What Is a Warranty Deed in Michigan? A Guide for Property Owners
Michigan warranty deed and real estate property transfer
A Guide for Michigan Property Owners
If you are buying, selling, or transferring real estate in Michigan, you may encounter several different types of deeds. One of the most common is a warranty deed.
A Michigan warranty deed transfers real property while providing specific promises, or covenants, from the person transferring the property—the grantor—to the person receiving it—the grantee.
That makes a warranty deed significantly different from a quitclaim deed, which generally transfers whatever interest the grantor has without the same title warranties.
Understanding that distinction can be important before signing or recording a deed.
What Does a Warranty Deed Mean in Michigan?
Michigan law provides a statutory form for warranty deeds under MCL 565.151.
Under the statute, qualifying warranty-deed language creates covenants that include that the grantor is lawfully seized of the property, has the right to convey it, guarantees quiet possession, represents that the property is free from encumbrances, and agrees to warrant and defend the title against lawful claims. Michigan Legislature
In practical terms, a warranty deed does more than simply transfer whatever ownership interest a person might have.
The grantor is also making legally significant promises concerning the title.
Warranty Deed vs. Quitclaim Deed in Michigan
This is one of the most important distinctions for Michigan property owners to understand.
A warranty deed contains statutory covenants concerning title.
A quitclaim deed, by contrast, generally transfers whatever interest the grantor has in the property without those statutory warranty covenants. Michigan separately recognizes the statutory form of a quitclaim deed under MCL 565.152. Michigan Legislature
For example, if someone signs a quitclaim deed but does not actually own the interest they believe they own, the deed itself does not create ownership that the grantor did not possess.
That's one reason the type of deed being used should match the purpose of the transaction.
Want a deeper comparison? Read our guide: Quitclaim vs. Warranty vs. Lady Bird Deed in Michigan: What's the Difference?
When Might a Warranty Deed Be Used?
Warranty deeds may appear in traditional real-estate transactions where property is being transferred from one owner to another.
However, the appropriate deed depends on the particular transaction.
Before a deed is prepared or signed, property owners should consider issues such as:
How title is currently held
Whether there are existing liens or other title issues
Who is receiving the property
Whether financing is involved
Whether the transfer is a sale, gift, estate-planning transaction, or another type of conveyance
Whether there are unresolved ownership or probate issues
The deed is only one part of the larger transaction.
Does a Warranty Deed Mean There Can Never Be a Title Problem?
No.
A warranty deed provides important covenants concerning title, but the existence of a warranty deed does not eliminate the need to evaluate the property's actual title history.
Liens, competing ownership claims, errors in prior deeds, probate issues, legal-description problems, and other matters can still require investigation.
That's why reviewing the title history can be just as important as determining which type of deed should be used.
What If There Is Already a Problem With My Deed?
Sometimes the question isn't which deed to use next.
The problem may already exist.
For example, a property owner may discover that:
A prior owner's name remains on the title
A deed contains incorrect information
An heir or former spouse may still have an ownership interest
The legal description is incorrect or incomplete
A prior transfer created uncertainty about ownership
A title company identifies an issue before a sale or refinance
Depending on the circumstances, correcting the problem may involve another deed, additional documentation, probate proceedings, or potentially a quiet-title action.
Recording another deed without understanding the underlying title problem can make the situation more complicated.
Frequently Asked Questions About Michigan Warranty Deeds
What is a warranty deed in Michigan?
A warranty deed is a type of real-property conveyance that includes statutory covenants from the grantor concerning title. Michigan's statutory warranty-deed provisions are found in MCL 565.151. Michigan Legislature
Is a warranty deed better than a quitclaim deed?
Not necessarily. They serve different purposes. A warranty deed provides covenants concerning title, while a quitclaim deed generally conveys the grantor's existing interest without those warranties. The appropriate deed depends on the transaction and the parties' objectives.
Can I prepare my own warranty deed in Michigan?
Property owners should be cautious about treating a deed as merely a form to complete. A deed can affect legal ownership of real property, and errors involving the parties, legal description, ownership interests, execution, or the nature of the conveyance can create significant title problems.
Do I need a lawyer for a Michigan deed?
Not every property transfer presents the same legal issues. An attorney can review the existing title, the purpose of the transfer, the parties' ownership interests, and other circumstances before determining what documentation is appropriate.
Before You Sign a Michigan Deed
A deed may only be a few pages long, but it can have long-lasting consequences for ownership of real estate.
Before signing or recording a warranty deed, quitclaim deed, Lady Bird deed, or another property-transfer document, make sure the document actually accomplishes what you intend it to accomplish.
Final Word ⚠️
Have a Question About a Michigan Deed or Property Title?
Upton Law, PLLC assists Michigan property owners with deed review, title issues, real-estate transactions, and related property matters.
Schedule a consultation with Upton Law to discuss your property and your options.
Meet the founderShakeena Melbourne
At the heart of Upton Law is Shakeena Melbourne, founder and Principal Attorney, a lawyer who is a fierce advocate for your peace of mind and happiness.
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