What does a special warranty deed guarantee?

A special warranty deed guarantees that the title is free from defects only during the time the grantor owned the property. This means that the grantor is confirming that there have been no issues or claims against the title that occurred while they held the ownership. However, it does not provide assurances about any potential defects or claims that may have existed before the grantor acquired the property.

Understanding this type of deed is crucial because it limits the liability of the grantor and provides a level of protection for the buyer. It indicates that while the grantor is willing to stand behind their period of ownership, they do not offer any warranty against issues that might have arisen before that time. This distinction is important for buyers to consider, as it affects their risk and the level of due diligence necessary when acquiring property.