New Jersey Real Estate Exam Practice Question
Person A is preparing to convey a house to Person B. Person A cannot guarantee the title against any possible defects prior to ownership. What instrument should Person A use to convey title?
Correct Answer: B
Rationale: A special warranty deed is appropriate here as it conveys title while limiting the seller's liability for defects to only those that occurred during their ownership. This aligns with Person A's inability to guarantee the title against all defects.
A warranty deed offers full protection against all defects, which Person A cannot provide. An estoppel certificate is unrelated to property conveyance; it typically confirms the status of a lease or mortgage. A writ of execution is a court order to enforce a judgment, not a method for transferring property title. Thus, the special warranty deed is the most suitable instrument for this situation.
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