What is a deed?

What is a deed?

• A. A verbal agreement for property transfer
• B. A document of title that transfers ownership of the land
• C. A receipt for property taxes
• D. A written lease agreement

Answer: (B)

A deed is a formal legal document that serves as evidence of ownership and is used to transfer title of real property from one party to another. This document not only conveys ownership rights but also outlines specific details about the property, including its boundaries and any applicable covenants or restrictions. When correctly executed and delivered, a deed provides assurance that the transferee (the new owner) has clear rights to the property specified in the deed. In real estate transactions, a deed is essential because it establishes who holds title to the property and is necessary for recording the transaction in public land records, thereby protecting the rights of the new owner against claims from third parties. The other options, while they may relate to real property in some manner, do not fulfill the legal function or purpose of conveying ownership in real estate.

A deed is a formal legal document that serves as evidence of ownership and is used to transfer title of real property from one party to another. This document not only conveys ownership rights but also outlines specific details about the property, including its boundaries and any applicable covenants or restrictions. When correctly executed and delivered, a deed provides assurance that the transferee (the new owner) has clear rights to the property specified in the deed.

In real estate transactions, a deed is essential because it establishes who holds title to the property and is necessary for recording the transaction in public land records, thereby protecting the rights of the new owner against claims from third parties. The other options, while they may relate to real property in some manner, do not fulfill the legal function or purpose of conveying ownership in real estate.