Real Estate Records

and what they are

Why record documents?

Recording is “Public notice” for

every transaction relating to the

property. This is constructive notice

whether or not the person has

actual notice. i.e. “Notice”

Real estate records to be enforceable were in writing on paper to be binding due to the statute of frauds

Section 35-4-20

Conveyance required to be in writing; signature; attestation

by witnesses.

Conveyances for the alienation of lands

must be written or printed, or partly written and partly

printed, on parchment or paper, and must be signed at their foot by the

contracting party or his agent having a written authority; or, if he is not

able to sign his name, then his name must be written for him, with the

words "his mark" written against the same, or over it; the execution

of such conveyance must be attested by one

witness or, where the party cannot write, by two witnesses who are

able to write and who must write their names as witnesses; or, if he can

write his name but does not do so and his name is written for him by

another, then the execution must be attested by two witnesses who can

and do write their names.

Initially documents

were handwritten, then

typed but always

documents were

bound into books.

Microfilm was next.

➢Records were copied and a

backup kept stored on

microfilm.

➢Digital copies became

accessible to the public.

Now in the Digital age

➢Automation of indexes

➢Ability to capture document images

➢Public access through the internet

➢Redactions

Counties that allow

Electronic recording Real Estate

1. Coffee

2. Elmore

3. Houston

4. Jefferson

5. Madison

6. Mobile

7. Montgomery

8. Shelby

The Basics of Legal descriptions

Governmental Surveys Section 10, Township 16 South, Range 4 East of the Huntsville Meridian

16 South

4 East

6 MILES

,

Section

10

Section 10, Township 16 South, Range 4 East of the Huntsville Meridian

Read Metes & Bounds backwards

S1/2 of NW1/4 of SE1/4of Section 10, Township 16 South, Range 4 East

of the Huntsville Meridian

Section

10

S1/2 of NW1/4 of SE1/4Section 10, Township 16 South, Range 4 East of the Huntsville Meridian

Metes and Bounds Section 10, Township 16 South,

Range 4 East of the Huntsville

Meridian

➢ Starting point on

Governmental Survey

➢ Point of beginning

property described

➢ Describe property

➢ Back to point of

beginning

Deeds

Requirements of Deeds

1. In writing 35-4-20

2. Signed

3. Witnessed 35-4-23

1. Preparer of the Deed

⚫ Name 35-4-110

⚫ Address

2. Consideration

1. Inadequacy of consideration

2. No consideration 35-4-34

3. $1.00 and other good and valuable consideration

3. $1.00 and the assumption of a mortgage

4. $1.00 and subject to a mortgage

5. Support and maintenance 8-9-12

6. “To my son John Doe in consideration of him caring for me the rest of my life”

7. File RT-1 Form certifying value p. 462

Real Estate Sales Validation Form RT-1

This Document must be filed in accordance with Code of Alabama 1975, Section 40-22-1

Grantee's Name Grantor's Name

Mailing AddressMailing Address

Date of Sale Property Address

Total Purchase Price $

or

Actual Value $

or

Assessor's Market Value $

The purchase price or actual value claimed on this form can be verified in the following documentary

evidence: (check one) (Recordation of documentary evidence is not required)

Bill of Sale Appraisal

Sales Contract Other

Closing Statement

If the conveyance document presented for recordation contains all of the required information referenced

above, the filing of this form is not required.

InstructionsGrantor's name and mailing address - provide the name of the person or persons conveying interest

to property and their current mailing address.

Grantee's name and mailing address - provide the name of the person or persons to whom interest

to property is being conveyed.

Property address - the physical address of the property being conveyed, if available.

Date of Sale - the date on which interest to the property was conveyed.

Total purchase price - the total amount paid for the purchase of the property, both real and personal,

being conveyed by the instrument offered for record.

Actual value - if the property is not being sold, the true value of the property, both real and personal, being

conveyed by the instrument offered for record. This may be evidenced by an appraisal conducted by a

licensed appraiser or the assessor's current market value.

If no proof is provided and the value must be determined, the current estimate of fair market value,

excluding current use valuation, of the property as determined by the local official charged with the

responsibility of valuing property for property tax purposes will be used and the taxpayer will be penalized

pursuant to Code of Alabama 1975 § 40-22-1 (h).

I attest, to the best of my knowledge and belief that the information contained in this document is true and

accurate. I further understand that any false statements claimed on this form may result in the imposition

of the penalty indicated in Code of Alabama 1975 § 40-22-1 (h).

Date Print

Unattested Sign

(verified by) (Grantor/Grantee/Owner/Agent) circle oneForm RT-1

3. Parties: Grantor>

I. 19 years of age

II. Martial status 35-4-73

“The above property is no part of the

homestead of the grantor or grantor’s spouse”

Ala. Const. Sec 205

III. Sale by non-residents see: Chapter 13-17

4. Parties: Grantee

➢ Identifiable

➢“To the heirs of John Doe”

➢“To John Doe and his heirs”

“Doctrine Worthier Title”

5. Granting Clause

…Grantors “do grant, bargain, sell

and convey” unto Grantee …the

following real estate…

6. Description

• Identifiable legal description

• Governmental survey

• Metes and bounds

• Lot and block

7. Habendum Clause

“To have and to hold the said Grantees for

and during their joint lives and upon the

death of either of them then to the survivor

of them in fee simple, and to the heirs and

assigns of such survivor forever, together

with every contingent remainder and right

of reversion”

8. Warranty….>“ And we do for ourselves and for our heirs and personal

representatives covenant with the grantees, their heirs and assigns, that we are

1. lawfully seized in fee simple of the premises;

2. that they are free of all encumbrances unless

otherwise noted above; that we have a

3. good right to sell and convey the same as

4. aforesaid; that we will and our heirs and

personal representatives shall warrant and

defend the same to the Grantees, their heirs

5. and assigns forever, against the lawful claims of

all persons.”

