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Definition of 'Deed'

A deed is a legal document that transfers ownership of real property from one person or entity to another. It is typically prepared by a real estate attorney and signed by both the seller and the buyer. The deed will include a description of the property, the names of the parties involved, and the purchase price. It will also state that the seller is conveying all of their rights, title, and interest in the property to the buyer.

Once the deed is signed, it must be recorded in the county where the property is located. This process makes the deed a matter of public record and provides notice to any other parties who may have an interest in the property.

There are two main types of deeds: quitclaim deeds and warranty deeds. A quitclaim deed simply transfers whatever interest the seller has in the property to the buyer. It does not make any guarantees about the condition of the property or the seller's title to it. A warranty deed, on the other hand, provides more protection for the buyer. It guarantees that the seller has good title to the property and that it is free from any defects.

In addition to the type of deed, there are also a number of other things that can be included in a deed. These may include:

* Easements: These allow a third party to use certain parts of the property, such as a driveway or a utility line.
* Restrictions: These limit the use of the property in some way, such as by prohibiting certain types of construction.
* Reservations: These retain certain rights for the seller, such as the right to use the property for farming or mineral extraction.

Deeds are an important part of real estate transactions. They provide a clear and legally binding way to transfer ownership of property. By understanding the different types of deeds and what they can include, you can make sure that you are protected in any real estate transaction.

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