Covenant Deed In Michigan
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How to fill out Michigan Covenant Deed?
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FAQ
A deed is a formal document conveying an interest in real property from one party to another. A covenant is most typically going to refer to a condition that is part of either of those transactions, such as a contractual covenant not to compete or a deed covenant to use property in a certain way.
A covenant deed is a document used by a grantor to transfer a property to a grantee. However, unlike other types of Michigan deeds, a covenant deed provides limited protection to the grantee, entailing that grantors are liable for any problems in the property only within the period of their ownership.
With a warranty deed, the grantor is warranting title against all prior claims - even claims that arose prior to the grantor acquiring title to the property. With a covenant deed (or "deed C") the grantor's warranty is limited to claims arising from the actions of the grantor.
Negative covenants are actions you can't take, while positive covenants are actions you must take. For example, a negative covenant in real estate could prevent you from raising chickens on your property. On the other hand, a positive covenant could require you to mow your lawn.