Escrow & Title

A New York seller's attorney sends the deed to the buyer's attorney at closing. At what point does legal title to the property pass to the buyer?

AWhen the purchase contract is signed
BWhen the deed is delivered to and accepted by the buyer (or buyer's attorney)✓ Correct
CWhen the deed is recorded in the county clerk's office
DWhen the mortgage is funded by the lender

Explanation

Under New York real property law, title passes when the deed is delivered by the grantor and accepted by the grantee (or their agent). Recording is necessary to protect against subsequent purchasers and creditors (under the race-notice statute), but the title itself passes upon delivery and acceptance.

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