….. Warranty

➢Caveat emptor

➢Existing Mortgages

➢10 year statue of limitations

9. Execution

1. Signed and

2. Witnessed

10. Acknowledged 36-20-70

1. NotaryA. County (No more created after 1-1-12)B. State at large

2. DifferencesA. WitnessedB. Notarized

3. Person not authorized to notarizeA. Cannot notarize your own signatureB. Interested partyC. Corporate stockholder / 1% stockD. Bank officer

4. Out of state notaries

Notarized V. Acknowledgements

➢ Notarized: What is it ?

“Sworn and subscribed before me this 21st.

day of August, 2018”

➢ Acknowledged: Is there a difference?

“Being informed of the contents”

See 35-4-20

Acknowledgements see Form 1-101

1. Conclusiveness

2. Seal

3. Defective Acknowledgements

4. Kinds of Acknowledgments

5. Picture copy grantor’s driver license

or picture ID 31 USCA 5318

ACKNOWLEDGMENT FOR INDIVIDUAL 36-4-29

I _______, a notary public in and for the State of

Alabama hereby certify that ______ whose name

is signed to the foregoing conveyance, and who

is known to me, acknowledged before me on this

day that, being informed of the contents of the

conveyance, executed the same voluntarily on

the day the same bears date.

• Given under my hand this _____ day of _____,

A. D. 20__

Section 36-20-72 Seal.

For the authentication …, each notary shall provide a seal of

office, …, by its impression or stamp, the name, office, and the

state for which …was appointed

11. Delivery

1. Actual

2. Constructive

3. Presumptionsa) Date of signing

b) Date of notary

c) Date of filing

4. Signed/ not delivered

5. Signed/ conditional delivery

6. Signed/ left with third party

7. Signed/ placed with will<

12. Recording

1. Effect 35-4-63

2. Place 35-4-50

3. Time 35-4-75

4. Filed not indexed

5. Recorded 10 years cures defects

6. R.E. Sales Validation Form 40-22-1

Prepare deed without

Checking Title

“ The preparer of this instrument has

not reviewed the status of title on

this property and acts only as the

drafter of this instrument”

1. Patent

a) From the United States

b)Section 16 from the State of

Alabama

General

Warranty(with source of Title)

8-101

Quit Claim

Deed8-102

Warranty with

right of

Survivorship8-103

Kinds of Deeds>

6. Warranty, Tenancy in Common

with right of survivership

1982 - Durant V. Hamrick

Other Kinds of Deeds>

6. Warranty, Tenancy in Common

with right of survivership

7. Mortgage Foreclosure Deed 8-111

8. Tax Deed 8-110

9. Sheriff’s Deed 8-112

10.Conservators' Deed 8-108

11.Deed in Lieu of Foreclosure 8-117

1. Mortgage 2. Vendors 3. Ad Valorem Tax 4. Municipal 5. Federal Tax6. Landlords 7. Condominium 8. Attorneys 9. Judgment 10. Estate 11. Special12. Anti-Terrorism 13. Mechanics

1. Mortgage Chapter 34

To be discussed next class & following week we will review a loan closing

2. Vendors Lien Chapter 42

To be discussed next class

3. Ad Valorum Taxes Chapters 5 & 27

⚫ Superior to any mortgage

⚫ Superior to all liens

4. Municipal assessments Chapter 35-7

⚫ Streets ,Sewer, and water 11-48-4

⚫ Demolish Unsafe Structures 11-53A&B-1

⚫ Urban renewal project

⚫ <$1000 due at completion

⚫ >$1000 over a 10 year period

⚫ Records kept by City Clerk

⚫ Superior to all liens except State and County taxes.

5. Federal Tax Liens Chapter 27-3

⚫ Filed in Probate Office 35-11-44

⚫ Release is not effective until certificate of

release is issued.

⚫ Special 25 day notice required to IRS in a

foreclosure.

6. Landlords Lien Chapter 27-11

⚫ After default

⚫ Property of commercial tenant

⚫ No landlord’s lien in Alabama on residential

tenants after January 1, 2007.

7. Condominium Chapter 27-6 Ala. Code 35-8A-316

⚫ Individual units

⚫ Six months priority for association assessments

8. Attorney’s Lien Chapter 27-4

On real or personal property recovered

9. Judgments Chapter 23 & 27-10

⚫ “Certificate of Judgment” recorded in Probate

records (Recording Judgment insufficient)

⚫ Interest rate Ala. Code 8-8-10

– 7.5% (After 9/1/2011)* 12% (5/4/1982 to 8/31/2011)

– * simple interest rate

OR Rate in note

⚫ Length of lien

– 10 years

– Second execution, another 10 years ie.20 years

How does one register a judgment lien? Ala. Code 6-9-210

⚫ File Certificate of Judgement

⚫ In Probate office

⚫ Must follow statute

⚫ Constructive Notice

* Does not attach to homestead ($15,000)

10. Estate Chapter 3 & 39

1. Verified Claim see form 29-119

2. Filed in the estate

3. Within the statutory time period

11. Special Statutory liens

➢Fire District Liens (Local law)

➢Utility and sewer service liens

➢Crops

➢Timber

➢Transfer fee liens

12. Federal Anti Terrorism Lien 26 U.S.C. 6323 , 18 U.S.C. 3613(a) & 28U.S.C. 3201

➢ Enforce a civil Judgment

➢ File In Probate Office

➢ Notice as IRS liens

➢ Good for 20 years

13. Mechanics Liens Chapter 27-1

A. Who may claim?

B. When does the lien attach?

C. What property is subject to lien? >

Real Estate Recordings

Solo and Small Firm

Section of the Alabama Bar.