All About Deeds and What They Guarantee!

Facts about deeds can be pretty dry, but it is important to understand the different kinds of deeds and what they cover. As the best title agency at the Lake of the Ozarks, Arrowhead Title is experienced in real estate transactions and we have the expertise to help guide you through the ins and outs of deeds. Read on to learn more!

General Warranty Deeds

These provide the most coverage and protection to the grantee (the one receiving the deed). The seller/grantor is held to certain standards by the general warranty deed and can be sued if there is a violation.

One of the things covered in this kind of deed is called "warranty of title". Basically, this allows the grantee to sue the grantor if the title to the property ends up being defective.

Another thing covered by a general warranty deed is the "warranty against encumbrances". It guarantees that the encumbrances (mortgages, liens, easements) listed in the deed are the only ones. If more are discovered later, the grantee can again sue the grantor.

Limited and No Warranty Deeds

Some deeds do not provide full warranties, and some provide no warranty at all. Read through the following brief descriptions to find out what is guaranteed in each type of deed to help protect your investment.

Special Warranty Deeds
These deeds do not guarantee that there are no issues with the title. It does guarantee that the grantor has the title and that there were not any encumbrances at the time. This kind of deed is typically used for people who will temporarily hold the real estate. For example, trusts, corporations, etc. who don't use the real estate for their benefit.

Bargain and Sale Deeds
This kind of deed also doesn't guarantee against issues with the title or encumbrances. Instead, it just guarantees that the grantor has the title. It is typically used when the real estate has been transferred from a tax sale or foreclosure.

Quitclaim Deeds
This kind of deed has no warranties. It simply conveys the grantor's interest in the real estate property. This is most commonly used when transferring property between family members or when there is a minor error on the existing deed.

Court-Executed Deeds

Some deeds have to be executed without the real estate owner's consent in the case of a legal issue. Some of these deeds include Administrator Deeds, Executor Deeds (executed through a will), Master Deeds, and Sheriff's Deeds.

Trust-Held Deeds

Trusts can be complicated if you're not familiar with the process and language of the paperwork.
First, let's define a few quick terms:

  • Trustor: Also called the grantor, created the trust
  • Beneficiary: Benefits from the trust
  • Trustee: The person administering the trust for the trustor

Deed of Trust
This kind of deed transfers the title to the trustee from the trustor. Sometimes it can be used in place of a mortgage if the deed is used as security for the loan.

Reconveyance Deed
This deed transfers the title back to the trustor from the trustee when the loan is paid off.

Trustee's Deed
The trustee's deed is used when the title is being transferred to someone who is not the trustor. Most commonly, the title is being conveyed to the beneficiary.

Real Estate at the Lake 

Arrowhead Title is the best title agency at the Lake of the Ozarks for good reason! We are experts in real estate transactions and we are on your side. Our core values of accuracy and integrity guide us every day and in every transaction. Call the team you can trust when you buy your next home at the Lake!

Where Accuracy Matters!

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750 Bagnell Dam Blvd Suite B
Lake Ozark, MO 65049


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