Posted by SteveS(CPA) on June 17, 2001 at 15:53:52:
Wayne,
You are pretty much correct about everything. I will try to explain the rest. Please talk to your local real estate attorney because laws differ from state to state.
A.Limitd power of attorney
A limited power of Attorney gives another person authorization to act as agent or attorney for another. Common-law and civil-law systems differ considerably with respect to powers of attorney, and there is also considerable diversity among the civil-law systems themselves. Many of the general powers of attorney that are important in civil-law countries come under the powers of trust in common-law countries. For example, one may be given the general power to carry out all of a certain type of act, such as carrying on a business after the owner’s death, or one may be given the power to carry out only some very specific act. The power of attorney describes what the agent has the power to do.
B. Property Disclosure Statement
Residential real property in regard to the property disclosure statement is defined as, “all residential real property consisting of not more than
Four family dwelling units, all of which are contained in one structure.” Whereas the definition of residential real property in regard to the Lead-based paint disclosure is defined as, “any residential dwelling built prior to 1978.” The number of units is not restricted when it comes to the disclosure of lead-based paint. However, there are several exemptions to the property condition disclosure statement and the lead-based paint that some properties fall under.
Exemptions for the property condition disclosure statement are :
(1) Transfers pursuant to court order, including transfers ordered by probate court in the administration of an estate, transfers between spouses resulting from a judgment of dissolution of marriage or legal separation, transfer pursuant to a writ of execution, transfers by a trustee in bankruptcy, transfers by eminent domain, transfers by government agencies, and transfers resulting from a decree for specific performance;
(2) Transfers to a mortgagee by a mortgagor in default, transfers by any foreclosure sale after default in an obligation secured by a mortgage, transfers by a mortgagee or a beneficiary under a deed of trust who has acquired the real property by foreclosure or by a deed in lieu of foreclosure or transfers by a collateral assignment of beneficial interest;
(3) Transfers by a fiduciary in the course of the administration of a decedent’s estate, guardianship, conservatorship, or trust;
(4) Transfers from one co-owner to one or more other co-owners;
(5) Transfers made to a spouse, a child, a parent, a sibling, a grandchild, or a grandparent;
(6) Transfers of newly constructed residential real property which has never been occupied.
Exemptions for the lead-based paint disclosure are as follows:
(1) Dwellings without bedroom units (lofts, efficiency and studio apartments)
(2) Residential units leased for 100 days or fewer (such as vacation homes)
(3) Housing designated as bing exclusively for elderly or handicapped persons. If children are expected to reside in the facility, the disclosure regulation applies.
(4) Rental housing that has been inspected by a state-certified inspector and has been found to be free of lead-based paint hazards.
C. assignment of beneficial interest
A beneficiary of a land trust can pass his or her interest to someone else by a simple assignment of the beneficial interest ? there is no need for a deed which would become a part of
the public record. Land trusts may also be used to obviate some of the delays and expense associated with probate proceedings. A land trust beneficiary may designate in the trust
agreement a successor in the event of death. The successor need only establish the death of the beneficiary to immediately take over his or her interest. No intervention of a court is
necessary.
D. Warranty Deed
A deed in which the grantor fully warrants good clear title to the premises. Used in most real estate deed transfers, a general warranty deed offers
the greatest protection of any deed.