Just because you CAN prepare a deed for yourself does not mean that you should prepare a deed for yourself.
If you want to prepare a deed yourself, you may do so, and the clerk of court or county recorder will let you record it. They will not double check it for accuracy or validity.
Knowing when to use which type of deed, and the ‘magic words’ (yes, the law requires usage of particular language, and can be merciless when not done properly) that must be included, requires professional experience and knowledge that only an attorney can provide.
Even the professionals at title companies, many of which don’t have an attorney owner or on staff, ask for the help of one of their underwriting attorneys in drafting the deeds they use to provide title insurance.
There are so many variables in the creation of a deed that must be considered:
Form of deed (should you use a quitclaim deed which can void coverage under your existing title policy? Should you instead use a special warranty deed? What is special about it? Do you really want to give a warranty deed to property that you don’t know if you have good title? How would you know? Trustee’s deed? What do you need to record with a trustee’s deed to show status us trustee if you are a successor trustee? Not properly documenting the trustee’s authority will cause problems in the chain of title that will need to be corrected later.
Proper naming of grantor and grantee:
This seems very easy yet we have often need to correct deeds where something so simple as the proper naming of the grantor was done incorrectly; examples: officers improperly named as grantor rather than the business entity; naming a trust as grantee rather than the trustee as grantee; divorced or married woman’s name changed and prior name not used on new deed as ‘also known as’ so that there is no gap in the chain of title. There are countless examples.
Legal description: Where did you obtain the legal description? Was it correct on the previous deed you are copying from? The property appraiser? They disclaim any warranties of information on their website. Again, something seemingly so easy yet we constantly have to correct amateur attempts. Incomplete or errors in legal descriptions, especially metes and bounds ‘raw’ unplatted land.
Failure to join spouse or recite that property is not homestead: Certain rules apply when conveying homestead property by married persons, which require particular language be placed on a deed indicating marital status or non-homestead status of real estate.
These are just examples of the things that can and do trip people up who try to ‘do it yourself’ with their real estate transfers.
Proper calculation of documentary stamp tax: Calculating the documentary stamp tax due on a deed transfer requires professional knowledge. We can help make sure you are not underpaying, thereby subjecting yourself to potential fines, interest, and penalties, but also make sure you don’t overpay.
Real estate transfers should be handled by experienced, knowledgeable professionals.
If you are not involved in the sale or refinance of real estate, a title company won’t be able to assist you, as they can only handle transfers that are ‘incident to the issuance of a policy of title insurance’.
For non-title insured transfers, if you want it done properly, you need to hire an attorney.
