What's the Difference Between a General Warranty Deed and a Special Warranty Deed?
Both General Warranty Deeds and Special Warranty Deeds can be used for real estate sales between parties that are unfamiliar with each other. Ownership of a property is transferred from the seller to the buyer with certain guarantees against future problems or claims, which protect the buyer against fraud.
What Are the Similarities Between a Warranty and Special Warranty Deed?
Both types of warranty deeds (special and general) guarantee the buyer:
That the seller owns the title
That the seller is legally allowed to sell the property
That the property has not already been sold
That the property is free of debt or other claims (aside any mentioned in the deed)
That the seller is responsible for any problems/faults with the property
What Are the Differences?
The primary difference is that a warranty deed covers the property's entire history, whereas the special warranty deed only covers the period of time for which the seller owned it. Therefore, a seller in a warranty deed must defend the title against all other claims and a seller in a special warranty deed is only responsible for debts and problems accrued during his ownership of the property.
Note: If the grantor (seller) does not wish to provide any guarantees, consider preparing a Bargain and Sale Deed or a Quit Claim Deed.