Property Ownership

Texas uses a race-notice recording statute. Under this system, a subsequent bona fide purchaser for value who records first wins over a prior unrecorded conveyance, provided the subsequent purchaser:

ASimply records first regardless of knowledge
BRecords first AND had no actual or constructive notice of the prior conveyance✓ Correct
CPays the highest price for the property
DRecords first and notifies the prior grantee in writing

Explanation

Under a race-notice recording statute (used in Texas), a subsequent purchaser prevails over prior unrecorded interests if they: (1) record first AND (2) took without notice (actual or constructive) of the prior conveyance.

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