The grant deed is the standard conveyance in California and several western states. It occupies the middle ground between deed types: unlike a quitclaim it carries real covenants, but unlike a general warranty deed those covenants are implied by statute and limited to the grantor's own acts.
The word GRANT is what does the work: by statute it implies that the grantor has not already conveyed the property to someone else and has not saddled it with undisclosed encumbrances.
The two implied covenants
- No prior conveyance: the grantor has not already transferred the same estate or any interest in it to another person
- No undisclosed encumbrances: the grantor has not placed or allowed liens or encumbrances on the property other than those of record
Neither covenant reaches back before the grantor's ownership, which is why every California purchase closes with an owner's title insurance policy. In an escrow sale, the title company prepares the grant deed from the preliminary report; this template serves the direct transfers people handle themselves: into a living trust, between family members, or after a divorce.
The California recording package
A grant deed does not record alone in California. The recorder expects a Preliminary Change of Ownership Report (PCOR), the documentary transfer tax amount or a stated exemption, and the name and address where future tax statements go. Transfers into a revocable living trust and many interspousal transfers are exempt from both transfer tax and property tax reassessment, but only if the correct exemption is claimed on the paperwork.
Reassessment is the expensive mistake
An avoidable change-of-ownership reassessment can raise property taxes permanently. Before deeding property to family, check the current parent-child and interspousal exclusion rules, which narrowed significantly under Proposition 19.
Vesting: how the grantee takes title
The grantee line should state how title is held: sole ownership, joint tenancy with right of survivorship, tenancy in common, or community property with right of survivorship for married couples in community property states. Vesting controls what happens at a co-owner's death and how creditors reach the property, so it deserves as much attention as the price. When in doubt for a married couple in California, community property with right of survivorship usually combines the survivorship benefit with the full step-up in basis.
Frequently asked questions
Is a grant deed the same as a warranty deed?
No. A general warranty deed warrants the entire chain of title expressly. A grant deed implies two covenants limited to the grantor's own acts. In protection terms it sits close to a special warranty deed.
Which states use grant deeds?
California is the main one, with similar statutory deeds in states like Idaho and North Dakota. Elsewhere, the special or general warranty deed fills the same role. Use the deed form conventional in the property's state.
Do I need a grant deed to put my home into a living trust?
In California, yes, that is the standard method: you grant the property to yourself as trustee. The transfer is normally exempt from transfer tax and reassessment when the correct exemption boxes are completed.
Does a grant deed need witnesses?
No. Notarization of the grantor's signature is required, and California notaries attach an acknowledgment with statutorily prescribed wording. Recording then protects the grantee's priority.
What is documentary transfer tax?
A county (and sometimes city) tax on transfers for consideration, commonly $1.10 per $1,000 of price at the county level in California. Gifts and many family and trust transfers are exempt when the exemption is declared on the deed.