The Type Of Title Deeds of Your Property In California
A property deed is a legal document that transfers ownership of real estate. The title and the deed are inextricably linked. That said, a deed must be a physical document.
The following should be included in the deed:
The property
Costs and prices associated with it
The grantee (buyer)
The grantor (seller)
Other applicable parties involved
This safeguards the parties and their assets, ensuring sufficient evidence to uphold the contract in court if necessary.
A deed is used to legally transfer property title and ownership from the grantor to the grantee in real estate transactions. To be entirely withstanding, a deed must be recorded in the County's Clerk of Records office after all required parties have signed it.
You do not lose possession of the property if you fail to file the recorded deed. It becomes more challenging to prove your ownership, which can have a variety of consequences, including the loss of your property to a county tax lien sale.
For any specific information on notarizing your deeds, contact a West Covina Estate Lawyer in California immediately.
Which Property Deed Should I Use?
There are five basic forms of property deeds, each of which is utilized in a distinct context:
1. Warranty
This deed is the best in terms of property deeds. It's widely used in real estate transactions. The grantor guarantees the grantee that there were no problems with the property's title and no debts or liens on the land. Not just during that buyer's ownership time but during the property's whole history.
The grantor assures the grantee that there have been no difficulties with the property's title over its entire lifetime. The grantor uses this deed to inform the grantee that they have the complete legal authority to sell the property and that it is free of debts and liens.
If this is later proven to be wrong after the sale, the grantor will be held liable and will be required to verify the title or compensate the grantee for any unpaid back taxes or liens. You're covered for the rest of your life, or as long as you hold the property.
The highest level of protection for a land buyer is a Warranty Deed. If you want to acquire a house and the grantee refuses to utilize a Warranty Deed, you should inquire with a West Covina Estate Lawyer about it.
2. Special Warranty
This second type of deed is similar to, but not identical to, a Warranty Deed, and does not provide the buyer with the same level of protection. A Special Warranty Deed differs from a regular warranty deed in that the grantor does not cover the complete history of the property.
Only claims or concerns with the title that happened during the grantor's ownership are covered by the grantor's guarantee. The guarantee does not extend beyond the years they have owned the property, whether in the past or future. Therefore, the grantor is not legally liable for any debts or titles that occurred while they did not have them.
Like a Warranty Deed, the grantor guarantees that they have all legal rights to sell the property. In the sale of commercial property, a Special Warranty Deed is frequently employed. The General Warranty Deed is a variant of the deed that is often used in real estate transactions.
For any confusion, consult with your West Covina Estate Lawyer.
3. Quitclaim
This third type of deed is most commonly performed by family members, friends, and acquaintances. It's also known as a Non-Warranty Deed in some cases.
The grantor is nearly completely safeguarded by a Quitclaim Deed. There is no guarantee of title chain, full property ownership, or the absence of liens or obligations on the property. There are no guarantees that the title will be of good quality.
You can also utilize a Quitclaim Deed to repair any errors with the original deed, such as misspelled names, missing signatures, failure to record the document with the county, or bringing a document up.
Because there's so much at stake, only use a Quitclaim Deed to buy property from someone you know and trust. Of course, you want this transaction to be as risk-free as possible.
Ask your West Covina Estate Law Attorney for more information about quitclaims.
4. Bargain and Sale
This type of deed technically transfers property ownership from the grantor to the grantee, just like the other deeds stated above.
However, the underlying meaning of the Bargain and Sale Deed is that it transfers the right to sell the property in the future. It does not include any assurances related to the title.
In simple terms, this gives the grantee the right to sell the property in the future. Still, it does not necessarily provide the grantee ownership of the land.
As a result, you have no assurance that you will have actual title to the property or that it will be free and clear of any debts, liens, or other encumbrances. Furthermore, the grantor accepts no credit or blame for what happened to the property before or after the transfer.
The seller may have proper title to the lot and may be allowed to convey it if this deed is used, but this is not guaranteed, and there are no consequences.
5. Grant
This deed ensures that the grantor has not previously conveyed the title to another person. Therefore, no one else will be able to buy the property out from under you if you have this deed. However, it does not guarantee that the title chain is clear or that the property is free of liens and obligations.
A Grant Deed is a legal document that can transfer property rights to a Trust or a company. To make sure you do things right, contact your West Covina Estate Lawyer to advise you on the next steps to take.
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