Real Estate Sales Exam Real Estate Sales Transfer of Title Questions and Answers 2

Question 1

Which type of deed provides the LEAST protection to the grantee?

Accepted Answer

Quitclaim deed

Answer

General warranty deed

Answer

Special warranty deed

Answer

Bargain and sale deed

Question 2

What is the primary purpose of a title search?

Accepted Answer

To discover any defects, liens, or encumbrances on the title

Answer

To determine the property's market value

Answer

To verify the property's zoning classification

Answer

To confirm the property's tax assessment

Question 3

Which document is used to remove a cloud on title caused by a paid-off mortgage?

Accepted Answer

Satisfaction of mortgage

Answer

Deed of trust

Answer

Lis pendens

Answer

Abstract of title

Question 4

In a real estate transaction, when does legal title typically transfer from seller to buyer?

Accepted Answer

When the deed is delivered and accepted by the grantee

Answer

When the purchase agreement is signed

Answer

When the title insurance policy is issued

Answer

When the closing funds are disbursed

Question 5

What type of notice is provided by recording a deed in the public records?

Accepted Answer

Constructive notice

Answer

Actual notice

Answer

Inquiry notice

Answer

Implied notice

Question 6

Which of the following is NOT a requirement for a valid deed?

Accepted Answer

Recording in public records

Answer

Competent grantor

Answer

Identifiable grantee

Answer

Legal description of the property