
- Grantor (Correct answer)
- Devisee
- Vendee
Correct answer: Grantor
The grantor is the party transferring ownership; the grantee receives it.
Question 5: A special warranty deed warrants the title against defects:
- For all time, including before the grantor's ownership
- Only arising during the grantor's period of ownership (Correct answer)
- Only those listed in the public record
- Made by the grantee
Correct answer: Only arising during the grantor's period of ownership
A special warranty deed only covers defects that arose while the grantor held title.
Question 6: Which clause in a deed defines the type and extent of the interest being conveyed, such as 'fee simple'?
- Habendum clause (Correct answer)
- Granting clause
- Defeasance clause
- Reddendum clause
Correct answer: Habendum clause
The habendum clause ('to have and to hold') defines the extent of the estate granted.
Question 7: Transfer of property to the state when an owner dies without a will and without heirs is called:
- Escheat (Correct answer)
- Eminent domain
- Adverse possession
- Estoppel
Correct answer: Escheat
Escheat returns property to the state when there are no heirs and no will.
Real Estate License Transfer of Property 2
A deed that provides the greatest protection to the buyer by warranting against all defects in title, even those arising before the grantor owned the property, is called a: