A deed that is signed by the grantor but held by a third party to be delivered upon the occurrence of a condition is known as a(n):
Why Escrow deed Is Correct
Answer B: Escrow deed
Exam Tip: Escrow & Title
Escrow questions test the neutral third-party role and the sequence of closing events. Remember that the escrow agent acts as a dual agent for both buyer and seller and cannot advocate for either side.
Key Escrow & Title Terms in This Question
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- A deed that is delivered but not accepted by the grantee is:Property Ownership
- A special warranty deed in Alabama is one in which the grantor warrants the title against:Escrow & Title
- Which deed provides NO warranties and conveys only whatever interest the grantor has, if any?Escrow & Title
- A general warranty deed provides the grantee with which warranties?Escrow & Title
- A warranty of seisin in a general warranty deed means the grantor warrants that:Escrow & Title
Key Terms to Know
A written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
EscrowA neutral third-party arrangement where funds, documents, and instructions are held until all conditions of a real estate transaction are satisfied.
Right of First RefusalA contractual right giving a party the opportunity to match any offer received before the owner can accept it from a third party.
Deed of TrustA security instrument used in many states instead of a mortgage, involving three parties: borrower (trustor), lender (beneficiary), and a neutral trustee.
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