Q: in a special warranty deed, why would they add that a mortgage encumbers the property in it?
I am transferring half of my house to my daughter since I moved out to get assisted living. On the special warranty deed she sent me to sign, there is this sentence: "This is not "homestead" real property of Grantor, and Grantor confirms this is a conveyance which is not pursuant to a sale and a mortgage encumbers the property in the amount of $250,000 and, therefore, appropriate documentary stamps are affixed hereto." What does that mean?
Lawyers, want to be a Justia Connect Pro too? Learn more ›
- (865) 637-3035
- View Profile
- Answered
A: The annotation of the mortgage is a stated exception to an otherwise clear title, but all other encumbrances are warranted against. That is proper, but apparently being a special warranty deed some of the normal four covenants of title are not made in that instrument.
Barbara Billiot Stage agrees with this answer
A: It means you no longer have homestead exemption on the property since you do not live there and there is a $250,000 mortgage on the property.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
