What type of assurance does a warranty deed provide to the buyer?

A warranty deed is a legal document that provides a high level of assurance to the buyer regarding the ownership of the property. The key aspect of a warranty deed is that it ensures the seller holds clear title to the property being transferred. This means that the seller has the legal right to sell the property and there are no legal claims or disputes over ownership.

The assurance provided by a warranty deed extends beyond just the transfer of ownership; it typically includes a guarantee that the property being conveyed is free from any encumbrances or defects in title, except those that are explicitly disclosed. This commitment to a clear title is vital for buyers, as it protects their investment and ownership rights.

In contrast, while concerns about encroachments, liens, and future market values are important factors in real estate transactions, they are not central features of the assurances provided specifically by a warranty deed. Rather, the focus is primarily on the seller’s assurance of clear and unencumbered title.