Escrow & Title
A general warranty deed contains which of the following covenants?
ACovenant of seisin and covenant against encumbrances
BCovenant of quiet enjoyment and covenant of further assurance
CWarranty forever and covenant of seisin
DAll of the above covenants✓ Correct
Explanation
A general warranty deed contains several covenants: seisin (grantor has title), right to convey, covenant against encumbrances, quiet enjoyment, warranty forever (grantor will defend title), and further assurance (grantor will do what is needed to correct title).
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Key Terms to Know
Deed
A written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
EncumbranceAny claim, lien, charge, or liability attached to real property that affects its value or limits its use.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Title InsuranceInsurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
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