What is a Deed?
A Deed is defined as a legal document that conveys, confirms, alters, and/or reserves certain rights in real property. When purchasing a property, it is important to know if there are any title defects. The three types of deeds indicate different levels of warranty against these defects.
General Warranty Deed
A General Warranty Deed is a deed whereby the grantor (seller) warrants to the grantee (buyer) that the property is free and clear of title defects throughout the entire chain of title from the time the property came into existence until the current time. With this type of deed, the grantor (seller) is certifying to grantee (buyer) that he will defend the title against allegations of defect even those defects allegedly present before the grantor (seller) owned the property.
Special Warranty Deed
A Special Warranty Deed is a deed whereby the grantor (seller) warrants to the grantee (buyer) that grantor (seller) has not created a defect in the property’s title during his ownership of the property. With this type of deed, the grantor (seller) is certifying to the grantee (buyer) that he will defend the title against allegations of defect that were allegedly caused during grantor’s (seller) ownership of the property.
A Quitclaim Deed is a deed whereby the grantor (seller) warrants to the grantee (buyer) that grantor (seller) may not have any ownership rights in the property but whatever rights in the property he does have, he is conveying to the grantee (buyer). These types of deeds are common between spouses in divorce situations and transfer between family members if the property has been owned by family members for long periods of time.
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