The American Bar Association lists knowing the type of deed that will convey the property as one of the most important issues for potential real estate buyers.The types of real estate deeds one uses, therefore, can have a major impact on asset protection from lawsuits. Real estate is one of the most important financial investments that a person can make. So, it is essential for those looking at real estate to be aware of such key issues and how choosing the right deed could affect the value of their purchase and tax consequences.
What Are Deeds?
Deeds are legal documents which people use to transfer the title of a property from one party to another. They must be made in writing. In order for courts to consider deeds as legally binding, people must register them as a matter of public record. People usually record them at local assessor’s office in the county where the property is located.
There are many ways to hold title. It is the deed, itself, that transfers title to the other party and/or alternate vesting type. Requirements for creating legally valid deeds vary by state. However, there are several requirements which all states share.
- The grantor of the deed must have the legal right to transfer the property. They must also be legally competent to issue a contract.
- The grantor or grantors must sign the deed.
- One must write a clear description of the property.
- The deed must use all necessary legal terms required by the state.
- The deed must be legally delivered to the grantee or their representative.
- The grantee must accept the deed.
Types of Real Estate Deeds by State
| State | Types of Deeds |
| Alabama | General Warranty, Quitclaim Deed, Statutory (Special) Warranty Deed, Life Estate Deed, Gift Deed, Grant Deed, Interspousal Transfer Grant Deed, Easement Deed |
| Alaska | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed , Gift Deed, Grant Deed, Interspousal Transfer Grant Deed , Easement Deed |
| Arizona | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Quitclaim Deed, Life Estate Deed, Gift Deed, Grant Deed, Trustee Deed,, Easement Deed |
| Arkansas | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Gift Deed, Grant Deed, Easement Deed |
| California | Warranty Deed, Quitclaim Deed, Grant Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Trustee Deed, Gift Deed, Special Warranty Deed, Easement Deed |
| Colorado | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Bargain and Sale Deed, Transfer on Death (Beneficiary) Deed, Trustee Deed, Gift Deed, Special Warranty Deed, Easement Deed |
| Connecticut | Warranty Deed, Quitclaim Deed, Special Warranty Deed, Trustee Deed, Grant Deed, Gift Deed, Easement Deed |
| Delaware | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Easement Deed, Trustee Deed, Grant Deed |
| District of Columbia | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Easement Deed |
| Florida | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Life Estate Deed, Florida Lady Bird Deed, Easement Deed, Trustee Deed |
| Georgia | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Trustee Deed, Grant Deed, Easement Deed, Trustee Deed |
| Hawaii | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Gift Deed, Easement Deed, Trustee Deed |
| Idaho | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed, Trustee Deed |
| Illinois | Warranty Deed, Special Warranty Deed, Gift Deed, Transfer on Death Instrument, Trustee Deed, Grant Deed, Easement Deed |
| Indiana | Warranty Deed, Special Warranty Deed, Quit Claim Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Grant Deed, Gift Deed, Easement Deed |
| Iowa | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Warranty, Grant Deed, Easement Deed, Trustee Warranty Deed |
| Kansas | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Gift Deed, Grant Deed, Easement Deed |
| Kentucky | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed |
| Louisiana | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed |
| Maine | Warranty Deed, Quitclaim Deed, Covenant Deed, Easement Deed, Trustee Deed, Gift Deed, Grant Deed |
| Maryland | Warranty Deed, Quitclaim Deed, Gift Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed |
| Massachusetts | Warranty Deed, Quitclaim Deed, Quitclaim Deed with Covenants, Gift Deed, Easement Deed, Trustee Deed |
| Michigan | Warranty Deed, Quitclaim Deed, Life Estate Deed, Gift Deed, Grant Deed, Easement Deed |
| Minnesota | Warranty Deed, Limited Warranty Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Trustee Deed, Easement Deed, Gift Deed, |
| Mississippi | Warranty Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed, Gift Deed |
| Missouri | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Easement Deed, Trustee Deed |
| Montana | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed, Beneficiary Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Nebraska | Warranty, Special Warranty, Grant Deed, Easement Deed, Quitclaim Deed, Transfer on Death (Beneficiary) Deed, Trustee Deed |
| Nevada | Warranty Deed, Special Warranty Deed, Gift Deed, Grant Deed, Easement Deed, Transfer on Death (Beneficiary) Deed |
| New Hampshire | Warranty Deed, Special Warranty Deed. Gift Deed, Grant Deed, Easement Deed |
| New Jersey | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Bargain and Sale Deed, Easement Deed, Trustee Deed |
| New Mexico | Warranty Deed, Special Warranty Deed. Grant Deed, Easement Deed, Transfer on Death (Beneficiary) Deed |
| New York | Warranty, Special Warranty Deed, Bargain and Sale Deed with Covenants. Bargain and Sale Deed without Covenants, Easement Deed |
| North Carolina | Warranty Deed, Special Warranty Deed, Gift Deed, Grant Deed, Quitclaim Deed, Easement Deed |
| North Dakota | Warranty Deed, Special Warranty, Grant Deed, Gift Deed, Easement Deed Transfer on Death (Beneficiary) Deed, Trustee Deed |
| Ohio | Warranty Deed, Special Warranty Deed, Limited Warranty Deed, Quitclaim Deed, Grant Deed, Gift Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Oklahoma | Warranty Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Oregon | Warranty Deed, Special Warranty Deed, Bargain and Sale Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Pennsylvania | Warranty Deed, Special Warranty Deed, Gift Deed, Grant Deed, Easement Deed, Trustee Deed |
| Rhode Island | Warranty Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed |
| South Carolina | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed, Trustee Deed |
| South Dakota | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Grant Deed, Easement Deed, Gift Deed. Transfer on Death (Beneficiary) Deed, Trustee Deed |
| Tennessee | Warranty Deed, Special Warranty Deed, Grant Deed, Gift Deed, Easement Deed, Quitclaim Deed |
| Texas | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Lady Bird Deed, Easement Deed, Gift Deed, Grant Deed , Gift Deed, Trustee Deed |
| Utah | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Easement Deed, Grant Deed, Gift Deed, Trustee Deed |
| Vermont | Warranty Deed, Special Warranty Deed, Gift Deed. Grant Deed, Easement Deed, Trustee Deed |
| Virginia | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Life Estate Deed, Transfer on Death (Beneficiary) Deed, Trustee Deed, Gift Deed, Grant Deed |
| Washington | Warranty Deed, Special Warranty Deed, Bargain and Sale Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| West Virginia | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Gift Deed, Grant Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Wisconsin | Warranty Deed, Special Warranty Deed, Grant Deed, Easement Deed, Trustee Deed, Transfer on Death (Beneficiary) Deed |
| Wyoming | Warranty Deed, Special Warranty Deed, Quitclaim Deed, Grant Deed, Easement Deed, Gift Deed, Transfer on Death (Beneficiary) Deed |
Types of Deeds Used For Real-Estate
There are a number of different types of deeds used to transfer property based on the situation surrounding the transfer. The following types of deeds are commonly used in real estate transactions.
