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What is
a Real
Estate
Deed? |
| A deed is a legal
instrument (document),
almost always in
writing, that passes
an interest in real estate from
one person to another person. In
short, when real estate is sold
or given to someone, it is done
with a deed. The new owner of
the real estate receives their
rights to the property and any
title warranties given by the
previous owner from the deed. |
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| The deed is the most formal type
of private instrument and
requires
not only an executing party
(grantor/grantee,
transferor/transferee) but also
witnesses as signatories, and
acknowledgments from a notary
public. A deed has therefore a
greater presumption of validity
and is less rebuttable than
other types of real estate
documents. |
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| At common law, to be valid and
enforceable, real estate deeds
must fulfill several
requirements: |
- It must state on
its face it is a deed, using
words like "This Deed..."
or "executed as a deed."
- It must indicate
that the instrument itself
conveys an interest in real
property to someone.
- A deed must
adequately describe the real
property for which the
interest is being
transferred.
- The grantor must
have the legal capacity to
grant the interest, and the
grantee must have the legal
capacity to receive it.
- A deed must be
executed by the grantor(s)
in presence of the
prescribed number of
witnesses set forth by the
local jurisdiction.
- It must be
delivered to (delivery) and
accepted by the grantee
(acceptance.)
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| Conditions attached
to the acceptance of a deed are
known as covenants. |
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Who
needs a real estate deed?
Anyone who claims ownership of
or wishes to transfer ownership
in real property in the US must
formalize the details in
writing. In almost all cases,
real estate deeds are the most
efficient way to present the
information. |
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Who
is involved in a real estate
deed?
A real estate deed, at its core,
involves a grantor and a
grantee. Real estate deeds are
used to facilitate real estate
transactions, which are
conducted by individuals, as
well as corporations, LLCs, and
other entities. Grantors and
grantees (or someone acting on
behalf of the grantor and
grantee) are responsible for the
execution of the deed, while the
county recorder in the county
where the property is located is
responsible for the recordation
of the deed. |
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Who
signs a real estate deed?
The signatures needed in a real
estate deed can vary by state,
type of deed, and circumstances.
In all fifty states, a deed must
be signed and acknowledged by
the grantor. Additional
signatures may also be required,
such as a grantee's signature,
witnesses, a notary public, and
the document preparer. |
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Who
can create a real estate deed?
Anyone can create a real estate
deed. In most cases, a deed is
created by a party involved in
the transaction, or someone
acting on behalf of one of the
parties, such as a title agency
or an attorney. County and state
specific forms can be purchased
from deeds.com and office supply
stores. They can also be
purchased from attorneys or
title agencies. |
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What
is a real estate deed used for?
A real estate deed is a legal
document used to convey real
property or an interest in real
property from a grantor to a
grantee. A real estate deed is
an important document in that it
affects ownership rights and
interest. |
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What
are the different types of real
estate deeds?
A real estate deed can be in the
form of a general warranty deed,
a special warranty deed, a
quitclaim deed, or a bargain and
sale deed. There are also many
special purpose deeds. The
categories can be further broken
down to include rights of
survivorship, joint tenancy, and
tenancy in common. |
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What
are the elements of a real
estate deed?
Each state has a unique set of
requirements, but the core
elements of a real estate deed
are fairly uniform: it must be
in writing; the grantor must
have legal capacity to convey
the interest and the grantee
must be in a legal capacity to
receive the granted property or
interest; the grantor and
grantee must be identified in
the deed; words of conveyance
must be present; the deed must
be signed by the grantor or
grantors; and the deed must be
legally delivered to and
accepted by the grantee. |
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What
do you do with a real estate
deed once it is completed?
After a real estate deed has
been completed according to
statutory and local guidelines,
it should be recorded in the
proper county. |
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Where
can I get a real estate deed?
There are many sources for real
estate deeds:
-Attorneys
-State statutes
-Internet
Each of the sources listed above
come with positive and negative
aspects. For example, if an
attorney prepares a real estate
deed, it will probably cost more
than the other options. The
attorney, however, is likely to
draft a document that meets the
local legal requirements, and if
a problem arises, he or she
should be equipped to resolve
it.
