Transfer of Title, Deeds, and Recording
Deeds, delivery, and recording
Title passes by deed, will, intestate succession, or operation of law. A valid deed needs a competent grantor, named parties, words of conveyance, a legal description, the grantor's signature, and delivery with acceptance. Consideration is customary but not essential to validity.
Deed types. The Illinois statutory warranty deed carries covenants of seisin, right to convey, freedom from encumbrances, quiet enjoyment, warranty, and further assurance. A quitclaim deed conveys only whatever interest the grantor has, with no covenants. Special warranty deeds are used in practice even though Illinois' statutory short forms center on warranty and quitclaim.
Recording and priority. Illinois is a race-notice jurisdiction: a later purchaser wins only if he takes without notice of the prior interest and records first. Notice may be actual, constructive (recorded), or inquiry. A deed recorded outside the chain of title may not give constructive notice. Recording does not validate a deed between the parties - delivery does; recording protects against later claimants.
Title protection. Title insurance (owner's and lender's policies), title search, abstract of title, and marketable title. Illinois also imposes a state real estate transfer tax, typically $0.50 per $500 of consideration, customarily paid by the grantor and documented on the PTAX-203; local transfer taxes may be added.
Traps: questions implying a deed must be recorded to be effective; confusing an unrecorded but delivered deed (valid between the parties) with priority against a later bona fide purchaser.
Rule of thumb: delivery is the moment of transfer; recording is the moment of protection. A licensee may explain these mechanics but must not give legal advice on title or draft deeds.