Property Deeds
A deed is the document which transfers ownership of real property. It names the current owner (the “grantor”) and the new owner (the “grantee”), describes the property, and states what promises the grantor makes about the title. A deed takes effect when it is signed and delivered, but it should always be recorded with the county clerk and recorder (for the Estes Valley, Larimer County) so that the transfer is part of the public record.
Types of Deeds
-
General warranty deed. The grantor promises that the title is good against everyone. This is the deed typically used in a sale.
-
Special warranty deed. The grantor promises only that nothing happened to the title during the grantor’s own ownership. Elkhorn Law uses a special warranty deed when clients convey their home to their own Trust.
-
Quitclaim deed. The grantor transfers whatever interest they have, if any, with no promises. Quitclaim deeds are useful for clearing up title (e.g., releasing a former spouse’s interest) and transferring property to an association, but should not be used where the grantee is relying on the title.
-
Beneficiary deed. A deed that names who will receive the property at the owner’s death, without giving up any rights during the owner’s life. It must be recorded before the owner dies to be effective. See Avoiding Probate.
-
Personal representative’s deed and trustee’s deed. Deeds used to transfer property out of a probate estate or a trust (see Probating a Will).
What Goes Wrong With Deeds
Most deed problems come from small errors: a grantee whose name does not match how it will later need to sell, a missing address, a legal description copied incorrectly from an old deed, or a transfer that overlooks a recorded beneficiary deed or joint tenancy. Where a company or trust is conveying property, a recorded statement of authority is usually needed to show who can sign for it. Each of these can surface years later, when the property is sold or the owner dies, and correcting them then is more expensive than getting them right at the outset.
Before preparing a deed, we review the current vesting deed and title, confirm how the new owner should take title, and prepare the Real Property Transfer Declaration that accompanies most recorded deeds. We then record the deed and send you the recorded copy.
For transfers to a family entity, see Family Cabin LLC. For sales without a broker, see For Sale By Owner.