Quite frequently we are asked what deed is appropriate to transfer real estate in particular situations. The truth is there is not one deed for all transactions. There are different scenarios that require different verbiage to complete the transfer of real estate. Below is a brief explanation of what the different deed and interest types are and when they would be used in a real estate transaction.
General Warranty Deed – A General Warranty Deed transfers real estate from one party to another. Most importantly, the grantor is “warranting” that they own the real estate and guaranteeing that the grantee is receiving title to the real estate. It is the most commonly used deed and affords a grantee the grantor’s warranty of ownership..
Trustee’s Deed – A Trustee of a Trust in accordance with the Trust Agreement would sign a Trustee’s Deed to transfer real estate. Again, most often Trustee’s deeds will appear as a warranty deed.
Administrator’s Deed – If the title holder passes away intestate (without a will) and the real estate is part of a court action, the Administrator may sign an Administrator’s Deed with permission from the court to transfer real estate.
Executor’s Deed – If the title holder passes away testate (with a will) and the real estate is part of a court action, the Executor may sign an Executor’s Deed to act in accordance with the Will of the decedent to transfer real estate.
Sheriff’s Deed – If the real estate being transferred was sold at a sheriff’s sale as part of a foreclosure or other civil procedure, a Sheriff will give a purchaser a Sheriff’s deed. Such a deed will contain the specifics of how the sheriff gained the authority to make such a deed.
Quitclaim Deed – A Quitclaim Deed is used when a party may have an interest that needs to be transferred to another party. The Grantor of the Quitclaim Deed is not Warranting that they have an interest, instead they are relinquishing any interest they may have.
Joint Tenancy with Right of Survivorship – When two parties own real estate together, if one were to pass away all their interest would transfer to the other party by filing a Death Certificate, Affidavit of Death, or filing the Will with the court. Real Estate held between spouses is generally held as Joint Tenacy with Right of Survivorship.
Tenants in Common – When two parties own real estate together, if one were to pass away their interest would transfer to their heirs at law or by a will or other estate planning device. This type of interest is common when two or more parties who are not married to each other own real estate together.
Life Estate – This is when a party retains an interest in the real estate for the duration of their life. They have the all the rights of use they would if they held title but only for the duration of their life. The real estate may be transferred to another party by the party holding the life estate but the tenancy terminates upon death of the original life estate holder.
Our team is knowledgeable and passionate about title insurance related inquiries. If you still have questions or would like more information, please do not hesitate to give us a call. We are here to help.