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A form of deed that transfers fee title and legal interests in New Jersey real property. A special warranty deed requires a grantor to warrant to the grantee and defend the property on the grantee's behalf only against claims arising by, through, or under the grantor.
Deeds are a legal document that transfers ownership in real estate. New Jersey recognizes multiple kinds of deeds: bargain and sale, quit claim, sheriff's deed, deed in lieu of foreclosure, special warranty, and general warranty deeds.
Special warranty deeds do not protect against mistakes in a free-and-clear title that may exist before the seller's ownership. Thus, the grantor of a special warranty deed is only liable for debts, problems, or other encumbrances to the title that they caused during their property ownership.
The main difference between a grant deed vs. warranty deed is the level of protection offered. A warranty deed offers a higher level of protection than a grant deed. With a grant deed, the grantor is guaranteeing that they haven't sold the property to anyone else, and that it is clear of any liens or restrictions.
Warranty deed pros and cons Guarantees that the owner has a legal right to sell the property. Can be costly ? from around $100 to several thousand dollars ? depending on the transaction. Shows that the title has no outstanding debt claims or liens. Buyer protection differs between general and special warranty deeds.
Unlike a Warranty Deed, the Quitclaim Deed does not include any guarantees about the Property's title. All a Quitclaim Deed does is transfer the exact same rights the owner has at that specific time. If there are outstanding claims against the property, the buyer will be subject to all of the claims.
Warranty Deed Rules and Requirements The name and address of the individual who prepared the deed. The name and address of the current owner (also called the grantor) The name and address of the new owner (also called the grantee) Original signature of the grantor (note: the grantee does not need to sign the deed)