Monday, July 31, 2017


The written and signed legal document to transfer the ownership of a real property from the seller or old owner (grantor) to the buyer or new owner (grantee) is called the property deed. For a deed to be legally effective, several necessities must exist, including the identification of the grantor and grantee, and the adequate description of the property.  

Deeds may be categorized in a number of ways, including quitclaim, warranty and special purpose deeds.

Essentials of Deed:-

  • Name of the parties involved
  • Description of the property involved
  • Signature of the person transferring the property
  • Deed must be in writing. While most deeds are completed on printed forms, there are no legal needs that any particular form be used as long as the essential elements are included.
  • The grantor must have legal capacity, and the grantee must be capable of receiving the grant of the property. A person who is proficient to make a valid contract is considered competent to be a grantor.
  • The grantor and grantee must be recognised in such a way as to be ascertainable.
  • Operative words of conveyance must be present. All standard form deeds comprise the necessary legal language that literally transfers the property.
  • The deed must be legally hand over to the grantee or to someone acting on the grantee's behalf.
  • The deed must be accepted by the grantee. Typically, deeds are accepted by the grantee but in certain situations, the grantee could refuse delivery of the deed.

Types of Deeds:-

Deeds are classified as official or private. Official deeds are executed pursuant to court or legal activities. Most of property transactions involve individuals and business entities using private deeds.

Deeds are also categorised on the basis of title warranties provided by the grantor.

  • General Warranty Deed
  • Special Warranty Deed
  • Quitclaim Deed
  • Special Purpose Deeds
General Warranty Deed:-

General warranty deed provides more protection to the grantee. With this type of deed, the grantor creates a series of legally binding promises, which is called as covenants and warrants to the grantee (and their heirs) agreeing to protect the grantee against any prior claims and demands of all persons whomsoever in regards to the conveyed land. The normal premises for title contain in a general warranty deed are the Good Right to Convey, it means that the grantor warrants that they own the property and has the legal right to bring it; the covenant against encumbrances, denoting that the grantor warrants that the property is free of liens or encumbrances, except as specifically stated in the deed. The grantee will have quiet possession of the property, and will not be disturbed because the grantor had a defective title are specified in the covenant of quiet enjoyment.

Special Warranty Deed:-

Grantor of a special warranty deed warrants that they accept the title to the property, and that they have not done anything while holding the title to create a defect. The defects that arose during the grantor's ownership of the property are warranted in special warranty deed. Due to this special warranty deed offers less protection to grantee than general warranty deed. 

Quitclaim Deed:-

It is also called non - warranty deed. Quitclaim offers the least amount of protection to the grantee. It conveys whatever interest the grantor has in the property. No warranties or promises regarding the quality of the title are made. The quitclaim deed is essentially as effective as a general warranty deed if the grantor has a good title. However, if the title contains a defect, the grantee has no legal recourse against the grantor under the deed. A quitclaim deed is used when the grantor is not sure of the status of the title that is if it contains any defects or not or if the grantor wants no liability under the title covenants. 

Special Purpose Deeds:-

Special purpose deeds are used for court proceedings and occasion where the deed is from a person acting in some type of official capacity. In this the grantee has little or no protection.

Types of special purpose includes:-

  • Administrator's Deed: Mainly used when a person dies without a will.
  • Executor's Deed: It is used when a person dies with will.
  • Sheriff's Deed: Is given to the victorious bidder at an implementation of sale held to please a judgment that has been obtained against the owner of the property. The grantee is awarded whatever title the judgment debtor has.
  • Deed of Gift: Gift deed does not involve financial terms. It used to transfer a property to other without involving a sale.

The transfer of an owner's title is possible by a deed. Certain essential elements must be included within the deed in order to make it legally operative. Different deeds give various levels of protection to thegrantee, and the obligations of a grant or are determined by the form of the deed.

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