Escrow & Title

What is 'recording' in Delaware real estate and why is it critical?

ARecording a verbal agreement between buyer and seller
BThe filing of real estate documents (deeds, mortgages, liens, easements) in the county recorder's office — providing public notice (constructive notice) of interests in real property; recording protects rights against subsequent claims✓ Correct
CRecording a property inspection or showing on video for documentation
DA Delaware Real Estate Commission requirement to record all transactions

Explanation

Recording is the act of filing legal documents in the county recorder of deeds office (New Castle, Kent, or Sussex County). Recording provides constructive notice to the world of recorded interests. Delaware follows a 'race-notice' recording act — a subsequent purchaser for value without notice prevails if they record first. Recording is essential to protect a buyer's and lender's interest in Delaware real property.

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