Florida deeds are required in most real estate transactions, and they provide valuable protection in others. If you are going through a real estate property transaction, it is important to speak to an attorney that can help you identify the type of deed you need, the new and current owners, and any other pertinent information required for the complete deed that will meet your specific needs. Below are some of the most common types of deeds that our Florida deeds lawyer can help with.
Corrective deeds allow a person to make any corrections to an original deed, although they are not always necessary. For example, if the original deed did not contain a date, or the date was wrong, this does not necessarily call for a corrective deed. On the other hand, if there is a typo in the legal description, this is a much more significant error and could impact the classification of the property. In this case, a corrective deed is necessary. After a corrective deed is recorded, any invalidities of the original deed are rendered irrelevant and the deed is considered valid once again.
Lady Bird Deeds
Lady bird deeds are special types of deeds outlined in the Florida Statutes. Through a lady bird deed, an owner of real estate property can use and control the premises for their entire life. Upon their death, ownership of the property will automatically transfer to the owner’s heirs or beneficiaries without the need of going through probate. It is important to note that with a lady bird deed, you are not prevented from selling the property during your lifetime even when the grantee, or the person that will inherit the property, does not consent.
Quit Claim Deeds
A quit claim deed will transfer the interest the grantor, or the old owner, had in a property to the grantee, or the new owner. While a quit claim deed will successfully transfer the property, it will not provide any warranty or guarantee that there are no issues or defects on the title. Only a warranty deed can do that. As a result, quit claim deeds are not typically appropriate when the grantor and grantee are strangers. However, a quit claim deed is quite useful when transferring ownership of property to a relative, an LLC, or a trust.
Warranty deeds transfer ownership of a property from the original owner, known as the grantor, to a new owner, known as the grantee. Essentially, a warranty deed ensures that the grantor has the legal right to the title and that there are no other ownership claims on the property. A warranty deed also promises the grantee that the grantor will defend against anyone that comes forward in the future arguing that they have a real interest in the property.
The documentary stamp tax (“doc stamps”) is an excise tax imposed on certain documents executed, delivered, or recorded in Florida, which transfers an interest in Florida real property. The tax is levied at 70 cents for each $100 of consideration for most recorded documents (i.e., deeds). For purposes of determining whether doc stamps are owed, consideration is defined as: money paid or agreed to be paid, the discharge of an obligation, and the amount of any mortgage, purchase money mortgage lien, or other encumbrance, whether or not the underlying indebtedness is assumed. It is important to note, that if the transfer involves multiple forms of consideration (a mortgage AND there is consideration paid) the amount taxed will be the sum of both. There are several exceptions to the required payment of doc stamps, however, the laws are complex and failure to pay or payment of incorrect tax carries stiff penalties.
We Can Advise on the Florida Deeds Right for You
If you are entering into a transaction involving real property, our attorneys at My Florida Deed can help. We will advise on the type of Florida deeds that are right for your situation, and help you through the process to ensure it is done correctly. Call us today at 321-379-7690 or contact us online to learn more about how we can help.