Real estate warranty deed – What purpose does it serve?

Real estate warranty deed is one of the most widely used legal documents to transfer the title of a property to a buyer. It can be defined as a type of deed where a grantor (seller) or a transferor guarantees that he/she holds clear title to a specific piece of property and also possesses the right to either sell it to a grantee (buyer) or pass it to a transferee. This specific guarantee is not limited to the time of property transfer but it extends back to the origin of the particular real estate.

Necessary information for the deed

You need to fill out the following fields of a warranty deed.

•Name of the seller, grantor or transferor

•Name of County where the seller belongs to

•Name of the State where the seller resides

•Name of the buyer, grantee or transferee

•Name of County where the buyer belongs to

•Name of the State where the buyer resides

•Name of the County where the property is situated

Along with the above information, the deed needs to be signed by a grantor and a grantee in order to make it valid. The deed also requires the signature of witnesses with the date and the place along with the seal as otherwise, the deed doesn’t become a legally valid document.

If you face difficulty in filling out a warranty deed, then you can take help of an attorney. He can guide you on how to fill out the document with accurate information.

What a warranty deed conveys

There are some important segments in a general warranty deed, which are discussed below.

•Through this legal document, the grantor declares that he/she owns the property and therefore, has every right to sell it.

•In this form, the seller also states that there are no encumbrances or hidden liens on the specific property.

•The grantor also guarantees that he/she will compensate for the loss if there is a cloud or defect in the property-title; as for example, a tax lien on the property.

In spite of the guarantee, the buyer may not get compensation for losses that may arise in future. This usually happens in the event of the grantor’s death. Therefore, it is advisable that the buyer performs a title search before purchasing a specific property.