Deed

What is a Deed?

A deed is a signed legal document that transfers ownership of an asset to a new owner. Deeds are most commonly used to transfer ownership of property or vehicles between two parties. The purpose of a deed is to transfer a title, the legal ownership of a property or asset, from one person or company to another. A deed to real property must be properly filed with the local government for its owner to be able to sell it, refinance it, or obtain a line of credit on it. This task is usually undertaken by the property buyer's attorney or title insurance company.

What is the Deed Contract?

Gypsy has developed a smart-contract that replaces the deed of the house. This deed contract is held by the treasury and tracks the underlying real estate asset. These contracts are used to get the value of homes on-chain as well as transfer ownership on-chain. This deed is used to transfer the title to the house.

Essential Deed Elements

While each state has its own requirements, most deeds must contain several essential elements to be legally valid:

• They must be in writing. While most deeds are completed on printed forms, there is no legal requirement that any specific form is used as long as the essential elements are included.

• The grantor must have the legal capacity to transfer the property and the grantee must be capable of receiving the grant of the property. A person who is competent to make a valid contract is considered competent to be a grantor.

• The grantor and grantee must be identified in such a way as to be ascertainable.

• The property must be adequately described.

• Operative words of conveyance must be present. All standard form deeds include the necessary legal language that actually transfers the property.

• The deed must be signed by the grantor or grantors if the property is owned by more than one person.

• The deed must be legally delivered to the grantee or to someone acting on the grantee's behalf.

• The deed must be accepted by the grantee. Typically, deeds are accepted by the grantee but in certain circumstances, the grantee could reject delivery of the deed.

What does the Deed Contract do?

• Transfer ownership of a title after both parties sign the Deed transfer