Bona fide purchaser

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A bona fide purchaser (BFP), in American real estate law, is a purchaser who satisfies 3 elements:

  1. purchaser (outright buyer who take fee simple title) who
  2. gives value
  3. without notice of prior transaction (actual notice, inquiry notice, & constructive notice are okay).

Recording acts[edit | edit source]

Recording acts are subject to

  1. race: whoever first records a real estate title wins
  2. notice: subsequent BFP without notice wins over previous grantees
  3. race-notice: a subsequent BFP without prior notice wins over prior grantees

When a BFP records his deed, he is giving constructive notice to the world of his purchase.

Notice[edit | edit source]

A chain of title search can provide constructive notice to a bona fide purchaser (BFP).

Shelter rule[edit | edit source]

The "shelter rule" means that anyone who takes property from a BFP steps into the BFP’s shoes--regardless of whether the new property owner is a BFP in their own right.

See also[edit | edit source]