Escrow & Title
A deed must be delivered and accepted to be effective. The primary purpose of recording a deed is to:
AMake the deed legally valid between the parties
BProvide constructive notice of ownership to the public✓ Correct
CSatisfy the lender's title insurance requirement
DTrigger the state recordation tax payment
Explanation
Recording a deed in the county register of deeds provides constructive (legal) notice to the world of the buyer's ownership. The deed is valid between the parties upon delivery and acceptance, but recording protects against subsequent claims by third parties.
Related Tennessee Escrow & Title Questions
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