Principles of Real Estate Exam #2
Questions with Answers
deed - ✔✔legal document transferring ownership from one party to another
granting clause - ✔✔a statement of intent to transfer ownership
habendum clause - ✔✔a statement explaing what kind of ownership the new owner is getting
and how long they will have it
encumbrance - ✔✔any claim on a property that can limit the owner's rights
encroachment - ✔✔a tree leaning over into someone else's property
competent parties - ✔✔those legally qualified to enter into contracts
examples of competent parties - ✔✔18+, mentally competent, not under duress or influence
good consideration - ✔✔gifting property out of love and affection rather than money
legal description - ✔✔a very specific description of a property
lot and block system - ✔✔describing land using a recorded subdivision map ("lot 12, block C")
metes and bounds system - ✔✔describing land using landmarks and directions ("200 ft. north
of the oak tree")
, governmental survey system - ✔✔describing land using a grid of townships and sections
("section 14, township 3")
plat - ✔✔a map showing a parcel's boundaries, dimensions, and features
surveyor - ✔✔a person who measures land
acre - ✔✔43,560 square feet
testimony clause - ✔✔the seller must sign the deed for it to be valid
chain of title - ✔✔the record of a property's ownership
general warranty deed - ✔✔"I've got you covered for everything."
what does a general warranty deed guarantee? - ✔✔- guarantees the property is free of claims
or liens from its entire history
- responsible for past issues
limited warranty deed - ✔✔"I've only got you covered for my time owning it."
what does a limited warranty deed guarantee? - ✔✔- guarantees the property is free of claims
or liens only during the seller's ownership
- not responsible for past issues
quitclaim deed - ✔✔"Whatever I have is yours."
Questions with Answers
deed - ✔✔legal document transferring ownership from one party to another
granting clause - ✔✔a statement of intent to transfer ownership
habendum clause - ✔✔a statement explaing what kind of ownership the new owner is getting
and how long they will have it
encumbrance - ✔✔any claim on a property that can limit the owner's rights
encroachment - ✔✔a tree leaning over into someone else's property
competent parties - ✔✔those legally qualified to enter into contracts
examples of competent parties - ✔✔18+, mentally competent, not under duress or influence
good consideration - ✔✔gifting property out of love and affection rather than money
legal description - ✔✔a very specific description of a property
lot and block system - ✔✔describing land using a recorded subdivision map ("lot 12, block C")
metes and bounds system - ✔✔describing land using landmarks and directions ("200 ft. north
of the oak tree")
, governmental survey system - ✔✔describing land using a grid of townships and sections
("section 14, township 3")
plat - ✔✔a map showing a parcel's boundaries, dimensions, and features
surveyor - ✔✔a person who measures land
acre - ✔✔43,560 square feet
testimony clause - ✔✔the seller must sign the deed for it to be valid
chain of title - ✔✔the record of a property's ownership
general warranty deed - ✔✔"I've got you covered for everything."
what does a general warranty deed guarantee? - ✔✔- guarantees the property is free of claims
or liens from its entire history
- responsible for past issues
limited warranty deed - ✔✔"I've only got you covered for my time owning it."
what does a limited warranty deed guarantee? - ✔✔- guarantees the property is free of claims
or liens only during the seller's ownership
- not responsible for past issues
quitclaim deed - ✔✔"Whatever I have is yours."
