| Recording the deed is
not required by law in order for the transfer from the seller to the buyer
to take place. However, in order for the buyer to protect themselves from
future claims on the title, the deed should be recorded. A deed is
considered complete once it has been signed, sealed and delivered This
should be done at the time of closing or as soon after the close of escrow
as possible.
The deed becomes a public record and is
part of the property's chain of title. If anyone were to look up your
property, your name would show up as the official owner. You should be sure
that your name and address are correct on the deed, as real estate tax bills
are generated from these deeds.
The document must be acknowledged by an
authorized person, such as a judge or notary public and only written
documents affecting an interest in property may be recorded. The
acknowledgment can not verify the identity of the person signing the
document, and not make any statement or guarantee as to the validity of the
document itself.
In some states, whenever a deed is
recorded, the buyer must also sign a Preliminary Change In ownership Report.
These reports are used by the assessor to determine which properties are
exempt from property tax. In most states, transfer taxes must be paid when a
deed is recorded. Depending on your area, the tax will vary, but will be
generally based on a rate per $1,000.00.of value or consideration or the
price paid for the property. These charges are typically paid by the seller.
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