3.3 Statutory Deeds, Title Alienation & Title Insurance Policies

🎯 Key Florida Real Estate Statutory Takeaways

• A valid Florida deed requires: writing, competent grantor, granting clause, legal description, grantor signature before TWO subscribing witnesses, and delivery/acceptance.
• General Warranty Deeds provide maximum protection, containing five covenants including Seisin and Warranty Forever.
• Quitclaim deeds convey whatever interest the grantor holds with zero warranties; ideal for clearing clouds on title.
• Owner's title insurance covers full purchase price and is non-transferable; Lender's title insurance covers loan balance and is transferable.

Title to real estate is transferred through alienation. Voluntary alienation occurs by deed or will. Under Florida Statute § 689.01, a valid deed must be in writing, executed by a competent grantor, identify an intended grantee, contain granting language (words of conveyance), specify a legal property description, and be signed by the grantor in the presence of two subscribing witnesses. The deed takes legal effect upon voluntary delivery and acceptance during the grantor's lifetime.

Florida recognizes four primary deed types. The General Warranty Deed (F.S. § 689.02) offers the highest protection, containing all five common-law title covenants: Seisin, Against Encumbrances, Quiet Enjoyment, Further Assurance, and Warranty Forever. The Special Warranty Deed warrants title only against defects arising during the grantor's period of ownership. The Bargain and Sale Deed implies ownership (seisin) but contains no future covenants. The Quitclaim Deed conveys whatever interest the grantor currently holds with zero warranties, commonly used to clear clouds on title.

Constructive notice (legal notice) is achieved by recording the deed in the public records of the county where the land lies under F.S. § 695.01. Actual notice occurs when an individual acquires direct, firsthand knowledge of an unrecorded transaction or inspects the physical premises.

Title insurance indemnifies against financial loss caused by hidden past defects. An Owner's Policy is issued for the purchase price, protects the owner and heirs, is non-transferable, and lasts indefinitely. A Lender's (Mortgagee) Policy is issued for the mortgage amount, protects the lender, declines as the loan amortizes, and is freely assignable when the note is sold in the secondary market.

⚠️ Common Pearson VUE / FREC Exam Traps

• Requiring the grantee to sign the deed — in Florida, ONLY the grantor signs the deed before two subscribing witnesses.
• Believing recording is required for a deed to be valid between grantor and grantee — recording provides constructive notice, but is not mandatory for validity.
• Assuming quitclaim deeds cannot convey fee simple title — if the grantor owns fee simple, a quitclaim conveys full fee simple ownership.