Deeds are an essential part of buying, selling, or otherwise transferring real estate. They are legal documents that facilitate the transfer of property ownership. In Washington, there are three primary types of deeds: the statutory warranty deed, bargain and sale deed, and quitclaim deed. Each type of deed carries different levels of protection for the buyer, which we’ll explore in this post.
Statutory Warranty Deeds: The Most Warranties
The statutory warranty deed provides six specific warranties to the buyer, giving the strongest level of protection. These warranties ensure:
- Rightful Ownership: The seller legally owns the property and has the authority to sell it.
- Freedom from Encumbrances: The property is free of any liens or encumbrances unless specifically stated.
- Right to Convey: The seller has the right to transfer the property.
- Defense Against Claims: If someone challenges ownership, the seller will defend the buyer’s title.
- Quiet Enjoyment: The buyer can enjoy the property without disruption from others claiming ownership.
- Further Assurances: The seller promises to do whatever is necessary to fix title issues that may arise.
These warranties make the statutory warranty deed the most comprehensive option. Statutory warranty deeds are commonly used in transactions with third parties, like buying and selling commercial or residential property.
Bargain and Sale Deed: Limited Warranties
The bargain and sale deed offers fewer warranties, providing moderate buyer protection. The seller guarantees:
- Rightful Ownership: They own the property.
- Right to Convey: They have the right to transfer the property.
- Freedom from Encumbrances: The property is free from encumbrances caused by the seller, but not necessarily prior owners.
This deed provides less security than the statutory warranty deed, as it doesn’t protect the buyer against issues that may have arisen before the seller’s ownership. Bargain and sale deeds are often used when transferring property after the owner dies, such as in a probate.
Quitclaim Deed: No Warranties
With a quitclaim deed, the seller transfers whatever interest they have in the property, without any guarantees or warranties for the buyer. This deed is often used for transfers between family members, settling disputes, or clearing title issues.
Part Two: The Language That Defines Deeds
The legal language of each deed type is precise and is governed by statutory law in the Revised Code of Washington (“RCW”). Here’s a look at how the phrasing differs. Keep in mind the quoted language comes directly from the cited statute:
Statutory Warranty Deed
The language creating a statutory warranty deed is “conveys and warrants.” These words are crucial because they incorporate the six warranties into the document by law. RCW 64.04.030 prescribes this terminology, ensuring the broad protections discussed earlier.
Bargain and Sale Deed
These deeds use “bargains, sells, and conveys,” signifying the seller promises ownership and the right to sell but provides limited warranties. Reference to RCW 64.04.040 will show the language details mandated for this deed.
Quitclaim Deed
The key language includes the phrase: “conveys and quitclaims.” This means the seller transfers whatever rights they have in the property but provides no warranties or guarantees. See RCW 64.04.050.
Conclusion
Each type of deed serves a distinct purpose, and whether you’re buying, selling, transferring, or receiving real estate, navigating the complexities of these documents requires guidance. Partnering with our experienced legal team ensures that your interests are protected, and every detail is handled with precision and care.
To learn more about Property Transfers in Washington, please contact Beresford Booth at info@beresfordlaw.com or by phone at (425) 776-4100.