ALTA Practice Exam – Complete Prep Resource

A property deed serves a fundamental legal function by transferring ownership of real property from one party to another. When a deed is executed and delivered, it signifies a formal and binding agreement that details the change of ownership rights. This document includes vital information such as the names of the buyer and seller, a description of the property, and may also contain warranties about the title. The transfer of ownership is not complete until the deed is recorded with the appropriate government authority, which ensures that the change is recognized and an official record is maintained.

While the other options describe important documents related to real estate, such as rental agreements, zoning regulations, and tax records, they do not serve the primary function of transferring ownership, which is the key purpose of a property deed. Each of these other aspects plays a role in the broader context of property management and governance, but a deed specifically fulfills the crucial role of legally establishing who owns the property.