Common Deeds of Conveyance… TW Gorman & Generations Realty Group
Typically in residential real estate closing transactions, the Seller conveys title to the property being sold to Buyer by virtue of a General Warranty Deed. Oftentimes, however, builders and banks, who are acting as sellers, will only convey the property by Limited Warranty Deed. Once in a while, you may even see or be asked about Quitclaim Deeds. You may be asking yourself, “What’s the difference?” Or, you may know the difference but would like an easier way to explain the difference to your customer.
What is a General Warranty Deed? In this type of deed, the Seller is guaranteeing that he or she holds clear title to the property being conveyed and has a right to sell it to a Buyer. Further, Seller is guaranteeing the clear title not only to the time the Seller owned the property, but guaranteeing it all the way back to the property’s origin.
What is a Limited Warranty Deed? In this type of deed, the Seller is guaranteeing that he or she holds clear title to the property being conveyed and has a right to sell it to a Buyer. Here, however, Seller does not warrant defects or encumbrances affecting the title to the property, prior to the time Seller owned the property.
What is a Quitclaim Deed? In this type of deed, the Seller is making no guarantees that he or she holds clear title nor has the right to sell it to Buyer. Seller is merely conveying any rights, if any, Seller had in the property. You see this often when property is conveyed between spouses.
Though there are other types of conveyance deeds, these three are seen most often in residential real estate closings. As a selling agent, it is best to contract for property to be conveyed via General Warranty Deed because Seller is warranting the property to its origin. But, the Seller may only agree to convey via Limited Warranty Deed as sometimes is the case when dealing with banks and R.E.O. property or builders and new construction. Whichever way the Seller agrees to convey property, your Buyer is best served by purchasing Owner’s Title Insurance, which protects the Buyer from title defects that occurred prior to Buyer’s purchase.
Sincerely,
Trudy W. Gorman, Esq.
(Brought to you curtacy of TW Gorman, and Associates! A favorite closing attorney for Generations Realty Group!)
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T. W. Gorman & Associates, LLC
110 Evans Mill Drive, Suite 207
Dallas, Georgia 30157
www.twgorman.com
Phone: 770-445-9580
Cell: 770-235-6085
eFAX: 678-922-7390
Fax: 770-445-9520
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Darcy Perry
YOUR Real Estate Specialist!
Keller Williams Realty Across Atlanta ~ Generations Realty Group
76 Highland Pavilion Ct. ~ Suite 125 ~ Hiram, GA 30141
Office: 770-874-5333 Direct: 770-874-5356
E-fax: 404-601-1849 Cell: 404-441-9986
Website: www.GenerationsRealtyGroup.com
