Types of Deeds
A deed is a document that transfers ownership of real property from one party to another. To be a deed, this document must contain some basic information, including the current owner/grantor’s name and the new owner/grantee’s name as well as a legal description of the property. It must be in writing, notarized, signed by the grantor, and then recorded with the proper county clerk. While a deed must have all of these things, there are different types of deeds used in specific scenarios.
If you are wondering what type of deed is appropriate for your real estate transaction, contact a West Palm Beach real estate attorney for immediate assistance.
One of the most common types of deeds used in Florida residential real estate transactions is a statutory warranty deed governed by Section 689.02 of the Florida Statutes. A warranty deed hands over full title of the property and fully warrants title against any and all types of claims. The grantor promises to the grantee that no one else has any position to make a claim to the property. This is a broad warranty, as it also states that no one from during the grantor’s period of ownership or from before has any liens or legal claims on the property.
Special Warranty Deeds
Under a special warranty deed, the grantor gives only a limited promise that the title is without any potential claims. Under this document, the grantor warrants titles against claims of people who may claim by, through, or under the grantor. This means the grantor promises the title is clean from during his or her period of ownership, yet makes no promises regarding claims to the title that originated before his or her ownership. This means there is the potential for someone from before the grantor’s ownership to step forward with a claim. Special warranty deeds are typically used for commercial real estate transactions.
Unlike warranty and special warranty deeds, a quitclaim deed makes no promises regarding title to the property. This type of deed conveys whatever title the grantor has to a grantee, but it does not warrant that the grantor has full rights to the property or the right to convey title or that the property is free from any liens or other claims. There is no statutory form of a quitclaim deed in Florida, however, it is regulated like under the Marketable Record Title Act. You cannot use quitclaim deeds in all circumstances. This type of deed is often used to correct title issues on a property or for non-sale transactions, like giving property from one spouse to another.
Do You Need Real Estate Advice?
If you are a buyer or seller in a residential or commercial real estate transaction, you should have an experienced attorney to help you with the transaction. The Florida real estate attorneys at the Law Offices of Larry E. Bray, P.A. are here to explain your rights and obligations and the methods that can be used to transfer property during a sale or non-sale transaction. Contact us online or call 561-571-8970 today to schedule an initial consultation.