How to Transfer a Land Title

The instrument used to transfer a land title is called a property deed. There are many types of property deeds, and they are largely differentiated by the kinds of promises, called warrants, they convey. In the language of the deed, the seller is called the grantor and the buyer the grantee. Transferring title is done by drafting and executing a property deed.

Instructions

1. Identify the parties, the property, and consideration. The opening of a property deed is called the premises. It should clearly identify the grantor and grantee (often by name and address), describe the subject property (including address, if applicable), and should indicate that some form of payment or consideration has been exchanged for title to the property.

2. Set forth conditions. If there are pending conditions upon which the sale is based, these should be listed in the deed. Such conditions could include the completion of financing the purchase, or that no other claims against the property arise.

3. Make warrants. The extent of the warrants defines the kind of deed being executed. A general warrant contains a promise from the grantor that he is in sole possession of the title, that he has not sold the property to anyone else, and that he is not aware of any outstanding claims against the property by creditors. A special warranty deed is similar but only refers to claims arising since the grantor's acquisition of title. A bargain and sale deed is one in which the grantor warrants her right to sell the property, but makes no promise about other claims or creditors.

4. Insert covenants. A covenant is an obligation on either or both parties to do (or not do) certain things after the execution of the deed. If there are covenants, they should be placed after the warrants.

5. Execute. The deed must be signed by the grantor and witnessed. It is usually notarized as well, but not all jurisdictions require this step. A deed need not be recorded to be valid, but most are, because of the added protection this gives the buyer/grantee. Deeds submitted to the county recorder's office become a matter of public record.

Tips & Warnings

• The precise language and phrasing of a deed is crucial to its validity. It is necessary to either use a form or have a lawyer review a deed before assuming its enforceability.

• It is not necessary to put the actual sale price of the property on the deed. To preserve the privacy of the transaction, language evidencing the exchange of adequate consideration is all that is necessary.

References

• Property Deed
• Deeds FAQ
• Deed

Resources

• Westlaw Electronic Deed Database