Which covenant assures the grantee that the grantor holds the interest being conveyed?

The correct answer is the covenant of seisin. This covenant is a fundamental aspect of property conveyance that guarantees the grantee that the grantor truly has ownership of the property being transferred. It assures the grantee that the grantor holds a valid, legal estate in the property and has the right to convey that interest. In essence, it is a promise that the title being conveyed is good and that the grantor is the rightful owner.

Understanding this covenant is crucial because it protects the grantee from future disputes regarding ownership. If a grantor were to falsely claim ownership, the grantee would rely on this covenant to seek remedies.

In contrast, the covenant of further assurances provides the grantee with the assurance that the grantor will take necessary actions to cure any defects in the title if such situations arise. The covenant of quiet enjoyment ensures the grantee that they will not be disturbed in their possession of the property by claims adverse to their ownership. Meanwhile, the covenant against encumbrances guarantees that the property is free from any undisclosed encumbrances, aside from those mentioned in the conveyance. While all these covenants serve important functions in property transactions, the specific assurance of ownership lies within the covenant of seisin.