Deck 12: Title Examinations

Question 1

A grantor index enables an examiner to build a chain of title from the present to the past.

Answer 1

False

Question 2

Constructive notice is not imparted to unrecorded instruments that are referred to in a recorded instrument.

Answer 2

False

Question 3

The proper recording in the public records of a real property mortgage will put subsequent purchasers on constructive notice of the mortgage.

Answer 3

True

Question 4

A judgment that has been recorded in the public records becomes a lien on all property of the judgment debtor owned at the time of recording as well as any future property acquired by the debtor.

Question 5

The most common recording statute is the race notice statute.

Question 6

An alphabetical index by last name of all people who are sellers, borrowers, and mortgagors is known as a grantee index.

Question 7

The most common recording statute is the notice recording statute.

Question 8

A title examiner would search in the grantee index from the present to some designated point in time in the past.

Question 9

The proper recording in the public records of a real property mortgage will put subsequent purchasers on actual notice of the mortgage.

Question 10

A sequence of subsequent owners to a particular parcel of property, beginning with the original owner and moving through all successive owners to the current owner, is known as a "chain
of title."

Question 11

A judgment, once recorded, is a lien that will last forever unless the judgment is paid.

Question 12

A sequence of subsequent owners to a particular parcel of property, beginning with the original owner and moving through all successive owners to the current owner, is known as a "lis pendens."

Question 13

Constructive notice is imparted to unrecorded instruments that are referred to in a recorded instrument.

Question 14

A bona fide purchaser will receive ownership of property subject to all claims of which the purchaser has actual or constructive notice.

Question 15

An alphabetical index by last name of all people who are purchasers and holders of mortgages and security deeds is known as a grantee index.

Question 16

A grantee index enables an examiner to build a chain of title from the present to the past.

Question 17

The most common recording statute is the race recording statute.

Question 18

Once a judgment has been recorded in the public records, it becomes a lien on all property of the judgment debtor owned at the time of recording but not on any future property acquired by the debtor.

Question 19

An alphabetical index by last name of all purchasers and holders of mortgages and security deeds is known as a grantor index.

Question 20

A title examiner would search in the grantee index from the past to a present date.

Question 21

It would be necessary to examine the Uniform Commercial Code financing statement index only if:

A) civil suits were filed against the owner of the property.
B) federal tax liens have been filed against the property.
C) the transaction involves both real and personal property.
D) there are judgments against the owner of the property.

Question 22

A full title search generally requires that the real property records be searched for a minimum of:

A) 10 to 20 years.
B) 50 to 60 years.
C) 7 years.
D) 100 years.

Question 23

A person who acquires property by inheritance is generally not a bona fide purchaser for value.

Question 24

Which of the following persons would not be alphabetically listed in a grantee index?

A) Seller of property
B) Mortgagee
C) Holder of an easement
D) Purchaser of property

Question 25

A bona fide purchaser status provides special protection not only to the bona fide purchaser but also to anyone purchasing from the bona fide purchaser.

Question 26

A conveys property to B by deed dated March 1. B does not record the deed until March 4. A conveys the same property on March 2 to C. C receives the deed on March 2 with full knowledge that a previous deed had been given to B. C records its deed on March 3. Under what recording statute would C be declared the owner of the property?

A) Notice
B) Race notice
C) Race
D) C would not be the owner under any of the above recording statutes.

Question 27

Which of the following persons would not be alphabetically listed in a grantor index?

A) Mortgagor
B) Seller of property
C) Grantor of easement
D) Purchaser

Question 28

A federal tax lien that has been recorded is a lien against all the real property owned or subsequently acquired by the delinquent taxpayer.

Question 29

A break in the chain of title is considered a serious title defect.

Question 30

Probate records should be examined when property is acquired or passes through an estate.

Question 31

A title examination is generally performed in the county where:

A) the owner of the property resides.
B) ^{the county where the property is located.}
C) the county where the purchaser of the property resides.
D) the county where the title examiner resides.

Question 32

A bona fide purchaser for value would take subject to which of the following claims?

A) Unrecorded mortgage
B) Rights of party in possession of the property
C) Unrecorded easement
D) Civil suit for collection of a debt against the seller of the property.

Question 33

A mortgagor's name would be found in the:

A) grantor index.
B) general execution docket.
C) grantee index.
D) plat index.

Question 34

A conveys property to B on March 1. B does not record the deed until March 3. On March 2 A conveys the same property to C, who purchases the property on March 2 with no knowledge of the previous deed to B. C does not record its deed until March 4. B would be the owner of the property under which of the following recording statutes?

A) Race
B) Notice
C) Race notice
D) (a) and (c) above
E) All of the above

Question 35

A break in the chain of title is not considered a title defect.

Question 36

Federal tax liens, when recorded, are liens against all the real property owned by the delinquent taxpayer at the time of the recording but are not liens against future property acquired by the delinquent taxpayer.

Question 37

Which of the following would not be constructive notice?

A) Unrecorded mortgage that is attached as an exhibit to the sale contract
B) Matter shown on a survey of the property
C) Recorded easement
D) Recorded federal tax lien
E) None of the above

Question 38

A lis pendens gives notice of a pending lawsuit that affects title to the property.

Question 39

A person who acquires title by inheritance is a bona fide purchaser for value.

Question 40

A lis pendens gives notice of a federal tax lien against the property.

Question 41

You have been asked to do a title examination in connection with a proposed sale of a home.
What information should you have in order to do the search?

Question 42

Big News Ad Company has leased a portion of Farmer Jane's land for the purpose of installing a billboard sign. The lease is for 50 years and is unrecorded. The sign was built on the leased space and is clearly visible to anyone who visits the property. Farmer Jane sells the leased land to Farmer Bill. Farmer Bill threatens to terminate Big News's lease unless it pays him more rent. Farmer Bill claims that since the lease was not recorded, he is a bona fide purchaser and is not bound by the lease terms. Will Farmer Bill be successful with his claim against Big News?

Question 43

Which of the following would be revealed by a title report?

A) Name of current record title holder
B) Status of taxes
C) List of all easements, covenants, and restrictions
D) All of the above
E) None of the above

Question 44

A recorded notice that a lawsuit affecting title to the property is pending is known as:

A) judgment.
B) ^{civil docket.}
C) lis pendens.
D) check down.

Question 45

Main Street Bank believes that it has a recorded mortgage on property from Dawn Sellers. Due to lack of organization at the bank, it cannot find either an original or a copy of the mortgage. Main Street hires a law firm to search title to see if the mortgage has been recorded. Would it be easier for the firm to search the Bank's name in the grantee index or Dawn's name in the grantor index?