What is a deed?

A deed is a legal document that facilitates the transfer of real property ownership from one person to another. This document provides a formal record of the transaction and outlines the details of the transfer, including the parties involved and the property description. Deeds are essential in real estate transactions as they legally confirm the change in ownership and ensure that the transfer is recognized by law.

To provide further context, the other options do not align with the definition of a deed. A contract for leasing a property pertains to rental agreements rather than ownership transfer, while a mortgage agreement involves borrowing funds to purchase property but does not convey ownership itself. Lastly, a financial statement of a property’s value relates to assessing property worth, not the legal transfer of ownership. Therefore, option B accurately represents the function and significance of a deed in real estate transactions.