Property Deeds in Alabama
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Alabama Property Deeds
Property deeds in Alabama are the legal instrument that you need in order to record possession of real property (land and homes). There are several different kinds of deeds to transfer property. The four major types of property deeds in Alabama commonly used are:
- General Warranty Deed
- Special Warranty Deed
- Bargain and Sale Deed
- Quitclaim Deed
General Warranty Deed is the most commonly used property deed in real estate transactions. This deed provides the buyer with the highest level of protection. It requires the grantor (i.e., the seller) to make certain “covenants,” or guarantees. Sellers must guarantee the following in this property deed in Alabama:
- That they own the property and have the right to convey it.
- There are no liens or encumbrances on the property unless specifically mentioned in the deed.
- The title is good against third parties that may attempt to lay claim to the property.
- They will deliver and document the instrument necessary to make the title good for the buyer.
Special Warranty Deed is a property deed wherein the grantor only guarantees against defects in the title that occurred while they owned the property. A grantor guarantees the title is clear all the way back to the origin of the property with General Warranty Deed. With Special Warranty Deed, the grantor only makes that guarantee back to the time they purchased the property. A Special Warranty Deed, the grantor also guarantees that they own the property and have the legal right to sell it. This kind of property deed in Alabama typically goes unused.
Bargain and Sale Deed is a property deed in Alabama that implies the grantor owns the property but makes no guarantees regarding the title. This kind of deed, the buyer gets no protections from liens or encumbrances. Buyers could get in trouble down the road if title defects appear or others claim the property. Specific situations like tax sales or foreclosure actions are examples of Bargain and Sale Property Deeds in Alabama.
The Quitclaim Deed offers the least protection for the buyer. In Quitclaim Deeds, when the grantor transfers the property to the buyer, it terminates the grantor’s rights and claims to the property. Unlike Warranty Deeds, Quitclaim Deeds contain no title covenants. Grantors do not guarantee there are no liens, encumbrances on the property, or that they own the property. This is the least protective property deed in Alabama you can do but is also the most common.
Quitclaim Deeds in Alabama
These Quitclaim deeds lack covenants that buyers typically demand and only used in specific circumstances. Quitclaim Deed examples include:
- When land transfers between family members, as gifts.
- Personal property transfers into a business entity or vice-versa.
- After a divorce when one spouse deeds over real property to their ex-spouse.
Our Birmingham property deed attorneys charge a flat fee to prepare your property deed in Alabama. Then you will need to get it signed and executed. After executing the deed, you will usually be the one to record it in the Probate Court where the property is located. The probate court will charge a filing fee, while determining the tax appraisal value of the property. Before you transfer real property, you should consult with a local Alabama Property Deed attorney that knows local property deed laws.
Quitclaim deeds are generally a quicker and less expensive way to transfer property ownership. Most local attorneys can prepare a property deed in Alabama for you for a low flat rate. Our Shelby County property deed lawyers charge a flat fee to prepare one for you and can do it all online and get it to you very quickly to record with the Probate Court. Call today for a quick consultation to determine what type of property deed in Alabama is right for you.
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