A deed is a legal document that defines or identifies how the property is sold and owned, transferred, and inherited. The deed covers details like how much land/house an individual has or their rights on that land/house. A deed is any written legal instrument that confirms an interest, right or property from one person to another. There are numerous types of deeds but, here are the most important 5 types of deeds in real estate:
1) BARGAIN AND SALE DEED:
A bargain and sale deed designates that only the seller of a property or home has the right or advantage to transfer ownership but, this type of legal deed includes no guarantee for the buyer against any claims to the property. If these kinds of issues show up in the future so the buyer could be responsible for this.
2) QUITCLAIM DEED:
A Quitclaim deed is one kind o real estate deed it is a legal document that transfers ownership of real estate from one person to another. Quitclaim deeds are also called quick claim deeds because they are quick in case of achieving fast real estate transfers. But, quitclaim deeds are mostly for transferring property between family and well-known members or to edit mistakes on documents such as a misspelling of a surname. They are common and some agents are aware of them. Quitclaims are generally used in transactions where both parties are aware of each other and agree to accept the agreement. In quitclaim, the property can be transferred ownership without being sold this mostly happens when there is no money involved.
3) DEED OF TRUST:
A deed of trust used as a real estate deed it is a legal document used in real estate that is used in real estate for transactions. It shows an agreement between the borrower and a lender to hold trust by an independent third party until the loan is paid off.
A deed of trust is a document sometimes used in finance in real estate deed transactions that is when someone takes money to buy real estate. During these kinds of transactions also when a lender gives the borrower money in exchange for more promissory notes linked to a deed of trust.
4) WARRANTY DEED:
A warranty deed is a real estate deed it is a legal document that is used in real estate and provides assurance and insurance. It also offers the buyer of the property the greatest amount of insurance. It guarantees and warrants that the property is owned by the owner free of any unpaid mortgages.
Warranty deeds are put in place when a borrower is seeking to get title insurance financing or mortgages.
All deeds include the date, names, signatures, etc
There are some special warranty deeds
5) GRANT DEED:
A grant deed is a legal document. In swapping for an accepted price a grant certificate transfers the attention that is from the seller to the buyer. Grant deed guarantees that they can own the property without debts. But, in this deed, there is no guarantee of the mistakes in name misspelling like in warranty deeds.
A grant deed is a middle part of a quitclaim deed and warranty deed. Grant is indeed used to transfer the ownership of real property, it provides more of protection than a quitclaim deed but less than a general warranty deed.
A grant deed is also known as a limited warranty deed or special warranty deed in many states.