Transferring Property Rights through Deed

Deed is a legal instrument used to grant a right. It refers to a document used to transfer ownership of a property to another person. It provides the names of the old and new owners along with a legal description of the property being conveyed.

Is deed always required for property transfer?

The interest in the property cannot be conveyed without having a written documentation of the transfer. Hence a deed is most often required for the transfer of real property. However, in certain situations like a divorce, a document (a court order in case of divorce) other than a deed can be used to transfer property.

What can be done to make the deed valid?

In order to make the deed valid, one needs to follow the laws of the state or city. This is why it is better to use a deed prepared by an attorney who is aware of the legal aspects.

Generally there are two parties to a deed - the grantor transferring the property and the grantee receiving the title/interest conveyed. In most states, only the grantor has to sign the deed after which it is taken to the notary public who will sign and stamp it. The notary public verifies whether the signature on the deed is genuine. The deed is then recorded at the office of the County Recorder.

What are the different types of Deed?

There are various types of deeds required for different purposes in different states. A general idea about each type of deed is given below.

• Quit Claim Deed:
  A document used to transfer any or all legal rights that the grantor has in the property. But the deed provides no warranty regarding the extent of the grantor's interest in the property. Know more
  
  
• Warranty Deed:
  Through this deed, the grantor transfers all his rights on property to the grantee. Either it warranties clear title (title free of any lien or defects) to the property or whatever is stated on the deed. Know more
  
  
• Grant Deed:
  It helps to convey legal rights to the grantee. It provides the guarantee that the title has not been transferred to any other person except the grantee and that the title is free from any lien attached to the property.
  
  
• Fiduciary Deed:
  Using this deed, a fiduciary such as trustee, guardian or executor transfers property to the grantee. This legal document implies that the fiduciary has acted within the powers allotted to him.

Deed is necessary to effect the transfer of title/interest in a property. It acts as a proof of the grantee gaining access to the property rights. The type of deed chosen depends upon the circumstances under which the property is to be transferred.