What is the difference between a deed and a contract of sale?

In North Carolina residential real estate law, a deed and a contract of sale are two different documents. A deed is a legal document used to transfer the title of a property from one person to another. It serves as evidence of the new owner’s rights to the property and contains the names of both the buyer and seller. A contract of sale is a contract between the buyer and seller that outlines the details of the sale, such as the purchase price, the closing date, and the responsibilities of each party. The main difference between a deed and a contract of sale is that the deed is a document that is recorded to transfer the title of the property, while the contract of sale is a contract that outlines the details of the sale. Although both documents are necessary for the sale of a property, the deed is the one that legally transfers ownership of the property from one person to another. The contract of sale, on the other hand, is a private agreement between the buyer and seller that outlines the terms of the sale. In North Carolina, a deed has to be notarized and must be filed with the county register of deeds in order to be legally valid. On the other hand, a contract of sale does not need to be notarized or filed with the county office – the contract is legally binding even if it is not filed. Overall, a deed is a legal document that serves as evidence of the new owner’s rights to the property, while a contract of sale is a contract between the buyer and seller that outlines the terms of the sale. Both documents are necessary for the sale of a property to be legally valid, and they should be carefully reviewed before the sale is finalized.

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What is the difference between a deed and a contract of sale?

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