General Warranty Deed
General warranty deeds offer the strongest protection for the grantee. This type of deed offers several warranties made by the grantor on behalf of the grantee. The first warranty is that the grantor holds the title in good standing when the transfer is made. The guarantee of a clear title remains after the property is transferred to the grantee. Another warranty made by the grantor is the freedom from encumbrances except those explicitly stated in the deed. General warranty deeds also usually include a third guarantee that the grantor will defend the right of possession to the grantee above all others. Claims arising during or prior to the grantor’s ownership are covered by a general warranty deed.
Special Warranty Deed or Limited Warrant Deed
Special warranty deeds, sometimes referred to as Limited Warranty Deeds, offer fewer protections for the grantee than general warranty deeds. The grantor guarantees only that no claims against the title of the property were made while they owned the property. A special warranty deed does not guarantee that no claims were made on the property prior to the grantor’s ownership.
Interspousal Transfer Grant Deed
Interspousal transfer grant deeds, or interspousal transfer deeds, are used to transfer the title of a property from one spouse to another. This type of deed is useful when one spouse wants to add the other spouse to the title of a property. It is also used for dividing property as the result of a divorce settlement or when a married couple chooses to do so for legal or financial reasons.
Quitclaim Deed
Quitclaim deeds allow a person to relinquish their interest in a property without explicitly naming their interest. It does so without making any warranties about their interest or rights while they owned the property. Quitclaim deeds are most frequently used to transfer property between family members.
Quitclaim Deed With Covenants
A quitclaim deed with covenants works the same way as a conventional quitclaim deed with one exception. Quitclaim deeds with covenants make a warranty that no claims against the title of the property were made while the grantor owned the property.
Grant Deed
Grant deed are very similar to warranty deeds. They guarantee that the grantor holds the title in good standing when the property transfer is made. In addition, they guarantee that the title is free from encumbrances other than those explicitly stated in the deed. They do not, however, guarantee that the grantor will defend the grantee should other previous claims against the title arise.
Easement Deed
An easement deed allows a person who is not the owner of a property to use a portion of that property for a specific purpose. The easement deed is a written agreement which specifies what part of the land may be used and how it may be used. An easement deed does not convey any rights of ownership to the grantee.
Gift Deed
A gift deed is a deed which allows a property to be transferred without any money changing hands. In this case, the grantor and grantee of the deed are referred to as the donor and donee. Donors must be legally solvent in order to make a gift of property.
Transfer on Death (Beneficiary) Deed
Transfer on death deeds or beneficiary deeds are used to transfer property upon the owner’s death without the need for probate. Beneficiaries of transfer on death or beneficiary deeds have no rights to the property until the owner has passed away.
Bargain and Sale Deed
Bargain and sale deeds are used to transfer the title of a property without making any warranties against encumbrances. This type of deed is used frequently in tax sales and foreclosures. It is also commonly used for older properties where it is difficult to secure warranties against previous claims on the title.
Bargain and Sale Deed With Covenants
A bargain and sale deed with covenants makes a single warranty that the grantor has not committed any act which would encumber the title of the property. In all other ways, a bargain and sale deed with covenants is the same as a traditional bargain and sale deed.
Trustee Deed
Trustee deeds transfer the legal ownership of a real property from the owner to a third-party trustee. These deeds convey the title of the property without making any warranties or guarantees. Trustee deeds are frequently used in bankruptcy and foreclosure sales.
Life Estate or Lady Bird Deed
Life estate deeds allow a person to transfer a property to a beneficiary during their lifetime while retaining an interest in the property. When the grantor of the life estate deed passes away, the grantee inherits the grantor’s remaining interest in the property.
Conclusion
The property type of ownership is essential for an effective asset protection strategy to work. The deed is the tool people use to transfer the title of real property. There are a variety of types deeds that are legal in each state. In order for the courts to recognize their validity, they must be in writing and publicly recorded. The recordation is typically done in the county recorder’s office in the county where the property is located. If you have decided on the type of deed that you need and have the necessary property information, contact us and we can prepare it for you.