Deeds act as contracts to convey the ownership of a property from one party to another. Depending on the transaction type, deeds may or may not include a warranty. A corporate warranty deed is a type of special warranty deed used when an incorporated business is one of the parties involved in the transaction.
Features
Corporate warranty deeds offer the seller’s guarantee to the buyer in regards to the validity of the chain of title. Generally, special warranty deeds only protect against problems occurring since the seller purchased the property.
Corporation Status
Because corporations are treated differently than individuals for property transactions, deeds involving a corporation must be titled so. State requirements will determine if the listed business name will qualify for corporation status.
Considerations
Additionally, state requirements will determine if a corporation is exempt from transfer taxes on deeds. In certain cases, non-profit companies and government agencies do not have to pay transfer taxes. This is up to the state in which the transaction is taking place, however.