Many states provide a basic form
for real estate deeds in their
statutes. Others identify the
most essential information, but
no other details. While it seems
simple on the surface, this
method is full of hidden
problems. Often, the
requirements are spread
throughout the state's laws; one
local recorder's office
mentioned that the full
instructions for creating real
estate deeds included components
of over 100 sections of the
state's code! Additionally,
failing to provide all the
necessary items may lead to a
rejected recording request,
extra fees for a nonstandard
document, or any number of other
problems, maybe even an outright
loss of the property.
Finally, the Internet provides
an overwhelming amount of
information about real estate
deeds. Some websites offer legal
forms at no cost and others
charge a fee. In most cases, the
free deeds come with no
guarantee that they are
formatted correctly for each
state and county, and if an
issue comes up, the individual
must resolve it alone or seek
help from an attorney. Other
online sources may charge fees,
but they generally include some
kind of warranty, assuring the
purchaser that the real estate
deed is suitable for use in
their specific location. |
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Where
should a real estate deed be
recorded?
A real estate deed should be
recorded in the office of the
county recorder in the county
where the property is located.
The office of the county
recorder may also be called the
register of deeds, clerk of
courts, or recorder of deeds. In
Alabama, deeds are recorded in
the Office of the Judge of
Probate. If property is located
in more than one county, some
states will require that the
deed be recorded in all
counties; others require that
the deed be recorded in the
county where the majority of the
property is located. |
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Why
do I need a real estate deed?
Real estate deeds serve many
purposes. They identify the
owner of a parcel of real
property. They also include
information that defines the
boundaries and location of a
unique piece of land. Deeds,
when properly recorded, help to
preserve the chain of title
(ownership history). This is
important because in order to
sell real estate, the current
owner must be able to
demonstrate that he owns the
land with a clear title -
otherwise, the buyer might have
to defend herself against a
claim from another person who
believes they still have rights
to the property.
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Why
are real estate deeds used?
Real estate deeds are used to
facilitate residential and
commercial transactions
involving real estate. In court
proceedings, real estate deeds
can be used when property is
seized by court officials
because of unpaid taxes. One
type of deed, a deed of trust,
is used as an alternative to a
traditional mortgage. |
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Why
are real estate deeds recorded?
Recording a deed in the county
where the property is located
places the document in the
public records, providing
constructive notice to
subsequent purchasers,
mortgagers, creditors, and the
general public about a
conveyance related to a specific
parcel of real property. It also
protects the interests of the
new owner of record, because in
most cases where there is a
dispute involving multiple
parties claiming ownership of
the same parcel, the first
recorded deed dictates who keeps
the land.
In each state, a recording act
dictates the legal procedure by
which an individual claiming an
interest in real property
establishes that claim. The
recording acts vary from state
to state, but all include a
strong incentive for the buyer
to record the deed: preserving
the chain of title (ownership
history). This is important
because it informs future bona
fide purchasers (buyers for
value, usually money) that the
property's title is clear, which
reduces the likelihood of future
claims.
In addition to keeping an
accurate record of owners,
recording a deed also serves
invaluable historical purposes
as property records are often
used in genealogical research. |
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When
do I need a real estate deed?
A real estate deed is an
essential part of every
transaction involving ownership
of real property. |
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When
does a real estate deed become
effective?
A real estate deed will become
effective between the parties
involved when it is delivered
from the grantor to the grantee.
If a deed is in writing,
notarized, given to the grantee,
and then recorded in the proper
county, it will be presumed that
the delivery was made with
intent to transfer. At a real
estate closing, the seller signs
over the deed to the buyer. |
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When
were real estate deeds first
used in America?
Before deeds were in common use,
land owners would transfer land
through livery of siezin, which
was basically an oral exchange.
In the United States, land
ownership began with land
grants, which were the basis for
the 13 colonies. After the
American Revolutionary War, the
land in the 13 colonies was
owned by the new federal
government. At this time, the
first land patents were issued.
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How
do I use a real estate deed?
Use a real estate deed to convey
property from the owner
(grantor) to the purchaser
(grantee). To do this, obtain a
deed form that is suitable for
the state and county where the
land is located. Complete the
form, then submit it to the
local government office
responsible for maintaining land
records, usually the recorder or
clerk. |
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How
is a real estate deed made?
A real estate deed is made
according to its intended
purpose. In order to be recorded
and to be valid, it needs to be
formatted in accordance with the
current county and state
guidelines. In the form of a
real estate deed, there must be
an indication that the document
is conveying real property or an
interest in real property to
someone. If there are covenants
or warranties attached to the
acceptance of a deed, these need
to be included. |
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