Most people in Santa Cruz may believe that the issue of trasnferring the title of a property only comes up when said property is listed for sale. While that may be the most common reason for a title transfer, it is by no means the only one. Some may want to transfer the title of their properties to a spouse following a divorce or when protecting personal assets from business ventures. Others may find it necessary to transfer property ownership to a trust. Or, one may simply want to gift a property to a family member. Whatever the reason, it should be understood that before one tackles a title transfer, he or she must first understand the type of deed that best applies to the transaction.
According to the online publication SFGate.com, there are certain types of specialty deeds:
- Quitclaim deeds: These are used when multiple people with shared stakes in a single property transfer their ownership to a single party.
- Gift deeds: Such deeds transfer ownership of property without requiring payment for it.
- Fiduciary deeds: These deeds give ownership of a property to another who then acts as an agent to sell the property for one who cannot on his or her own.
While these deeds are meant for special circumstances, general deeds are used in standard property transfers. This type of deed protects the one being granted it from any existing claims against a property. The American Bar Association recognizes that grantees will often require certain covenants of title to be included with such deeds. These may include covenants of seisin (guarantees that a grantor does indeed have the right to transfer the property), covenants to defend title (agreements that protection will be given against third party claims), and/or covenants to convey property free of encumbrances.