Special Warranty Deed Texas
Warranty Deed Texas
Quitclaim Deed Texas
To show proof that you own real property you need a deed. A deed is a document that proves that you own a specific real property and conveys legal and equitable title to real property. In other words, a deed establishes that you have a “fee simple” interest to real property, which means that as the owner you are entitled to the benefits of the estate and can dispose of it in any way you desire when you are still alive. Despite its great importance, most people let the title company lawyer draft a deed for them.
Since the title company lawyer does not represent you or the seller, there is a possibility that the lawyer may omit useful clauses that could lead to issues in the future. When both the grantor and grantee are involved in drafting of the deed, the document becomes both a contract and a conveyance.
Deed vs Promissory Note
Real Estate Deeds
To a buyer, a deed officially establishes that the title of a real property has been conveyed and the obligations the grantor or seller owes the grantee or buyer. A valid deed must meet the following requirements:
- It must be in writing
- It must include the buyer’s name
- The seller must sign the deed
- It must have a legal description of the real property
- The buyer must accept the deed
On the other hand, a promissory note is the document that shows the details of the mortgage. The document is a promise to pay a certain amount of money and contains remedies if the borrower does not pay.
What Is A Warranty Deed?
What Does A House Deed Look Like In Texas
A warranty deed or general warranty deed contains language that states that the seller has conveyed their ownership rights to real property to the buyer for consideration. It also offers protection to buyers because it implies that the buyers do not have to deal with title defects that occurred before and after they become new owners of the real property.
For the warranty deed to be valid the person signing the deed must transfer the property to the recipient named in the deed. And at the time of the transfer, the property should be free from encumbrances such as boundary disputes, liens, competing claims, mortgages and so on.
However, this does not mean that the seller is promising to transfer a property that is in good condition. That means the property could still have issues with the foundation, plumbing and more.
General Warranty Deed vs Special Warranty Deed
Property Deed Texas
The main difference is that a special warranty deed only makes the seller responsible for title problems that occurred when the seller owned the property. Unlike general warranty, it does not protect the buyer from title problems that occurred before the seller acquired ownership of that property. If you want full protection, you should choose a general warranty deed.
You should talk to an experienced Texas real estate attorney that can explain in detail the different types of deeds and help you choose the right one for you.
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