Humber/Ontario Real Estate Course 1 Exam Practice

Which statement about land registration systems is correct?

1. A property registered under Registry Act has a secure title.

2. The Land Registrar cannot ensure the title under the land titles system.

3. A property under land titles depends on a title chain to confirm legitimacy.

4. The original Crown Grant is the initial point of title under the registry system.

5. Registry Act invalidates unregistered property titles.

6. Land titles system does not require title searches.

The correct answer is: The original Crown Grant is the initial point of title under the registry system.

The statement that the original Crown Grant is the initial point of title under the registry system is correct. In the context of land registration in Ontario, the Registry Act system relies heavily on the original Crown Grant as the foundational document for establishing ownership and title. This historical reference ensures that each property can be traced back to its inception when the Crown originally granted it, forming a crucial part of the chain of title. Understanding the other statements provides additional context: while properties registered under the Registry Act can present challenges regarding title security, they do not automatically guarantee it to be secure. The Land Registrar in the land titles system actually plays an essential role in ensuring the legitimacy and accuracy of the title, contrary to the assertion made in another choice. The land titles system does require title searches to confirm property ownership and rights, so the statement indicating that it does not is misleading. Additionally, the Registry Act does not invalidate unregistered property titles outright; rather, it offers a framework under which registered titles are considered more secure, but unregistered titles may still exist with varying degrees of recognition.