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Transfer of Title Practice Questions Preview

This focused set tests Transfer of Title at salesperson level. Answer first, then use the rule and explanation to diagnose why each option wins or fails. Answer this 5-question public preview here, then continue the complete experience in Pass Georgia.

Facts checked against the current PSI Candidate Information Bulletin and GREC sources.

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1 / 5Study mode: Transfer of Title

Marketable title is title that:

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34% of the real exam is Georgia law. 52 of 152 questions.

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All 5 questions and explanations

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For a useful score, finish the test above before opening these answers. These are original practice questions based on published topics and sources.

1. Marketable title is title that:Transfer of Title. Open choices and explanation.
  1. A.Has been insured by a licensed title company
  2. B.Carries no encumbrances of any kind at all
  3. C.A reasonable buyer would accept without doubt
  4. D.Has been held by one owner for many years

Answer C: A reasonable buyer would accept without doubt

Marketability is a practical standard, not perfection. Ordinary utility easements and recorded covenants do not make title unmarketable, but a serious unresolved doubt about ownership does, because a reasonable buyer would refuse it.

Why each choice works or fails

  • A. Insurance and marketability are separate. A policy can insure over a defect that still makes title unmarketable.
  • B. Candidates equate marketable with perfect, but ordinary encumbrances do not defeat marketability.
  • C. Correct. Title free from reasonable doubt, which a reasonable buyer would accept, is marketable.
  • D. Length of ownership does not decide marketability.

Rule to remember: Marketable title is title a reasonable buyer would accept, free of reasonable doubt, not free of every encumbrance.

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2. A builder warranty on new construction differs from a home warranty plan in that the builder warranty:Transfer of Title. Open choices and explanation.
  1. A.Lasts for the entire life of the building
  2. B.Covers appliances but not structural elements
  3. C.Comes from the builder and covers the construction
  4. D.Is bought from a third party for an annual fee

Answer C: Comes from the builder and covers the construction

A builder warranty is the builder's own promise about its work, usually with different periods for different elements, shorter for finishes and longer for structure. A home warranty plan is a separate service contract bought from a third party.

Why each choice works or fails

  • A. Builder warranty periods are limited, not perpetual.
  • B. Candidates reverse the two products. Builder warranties reach structural elements.
  • C. Correct. The builder warrants its own construction work.
  • D. Buying from a third party for a fee describes a home warranty plan.

Rule to remember: A builder warranty is the builder's promise on its own work. A home warranty plan is bought from a third party.

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3. A title search reveals an easement running across the rear of the property. The buyer should understand that it:Transfer of Title. Open choices and explanation.
  1. A.Binds her as the new owner and stays in place
  2. B.May be removed by recording a new deed
  3. C.Expires automatically when the property sells
  4. D.Affects only the seller who granted it

Answer A: Binds her as the new owner and stays in place

A recorded easement burdens the land itself, so it binds every later owner. It ends only by a recognized method such as a written release, merger of the parcels, or abandonment, never simply because the property sells.

Why each choice works or fails

  • A. Correct. The easement runs with the land and binds the buyer.
  • B. A new deed to the buyer does not release someone else's easement.
  • C. Candidates assume a sale resets the title, but a recorded easement survives the sale.
  • D. Candidates think the grant is personal to the grantor, but it burdens the land, not just the person who granted it.

Rule to remember: A recorded easement burdens the land and binds each later owner. A sale or new deed does not remove it.

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4. A person dies without a will and with no locatable heirs. The property passes to the state by:Transfer of Title. Open choices and explanation.
  1. A.Escheat
  2. B.Eminent domain
  3. C.Adverse possession
  4. D.Intestate succession

Answer A: Escheat

Escheat passes property to the state when an owner dies with no will and no heirs who can be found, so land never becomes ownerless. Intestate succession applies only when there are heirs to receive the property.

Why each choice works or fails

  • A. Correct. Escheat passes property with no will and no heirs to the state.
  • B. Candidates link any state acquisition to eminent domain, but that is a paid taking for public use.
  • C. Adverse possession is a claim by a private occupier, not the state.
  • D. Intestate succession distributes to heirs, and here there are none.

Rule to remember: No will and no heirs means escheat to the state.

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5. The final walk-through before closing is primarily intended to let the buyer:Transfer of Title. Open choices and explanation.
  1. A.Conduct a full professional inspection of all systems
  2. B.Take possession of the property before closing
  3. C.Renegotiate the purchase price one final time
  4. D.Confirm condition and that agreed repairs were done

Answer D: Confirm condition and that agreed repairs were done

The final walk-through lets the buyer verify that the property is in the agreed condition and that promised repairs were done. It is not a second inspection or a chance to renegotiate, though a real problem found during it must be addressed before closing.

Why each choice works or fails

  • A. Candidates treat it as a last inspection, but full inspections happen earlier in the due diligence period.
  • B. Possession follows closing unless the contract says otherwise.
  • C. The walk-through is for verification, not for reopening the price.
  • D. Correct. It confirms condition and completed repairs.

Rule to remember: The final walk-through confirms condition and completed repairs. It is not a new inspection or renegotiation.

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What does this assessment cover?

Deed types, title searches and insurance, marketable and insurable title, recordation, settlement, warranties, foreclosure, short sale, and probate transfer issues.
Question coverage in this assessment
Official content areaPublished weightQuestions hereComplete lesson
Transfer of Title6% of the national portion5Study Transfer of Title

The Georgia-specific distinction

Georgia closing questions add the attorney-closing rule, security deed practice, and Georgia foreclosure distinctions. The national area still tests deed promises, title evidence, recording, and special transfers.

Worked result example

A quitclaim deed transfers whatever interest the grantor has without title covenants. It does not prove that the grantor owns nothing, and it does not guarantee marketable title.

Common exam traps

  • Treating recordation as the moment a deed becomes valid between parties.
  • Assuming title insurance fixes title.
  • Confusing deed warranties with home warranties.
  • Calling every foreclosure transfer a warranty deed.

Ready to move on?

  1. Score the set before opening notes.
  2. Explain the winning rule without repeating the answer choice.
  3. Classify every miss as knowledge, distinction, wording, math setup, or timing.
  4. Repair the weakest official area, then answer a fresh set on another day.
  5. Move on only when the result is stable and guesses are being marked as gaps.

Recommended next lesson

Open the complete lesson hub. Use the result above to choose the first lesson or drill rather than following a generic order.

Assessment integrity

The questions are original and mapped to the current PSI outline. This preview introduces the assessment; the complete version is in Pass Georgia. PSI says practice exams help candidates become familiar with general question types, but they do not replace education and a good practice score does not guarantee an examination outcome. This page reports evidence, not a pass probability.

About this practice set

Facts checked against the current PSI Candidate Information Bulletin and GREC sources.

Are these actual PSI exam questions?

No. Every item is original, written from the current published outline and primary sources. No question is copied, recalled, reconstructed, or represented as a live PSI item.

Does this score predict whether I will pass?

No. One practice result is evidence about this question sample. Use the area breakdown, review guesses as well as misses, and confirm improvement with fresh questions on another day.

What should I do after the result?

Open the explanation for every miss and guess, restate the rule, use the linked repair lesson, then continue with the next lesson: Open the complete lesson hub.

Is the assessment free?

Yes. This 5-question preview has no email gate, account requirement, or card. The complete assessment, saved mastery, spaced review, and adaptive recommendations are in Pass Georgia.