Special Warranty Deed
A special warranty deed is a type of property deed where the seller guarantees clear title only for the period during which they owned the property. Unlike a general warranty deed, it doesn't protect the buyer against title defects that may have existed before the seller acquired the property.
Example
“The developer provided a special warranty deed that protected the buyer against title defects only during the time the developer owned the property, not from previous owners.”
Memory Tip
It's 'special' because the warranty is limited and specific - not a full guarantee like a 'general' warranty deed!
Why It Matters
This limited warranty means buyers have less protection against historical title issues and should invest in comprehensive title insurance. The type of deed affects your legal recourse if title problems arise after closing.
Common Misconception
Buyers often assume all warranty deeds provide the same level of protection, but special warranty deeds offer significantly less coverage than general warranty deeds.
In Practice
When purchasing a foreclosed property, the bank provides a special warranty deed, meaning they only warrant against title defects that occurred during their brief ownership period, not against any issues from the previous homeowner's time.
Etymology
Combines 'special' from Latin 'specialis' meaning limited in scope, 'warranty' from Old French 'warantir' meaning to guarantee, and 'deed' from Old English 'daed' meaning action - literally a limited guarantee of action.
Common Misspellings
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