What is a Pennsylvania Real Estate Title Deed?
Published: August 8, 2017
Part of our Real Estate Law Series
A Pennsylvania Real Estate Title Deed is considered documented proof of ownership of real property in the state of PA. The real estate title to real property is conveyed by a deed. It can also be an interest in real property that is provided through the Commonwealth of Pennsylvania or your current State.
A title will include the following:
– details the person(s) in whom title is vested
– how that person(s) interest is evidenced
Since a title conveys ownership or interest in real property, it is also subject to all taxes, assessments, covenants, conditions, restrictions, easements, limitations, reservations, rights, obligations, powers, rights of way, liens, and charges of record.
PA Real Estate Title Deed for Buyer
A potential buyer is encouraged to investigate the title report when buying a property. This is often performed by a title company in Pennsylvania. Other states utilize closing companies and attorneys. A title search will show what past liens have been satisfied and what other matters may have on the use of the land.
Interests in Land
The following are ways that various types of interest are conveyed, liened or associated with real property.
1. A mortgage on real property is a lien on the property, and is classified as intangible personal property.
2. A contract to convey real property constitutes an equitable conversion. If the decedent was the seller, the decedent’s interest is classified as intangible personal property. If the decedent was the buyer, the decedent’s interest is classified as real property.
3. A lease of real property is an interest in land, and is classified as real property.
4. A decedent’s beneficial interest under a land trust agreement is classified in accordance with the provisions of the trust agreement. If the agreement provides that the beneficial interest consists of an undivided interest in the land, the interest is classified as real property. If the agreement provides that the beneficial interest consists of an interest in the earnings or proceeds, with no right, title, or interest in any portion of the land, the interest is classified as intangible personal property.
Pennsylvania Real Estate Title Deed Encumbrance
An encumbrance is a charge, claim, or liability on real estate. An encumbrance may reduce a property’s value or place restrictions on how it can be used; however, it does not necessarily prevent title to the property from transferring to someone else.
There are two types of encumbrances:
1. Encumbrances that affect only title, such as liens and deed restrictions
2. Encumbrances that affect both the title and the physical condition of the property, such as easements and encroachments
If you have questions about real property, personal property & land use, contact an attorney. Remember it’s always Buyer Beware when you considering real property, especially when reviewing your new Pennsylvania real estate title conveyed by deed.