What risk is associated with not recording a deed?

The risk associated with not recording a deed primarily revolves around the potential for a subsequent purchaser to have their recorded deed take precedence over your unrecorded deed. Recording a deed serves as public notice of ownership, and if a new buyer purchases the same property and records their deed before the original deed is recorded, the new buyer may have superior rights to the property. This could lead to disputes and legal challenges regarding who truly owns the property.

Recording protects against these situations by establishing a clear chain of title and providing legal proof of ownership. Although there may be other risks associated with not recording a deed, such as enforceability in court or challenges regarding property insurability, the priority of claims in real estate transactions is a crucial factor that underscores the importance of recording deeds promptly.