California Real Estate Practice Exam

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In researching a chain of title, what is true?

  1. The current grantee was the previous grantor

  2. The current grantor was the previous grantee

  3. Liens are considered breaks in the chain

  4. Adequate consideration must be proven

The correct answer is: The current grantor was the previous grantee

In researching a chain of title, it is important to note that the grantor is the one transferring ownership, while the grantee is the one receiving ownership. Therefore, the current grantor cannot be the previous grantee, as the ownership would not have been transferred. Similarly, while liens may affect the current state of ownership, they do not necessarily break the chain of title itself. Finally, while demonstrating adequate consideration may be important in certain legal situations, it is not a requirement for researching a chain of title.

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