Types of Property Deeds & What They Mean
When dealing with real estate, a **deed** is the legal document that transfers ownership from one person (the grantor) to another (the grantee). But not all deeds are created equal. The kind of deed you receive can dramatically affect how much protection you actually get. In this post, we'll explain the most common types of deeds, what protections they offer, and what dangers to watch out for.
1. What Is a Deed?
A deed is a written legal instrument that transfers ownership of real property (land, buildings, etc.). It should identify the grantor and grantee, describe the property, and include signatures and formalities required by law. :contentReference[oaicite:0]{index=0}
2. General Warranty Deed
This is often considered the strongest deed you can receive. With a general warranty deed, the grantor promises that they hold a good, clear title and that there are no hidden claims or encumbrances—past, present, or future—that could threaten ownership. :contentReference[oaicite:1]{index=1}
Protections: full warranties against title defects, right to legal recourse if a problem arises.
3. Special Warranty Deed
Risks & Limitations: previous title problems may remain the responsibility of the buyer.
4. Quitclaim Deed
Typical Use Cases: family transfers, corrections in title, adding or removing someone from the deed.
5. Grant Deed
What It Doesn’t Guarantee: It may not cover defects that existed before the grantor’s ownership.
6. Other Deed Types & Special Purpose Deeds
- Deed of Trust: Used in states where deeds are held in trust for loan security; involves a third party (trustee). :contentReference[oaicite:5]{index=5}
- Bargain and Sale Deed: Implies the grantor has title but offers few assurances. :contentReference[oaicite:6]{index=6}
- Executor’s / Administrator’s Deed: Transfers property from an estate after death. :contentReference[oaicite:7]{index=7}
- Deed in Lieu of Foreclosure: The owner gives the property to the lender to avoid formal foreclosure. :contentReference[oaicite:8]{index=8}
- Tax Deed / Sheriff’s Deed: Deeds issued after tax sales or court-ordered sales. :contentReference[oaicite:9]{index=9}
7. Choosing & Evaluating a Deed
When someone offers you a deed, ask yourself these questions:
- What protections does it offer (warranty, special warranty, none)?
- Has there been a title search or background check for liens?
- Is there title insurance or additional protection included?
- Does the deed language match the type of transaction and risk level?
Conclusion
Understanding the type of deed you receive matters. A strong deed (like a general warranty deed) gives you legal guarantees and recourse, while weaker deeds (quitclaim, special warranty) carry more risk. Always read the deed carefully, understand what the grantor is promising—or not promising—and consider title insurance or a professional review if you’re unsure.
If you want me to review a deed you’ve been given (or explain what each clause means in plain English), feel free to upload it here—I’m happy to help.
FAQ
- Can I sue if a title defect arises after I receive a general warranty deed?
- Yes, usually. A general warranty deed gives you broad protection, and you may have legal recourse if defects arise. But the ability to sue depends on your state law and the deed language.
- What happens if I receive a quitclaim deed and there is a hidden lien?
- Because quitclaim deeds offer no warranties, you may become responsible for the lien and have limited legal recourse.
- Does a special warranty deed cover title issues from before the grantor owned it?
- No. A special warranty deed only covers defects that occurred while the grantor held title, not before. :contentReference[oaicite:10]{index=10}
- Is title insurance necessary if I have a warranty deed?
- Yes. Even with a warranty deed, title insurance protects you against unknown defects or claims that may surface later.
- Can a deed type differ by state?
- Absolutely. Some states use or require different deed types (grant deeds, deed of trust, etc.). Always check your jurisdiction’s rules.