In short, a wild deed is a deed that was not properly recorded or connected to a chain of title. Because of this, wild deeds are commonly not discoverable. It is important to note that the laws concerning properly recording deeds, and what constitutes a valid deed will differ based on the property laws in each state.
In general, A deed is defined as a legal document which transfers ownership rights to a home or other piece of real property from the current owner to a new one. Although there are many different types of deeds, the content of a deed will generally include the following information:
- A description that identifies the property that is being transferred;
- The names of any and all parties who are taking part in the deed transaction, such as the name of the grantor and the grantee; and
- The signature of the party who is transferring the deed.
- Signatures must typically be notarized by a notary public.
Examples of common reasons that a deed may be used include:
- To dictate the transfer of ownership during the purchase or sale of a home;
- To evidence that a property has been inherited or transferred from one family member to another; and/or
- To transfer gifts, trust contents, and certain rights, such as a sheriff’s deed or tax deed.
In any case, if you receive a property deed, it is imperative that you remember to record it with the local county recorder’s department in adherence with the laws of your jurisdiction. Generally, filing a deed will be done in the county in which the property is located.
Although recording a deed is not always required by law, failing to record a deed may lead to serious consequences, including the creation of a wild deed. Once again, if this occurs, the wild deed will be extremely difficult to discover in a title search, if it is discoverable at all.
What Is a Title Search?
A property title search, also known as a title search, is a process that involves reviewing property documents from a county records department in order to find a particular property title’s ownership history. In other words, an individual connects the chain of property ownership when conducting a title search.
A title search is often conducted by the following individuals:
- A title company;
- A real estate attorney;
- An escrow officer; and/or
- A purchaser or seller of a property.
During a title search, the individual conducting the search may examine numerous property documents, including:
- Deeds;
- Court records;
- Name indexes;
- Property indexes; and
- Various other kinds of real estate documents that may be attached to a property.
Title searches are performed in order to confirm that a seller is the actual legal owner of the real property which is being sold. As such, title searches help to ensure that the title of a property is not clouded by a defect which may reduce the value of the property or would otherwise subject the purchaser to some type of legal liability.
In other words, the title search ensures that there is no dispute as to the chain of title which may result in issues such as:
- The property having an unreleased lien or a mortgage lien attached to it;
- Pending probate issues regarding the property;
- Issues involving a foreclosure action on the property;
- Evidence that title to the property is fraudulent or the deed been forged; and/or
- Other documents which may make the property title questionable or result in the purchaser not having complete ownership, such as a sale of the mineral rights or other encumbrances.
What Happens If I Discover a Wild Deed on my Property?
If you discover a wild deed on your property, it will generally not pose a threat to your property rights. This is because wild deeds offer no notice to subsequent good faith purchasers, and, thus, the majority of states will disregard wild deeds under the Recording Act laws.
However, some states may recognize a wild deed as a legitimate deed. This is especially true in cases where the purchaser or owner knew of the wild deed prior to the property transfer occurring. In these cases, action is often necessary by the buyer and seller to take care of the wild deed.
What Should I Do If There’s a Wild Deed on My Property?
If you discover a wild deed on your property, consulting with a real estate attorney or a title professional is often necessary as they will be familiar with the laws in your jurisdiction about how the wild deed may affect you. They will also be able to provide you with your best course of action.
Importantly, you should gather all possible information that you can find concerning the wild deed, such as the date on the deed, the parties involved, and any other corresponding documents attached to it.
Further, if you have title insurance, you should immediately notify your title company about the wild deed, as title insurance is meant to protect you against financial losses due to defects in the title, such as wild deeds.
In some cases, a quiet title action may be necessary. A quiet title action is the legal process aimed at clearing any clouds on the title and establishing your rightful ownership. An attorney will be necessary to initiate a quiet title action in most cases. Other corrective documents may also be needed in order to clarify the chain of title caused by the wild deed. For instance, an affidavit of correction or quitclaim deed may be needed.
What Is Title Insurance?
As mentioned above, title insurance provides protection for a buyer of real property, as well as the mortgage lender, against any defects or problems with a title when an individual is purchasing a piece of real property. There are two main types of title insurance policies that an individual may purchase.
The first type of title insurance is the owner’s policy which protects the new owner of the real property. The second type of title insurance is the lender’s policy, which protects the lender that provided the funding to the purchaser of the property.
As such, the overall purpose of title insurance is to provide protection to both the purchaser and the lender against potential losses or liabilities if there has been a mistake or an issue in the process of transferring the title of the property. In most real estate transactions, title insurance may even be required.
Does Title Insurance Protect Me from Wild Deeds?
In short, it depends. Title insurance may or may not protect you from a wild deed. In many situations, an individual will not be able to recover title insurance benefits if a wild deed exists. The reason for this is because a general title search will not reveal a wild deed. However, if a thorough title search should have discovered the wild deed, then the actions necessary to correct or recover from the wild deed may be covered by title insurance.
Do I Need a Lawyer If I Discover a Wild Deed?
If you have discovered a wild deed that is attached to your property or a property that you are purchasing or selling, it may be in your best interests to consult with an experienced property lawyer. An experienced attorney will be able to advise you of the implications of a wild deed in your state, and advise you of your best course of action.
Additionally, an attorney that handles wild deed property law cases will also help ensure that your property rights are protected. In doing so, an attorney may file the appropriate documentation to have the wild deed removed or assist you with bringing an action against your title insurer if your state recognizes wild deeds as legitimate. Finally, an attorney can also represent you in court, should court intervention become necessary.
