Structure Title Warranty For Free

A warranty of title is a guarantee from the seller that they can legally sell the home and that there are no liens on it. A lien on a home gives someone a legal claim to a portion of a property for money owed.

Implied warranties are governed by state laws, not federal laws. The two key types of implied warranties are merchantability and fitness.

Every seller, by the mere act of selling, makes a warranty that the seller's title is good and that the transfer is lawful as to passage of title. A warranty of title may be specifically excluded in the contract documents, or the circumstances may be such as to prevent the warranty from arising.

A quit claim deed does not contain any warranty of title, so the grantor in a quit claim deed makes no promises as to the quality of the grantor's title to the property, or even that that the grantor has any title to the property.

An implied warranty is automatically presumed regarding the sale of goods or real property, which prevents a risk from transferring to the buyer. An implied warranty is different from an express warranty, where the seller has expressly promised by words (i.e. orally or in writing) or conduct (e.g., sample or model).

Warranty of title can give the buyer of a property legal recourse to sue the seller if there is a claim or issue attached to the property. For example, an heir of a prior owner may have an unresolved claim to the property that was not made known by the seller.

A general warranty deed must include the following to be valid: The name and address of the seller (called the grantor) The name and address of the buyer (called the grantee) A legal description of the property (found on the previous deed) A statement that the grantor is transferring the property to the grantee.

Another implied warranty is the warranty of title, which implies that the seller of goods has the right to sell them (e.g., they are not stolen, or patent infringements, or already sold to someone else).