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Special warranty Deed

Special warranty Deed

What is a special warranty deed?

A special warranty deed is when the previous homeowner or seller only provides a warrant for damages to the property that occurred while the property was under them. The seller, in this case, is also referred to as the grantor. The seller will not provide compensation for damages that occur after they hand over the property or even for damages present before they took ownership of the property. A special warranty is usually given in a commercial property transaction. Single-family homes or other residential property deals usually include a general warranty deed. That is because most mortgage lenders and banks insist on a general warranty deed. Special warranty deds have different names in different states and are also referred to as covenant deeds, grant deeds, and limited warranty deeds. The special warranty ded does not pay for the repairs of damages caused during the free and clear title that existed before the seller owned the property. Hence, the grantor, the seller, in this case, is only held accountable for property damages caused under their ownership. A special warranty ded protects the seller from being charged for any other repairs unrelated to that specific period, including debts, liens, or other encumbrances. Know more about the payment plan of 1947 Housing

A general warranty deed

A general warranty is used to provide the transfer of ownership of the real estate property and comes with a guarantee provided by the seller. The guarantee promises that the property is being transferred and the title is free of any claims, outstanding mortgages, or liens and hence is similar to a special warranty ded. However, unlike the special warranty ded, a general warranty deed is not for a limited period. A general warranty deed covers the property’s complete history, including the period before the seller’s ownership. It promises the buyer that the house is free of all types of defects regardless of whether they took place during the seller’s ownership. A general warranty deed also assures the buyer that there will be no legal problems with the title or the ownership of the house. You can also buy plots in Kingdom Valley Islamabad.

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Difference between a special warranty deed & a general warranty deed

A special warranty ded, also called a limited warranty deed, is a type of general warranty deed. The word special might confuse the readers with being better than a general warranty deed, but the reality is quite different. The special warranty ded is less comprehensive & provides less protection to the buyer due to its limited period. In transactions of residential properties, a special warranty ded is only used during foreclosure or during the forced sale of the property to pay the debt.

Similarities between a general warranty deed and a special warranty deed

 There are some basic principles and rules that both deeds follow. For example, both of them contain the name of the seller or grantor, the buyer’s name, the location of the property, and its whereabouts; moreover, in both the deeds, the grantor warrants that they are the legal and sole owners of the property, that no third party can make any claims on the property and that there will be no problems in the transfer of ownership or title. The seller is also expected to take all necessary steps to ensure that the grantee gets the property’s title.


There are many benefits of a special warranty ded, and it is extremely useful during the sale of a foreclosed house. It ensures a smooth transfer of ownership between the buyer and the seller and eliminates all risks of there being any claims on the title of the property. However, a special warranty ded provides narrow protection to the buyers and is usually not used for residential problems. You should also read more about Lahore Smart City.

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Author bio 

Ramza Zahra is a Karachi-based freelance content writer who uses her life experiences and curious nature to research and pen it down and make a living. Currently, she is working with Sigma Properties as an Snr. Content Writer.

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