What do the terms "grantor" and "grantee" refer to in real estate transactions?

In real estate transactions, the term "grantor" refers to the party that conveys or transfers ownership of a property, while the "grantee" is the individual or entity that receives the property or interest being conveyed. This terminology is foundational in understanding property transfers, as it identifies the roles of the parties involved in the transaction.

When a seller sells property, they are acting as the grantor because they are granting ownership of the real estate to the buyer, who is the grantee. This delineation is important for clarity in legal documents, such as deeds, as it establishes the direction of ownership change. Thus, in the context of real estate transactions, the answer accurately reflects the distinct roles of buyers and sellers in property conveyance.

Other options like landlord and tenant, developer and municipality, or agent and client do not pertain to the property ownership transfer process in the same way as grantor and grantee. These relationships involve different legal responsibilities and rights concerning property use or management rather than ownership transfer.