§ 406. Transfers of registered property. A registered owner of real property, in order to transfer his whole estate or interest therein, or any part or parcel thereof, or any undivided interest therein, shall execute to the intended transferee a deed or instrument of conveyance in any form authorized by law. Such deed or instrument of conveyance shall have recited therein a statement or reference setting forth the source of the title of the grantor or the circumstances under which the title was acquired by him. Upon filing such deed or other instrument in the registrar's office and surrendering to the registrar the duplicate certificate of title, he shall then make out and register as herein provided a new certificate and also an owner's duplicate certificate of title certifying the title to the estate or interest in the property conveyed to the transferee and shall enter upon the original and duplicate certificate the date of the transfer, the name of the transferee and the number of the new certificate, and shall stamp across the original and surrendered duplicate certificates the word "cancelled." Title to such property shall not pass by such transfer until the transfer is registered as prescribed by this section.
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