Legal Definitions - Warranty deed

A warranty deed is a legal document used in real estate transactions where the seller (grantor) guarantees that they have clear ownership of the property and the right to sell it to the buyer (grantee). This means that the grantor is legally responsible for any issues that may arise with the title of the property.

For example, if John sells his house to Jane using a warranty deed, John is guaranteeing that he is the rightful owner of the property and has the right to sell it to Jane. If it turns out that John did not have clear ownership of the property, Jane can hold John legally responsible for any damages or losses she incurs as a result.

Another example would be if a developer is selling a piece of land to a buyer. The developer would use a warranty deed to guarantee that they have clear ownership of the land and the right to sell it to the buyer.