What is a common feature of warranty deeds?

Warranty deeds are a vital instrument in real estate transactions because they provide the highest level of protection for the grantee (the receiver of the property). A key feature of warranty deeds is that they assure the absence of encumbrances, meaning the grantor (the seller) guarantees that there are no outstanding claims or liens against the property that would affect the grantee's ownership rights. This assurance is important as it protects the buyer from future disputes regarding property ownership and ensures they are receiving clear title to the property.

In addition, warranty deeds usually come with certain guarantees, including the promise that the grantor has legal authority to sell the property, and will defend the title against any claims made by others. This sense of security is what makes warranty deeds a preferred choice for both buyers and sellers in real estate transactions. Understanding this feature helps in recognizing the legal significance that warranty deeds hold in protecting the interests of the parties involved in the transaction.