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Should I buy a house with a special warranty deed?
The best way to protect yourself as a buyer is to buy title insurance when you purchase the property. A special warranty deed provides the buyer with some guarantees about title, but it does not offer complete protection. However, these types of deeds can be acceptable if other protections are put in place.
Why would you use a special warranty deed?
A special warranty deed provides assurance that the property's seller owns the property in question and has not faced any title issues during this ownership. A special warranty deed guarantees that the buyer won't face any legal action or title issues as a result of the actions of the property's previous owner.
When would you use a special warranty deed?
Special Warranty Deed Special warranty deeds are often used by builders because they only owned the property for a short period of time during construction and don't want to make promises as to the prior owners.
What does a special warranty deed do?
A special warranty deed is a deed to real estate where the seller of the property known as the grantorwarrants only against anything that occurred during their physical ownership. In other words, the granter doesn't guarantee against any defects in clear title that existed before they took possession of the property.
What is the difference between a statutory warranty deed and a special warranty deed?
A statutory warranty deed is different from a warranty deed because it is a shorter form made available through your state's statutes, and it may not outright list the promise that the title is guaranteed to be clear. Instead, because it is a statutory form, this guarantee is implied and is still legally enforceable.
Does a special warranty deed transfer ownership?
A special warranty deed is a legal document that transfers ownership of real property from one person to another.
Does a warranty deed transfer ownership?
While a Warranty Deed guarantees that there are no other existing claims on the property, a Quitclaim Deed does not. Both deeds transfer interest in a property from a granter (property owner) to a grantee or buyer. In a Warranty Deed, the grantee is the person who the interest in a property is being transferred to.
Who signs a special warranty deed?
What Is a Special Warranty Deed? The granter in a special warranty deed the party who's selling or transferring the property conveys it with just two warranties. She guarantees that she has received title, and she warrants that the property wasn't encumbered during her period of ownership.
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