What purpose is served by recording a deed?

Recording a deed primarily serves to provide constructive notice of ownership. When a deed is recorded in the public records, it becomes accessible to anyone who might have an interest in the property. This means that potential buyers, lenders, and other interested parties can verify who the legal owner of the property is, helping to prevent disputes over ownership and claims. Constructive notice signifies that information is available to those who seek it, preventing parties from claiming ignorance of the deed’s existence.

While transferring title to a new owner is an essential aspect of a deed's function, the act of recording itself is what ensures that the ownership is made known to the public. It does not establish market value, nor does it have any bearing on property taxes. Recording fulfills the vital function of ensuring transparency in property ownership, which is crucial in real estate transactions.