Property Deed Types Explained for Lathrup Village, Michigan
At Sonic Title, we've guided thousands of homebuyers in Lathrup Village through a smooth closing experience. Our dedicated team ensures every detail is handled.
What is a Property Deed?
A property deed is a legal document that transfers ownership of real estate from one party to another. It must be signed by the grantor, the person transferring the property, and is typically recorded in the county where the property is located. In Lathrup Village, Michigan, understanding the type of deed involved in your real estate transaction is crucial for ensuring your property rights are protected.
What Are Warranty Deeds?
In Michigan, the warranty deed is the most common type used in home purchases. This deed provides the strongest buyer protection by guaranteeing that the property is free from any encumbrances, except those listed in the deed itself. It assures the buyer that the seller has the right to transfer the property and that there are no undisclosed liens or claims.
When Are Quitclaim Deeds Used?
A quitclaim deed is often used to transfer property between family members or to clear up a title issue. Unlike a warranty deed, a quitclaim deed makes no guarantees about the property's title. It simply transfers whatever interest the grantor has in the property, if any, to the grantee. This makes it a less secure option for buyers.
Understanding Special Warranty Deeds
A special warranty deed is similar to a warranty deed but offers limited protection. It only guarantees that the grantor has not incurred any title issues during their ownership. This type of deed is often used in commercial transactions or when the property is sold by an estate.
Land Contract Deeds
In a land contract, the seller finances the purchase and retains the title until the buyer pays the full purchase price. This type of deed is common when traditional financing is not available. The buyer has equitable title, which gives them certain rights to the property while the seller holds the legal title.
Deed vs Title: Understanding the Difference
While often used interchangeably, a deed and a title are distinct concepts. A deed is the physical document that transfers ownership, whereas a title refers to the legal rights to use and own the property. Owning a title means you have the legal rights to the property, but a deed is necessary to officially record this ownership.
How Deeds Are Recorded in Michigan
In Michigan, deeds must be recorded with the county Register of Deeds to provide public notice of the transfer. This process protects the buyer's interest in the property and helps prevent fraud. The Sonic Title team is experienced in handling this process efficiently, ensuring your deed is recorded swiftly and correctly.
Joint Tenancy vs Tenants in Common
When multiple parties own a property, they can hold title as joint tenants or tenants in common. Joint tenancy includes the right of survivorship, meaning if one owner dies, their interest automatically passes to the surviving owners. In contrast, tenants in common do not have survivorship rights, allowing each owner to transfer their interest via a will.
Changing Names on a Deed
To change names on a deed, such as after marriage or divorce, a new deed must be prepared and recorded. This process can be complex, and Sonic Title's expertise ensures it’s handled smoothly and correctly, safeguarding your property rights.
Protecting Your Property Rights
Ensuring your property rights are protected begins with choosing the right type of deed and properly recording it. Sonic Title, with its deep understanding of Michigan real estate, provides the necessary guidance and support to help Lathrup Village residents navigate these complexities with confidence.
Whether you're purchasing, selling, or updating your property records, our team is ready to assist. Call Sonic Title at (313) 251-5145 for expert advice and a smooth transaction process.
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