Title vs. Deed in Real Estate: What’s the Difference?

Many homeowners and buyers confuse a property title with a property deed. Although related, they serve completely different legal functions in a real estate transaction. This guide explains how title and deed differ and why both matter during closing.

📘 What Is “Title” in Real Estate?

Title refers to the legal concept of ownership — your rights to use, control, occupy, sell, or transfer a property. It is not a physical document. Instead, it represents the bundle of rights associated with owning real property.

  • Title gives you the legal right to own and use the property.
  • Title is what the title search and title insurance protect.
  • Title can contain liens, easements, encumbrances, or restrictions.

Title = Ownership rights.

📄 What Is a “Deed” in Real Estate?

A deed is the physical legal document that transfers title from one owner to another. It must be signed, notarized, and recorded in the county’s public records.

  • Deed = the paper document that conveys ownership.
  • Recorded with the county for public notice.
  • Multiple types exist: Warranty Deed, Quitclaim Deed, Special Warranty Deed, etc.

Deed = The document that transfers ownership.

🔍 Title vs. Deed: Key Differences

Concept Title Deed
What It Is Legal ownership rights Official document that transfers title
Physical Document? No — it's a legal status Yes — signed & recorded
When It Matters During ownership & title search During transfer at closing
Includes Liens? Yes — title can show liens or claims No — deed simply conveys ownership
Who Prepares It? Title company/attorney reviews it Attorney or title company drafts the deed

The deed transfers ownership. The title is what you legally own.