Everything You Should Know About Special Warranty Deed in Texas
Are you buying or selling real estate in Texas? Property transfer can be complicated and involve a lot of paperwork. If you want to make a safe property transfer, you should get familiar with special warranty deeds and how they differ from the general ones.
What Is a Special Warranty Deed in Texas?
Special warranty deeds provide protection to real estate buyers. With a special warranty deed, the seller guarantees that he or she is the owner of the property. The owner also guarantees that he or she has not had any title issues while the property was in his or her possession. In Texas, special warranty deeds are usually used when the owner:
- Transfers real estate to a trust or business
- Sells a commercial or residential property
- Does not want to be responsible for any prior title problems
The downside of special warranty deeds is that the person transferring the property cannot be held responsible for any issues created before he or she acquired the property. Since the warranty is limited, you won’t be able to take legal action against the current seller of the property if you experience any title issues caused by previous owners.
Texas Special Warranty Deed Language
Special warranty deeds use particular language that involves a lot of complicated structures and legal terms. They have to be written to cover all points that make a deed a special warranty deed. If you are buying a property, it would be wise to hire an attorney to go over the contract. The attorney can search the contract for any hidden information about the property and its title.
Special Warranty Deed vs. General Warranty Deed in Texas
These are the main differences between a special warranty deed and a general warranty deed:
|Special Warranty Deed
|General Warranty Deed
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