A warranty deed in Texas is a legal document used to transfer real estate property from a seller to a buyer. It contains warranties, both express and implied, that provide protection to the buyer. The grantor (seller) promises that they have not transferred any part of the property to anyone else and that the property is free from encumbrances. Encumbrances refer to any impediments to the title that do not change the ownership of the land but diminish its value or use. Additionally, the grantor promises to defend and protect the grantee (buyer) against rightful claims of third parties to the property (warranty of title) and assures that the property is free of encumbrances (covenant against encumbrances) .
The warranty in a warranty deed is a warranty of title, not a warranty of the propertys condition. It means that the seller is guaranteeing that they own the property without liens, but they are not promising that the property is in good condition, such as the roof, foundation, plumbing, and other items. If the seller wants to sell the property "AS IS," a special clause needs to be added to the deed.
In Texas, the most common type of deed used is a general warranty deed, which provides the buyer with the most protection. On the other hand, a seller may prefer to use a special warranty deed, which only covers the time period during which the seller held title to the property rather than for all time.
Its important to note that there are other types of deeds in Texas, such as special warranty deeds, no warranty deeds, and quitclaim deeds, but the general warranty deed is the most inclusive and preferred deed for buyers due to the protection it offers.
In summary, a warranty deed in Texas is a crucial legal document that provides protection to the buyer by guaranteeing the title and defending against any rightful claims of third parties to the property. It is the most commonly used deed in real estate transactions in Texas and offers the most comprehensive protection to the buyer.
