Affiliate Broker Tennessee (TN PSI) National Practice Exam `

Which statement represents a required element in a deed?

1. The deed must include a title transfer

2. The deed includes an act of conveyance

3. The deed must be notarized

4. The deed requires a physical address

The correct answer is: The deed includes an act of conveyance

A deed is a legal document that transfers ownership of real property from one party to another, and it must include certain essential elements for it to be valid. One of the required elements is an act of conveyance, which explicitly states the intention to transfer ownership of the property. This act of conveyance serves to inform all parties involved, including any future buyers or interested parties, that the specific property is being conveyed to the buyer from the seller. While other statements may address important aspects surrounding deeds, they do not constitute mandatory elements in every jurisdiction. For example, the requirement for notarization often depends on local laws but is not universally necessary for the deed's validity. Similarly, while a physical address can help identify the property being conveyed, it is not strictly required as a core component of the deed itself. Thus, including an act of conveyance is fundamental, as it captures the essence of what a deed is meant to accomplish: the transfer of interest in real property.