What is the exam-ready answer?
| Official syllabus topic | Deed Types and Requirements for Effective Transfer |
|---|---|
| Official PSI area | Transfer of Title |
| Published area weight | 6% of the 100-question national portion |
| Exam portion | National salesperson portion |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
The Rule
PSI publishes the weight for the complete content area, not a fixed question count for this lesson. Learn the rule well enough to apply it when PSI changes names, numbers, or parties in a new scenario.
The lesson
These ideas work together. On the exam, the wrong answers usually describe a nearby concept, so learn where each one stops.
Parties and intent
The grantor must have capacity and the interest conveyed. The grantee must be identifiable, and delivery must show present intent for the deed to operate rather than a future wish.
Description and execution
The instrument must sufficiently identify the land and be signed and witnessed or acknowledged as required by the recording jurisdiction.
Warranty deeds
A general warranty deed gives broad title covenants extending through the chain. A special or limited warranty ordinarily limits covenants to the grantor's period of ownership.
Bargain-sale and quitclaim
A bargain-and-sale deed may imply ownership but provide limited warranties depending on jurisdiction. A quitclaim deed conveys whatever interest the grantor has, if any, without promising title quality.
Decision rule
Georgia-specific distinction
Worked example
Scenario. A grantor signs a deed and stores it in a desk, intending to decide next year whether to transfer it.
Reason it through. Signature alone does not establish present delivery and acceptance. The grantor retained control and future intent.
Answer. No effective transfer has occurred on these facts.
Common exam traps
- Treating recording as the only delivery
- Assuming quitclaim guarantees ownership
- Confusing title warranties with home warranties
- Using a street address as the only description
Original practice questions with detailed explanations
These questions were written for instruction and mapped to the current outline. They are not copied from PSI or any live examination. Choose an answer before opening the explanation.
Question 1A grantor signs a properly witnessed deed to a niece, then locks it in a desk, planning to decide next year whether to hand it over. Has title passed?
- A. Yes, because the deed was signed and witnessed
- B. Yes, as soon as the niece learns the deed exists
- C. No, because the deed has not been recorded
- D. No, because there was no delivery with present intent
Show answer and explanation →
Answer: D. No, because there was no delivery with present intent
A deed operates only on delivery and acceptance with present intent to transfer. Keeping the deed and deciding later shows the grantor kept control, so nothing has passed. Recording is a separate question: an unrecorded deed can still be effective between the parties once it is delivered.
Question 2An heir who may or may not own a share of a lot agrees to convey "whatever interest I have" without promising anything about title. Which deed fits?
- A. General warranty deed
- B. Quitclaim deed
- C. Limited warranty deed
- D. Bargain and sale deed
Show answer and explanation →
Answer: B. Quitclaim deed
A quitclaim deed conveys whatever interest the grantor has, if any, with no title covenants. A limited warranty deed still promises title against problems arising during the grantor's ownership, which is exactly what this heir will not promise.
Question 3A seller conveys by limited warranty deed. After closing, the buyer finds an unreleased lien created by an owner two sales earlier. Does the seller's deed warranty cover it?
- A. Yes, a warranty deed covers the whole chain of title
- B. Yes, because the lien was recorded before closing
- C. No, it covers only the seller's own ownership period
- D. No, deed warranties cover condition, not liens
Show answer and explanation →
Answer: C. No, it covers only the seller's own ownership period
A special or limited warranty deed ordinarily limits its covenants to the grantor's own period of ownership, while a general warranty deed extends through the chain. A lien created two owners back falls outside this seller's promise. Treating every warranty deed as a general warranty is the mistake.
Ready to move on?
You are ready for the next lesson when all of these are true.
- Explain Deed Types and Requirements for Effective Transfer in one clear answer without notes.
- Separate Parties and intent from Description and execution using a fresh example.
- Apply the decision rule to a new fact pattern and name the fact that controls the result.
- State the Georgia-specific point or explain why the national rule applies unchanged.
- Answer every practice question and explain the rule each rejected option misapplies.
- Revisit this topic later in mixed practice without category labels.
Recommended next lesson
Continue with Title Searches, Title Insurance, and Title Problems. Next, title searches and title insurance covers how the chain of deeds is examined for clouds such as unreleased liens, and why owner's and lender's policies protect different interests.
Return to the Transfer of Title hub to see every official branch and the complete lesson sequence for this content area.