In Texas real estate, a legal instrument transferring ownership of property while also guaranteeing the grantor’s clear title to the property is referred to as a particular type of conveyance. This document assures the recipient that the grantor possesses the right to sell the land and that the title is free from encumbrances, except those specifically listed in the document itself. For instance, a seller using this instrument to transfer a home to a buyer is promising that they own the home outright and that there are no hidden liens or claims against it (excluding, perhaps, a pre-existing mortgage that the buyer is aware of). The key aspect of this conveyance is the assurance it provides regarding the quality of the title being transferred.
The significance of this type of conveyance lies in the protection it offers to the buyer. By providing assurances of clear ownership, it mitigates the risk of future title disputes or claims. Historically, these instruments developed to provide greater security in real estate transactions, evolving from simpler forms of conveyance that offered less protection. The use of this instrument benefits both buyers, who gain security in their investment, and the overall stability of the real estate market by fostering confidence in property transactions.
