What is the main promise of the covenant of Seisin?

Prepare for the Metro Brokers Exam with flashcards and multiple choice questions. Each question is accompanied by hints and explanations. Get ready for your certification!

The main promise of the covenant of Seisin is that the grantor owns the property being transferred and has the right to convey it. This covenant is a fundamental assurance to the grantee, indicating that the seller has clear title and the legal authority to transfer ownership. The grantor essentially guarantees that they hold actual possession of the property at the time of the sale.

This covenant provides protection to the grantee against potential claims from third parties asserting they have rights to the property, thereby offering a level of security in the property transaction. If the grantor were to misrepresent their ownership, it would violate the covenant of Seisin, potentially allowing the grantee to seek legal remedies.

The other choices do not accurately describe the essence of this specific covenant. For instance, while a property may indeed be free of encumbrances, that assurance pertains more to other types of covenants like the covenant against encumbrances. Similarly, promising rental income relates to different aspects of property rights and lease agreements. The notion that the grantor does not own the property contradicts the very nature of the covenant of Seisin, which is to affirm ownership.

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