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A quit claim deed is a real estate related legal document used to transfer a person's interest in real estate to another person. It is generally a written document that transfers the title (ownership) of real property such as a home or piece of land. This document is sometimes referred to as a quick claim deed incorrectly.
A quitclaim deed offers no warranties or guarantees that the owner has good title or ownership, but simply conveys whatever interest exists when the deed is executed (transferred) and delivered. This type of real estate deed only transfers the interest that the grantor has at the time that the deed is executed. A quitclaim deed does not warrant or guarantee that the grantor has any interest in the property.
This type of real estate deed is commonly used during divorce as a way of transferring real estate title from one spouse to the other as ordered by the court or divorce settlement.
Transfers between well known persons such as family members can also be accomplished easily by using a quit claim deed. Many times this includes estate planning and other inter family real estate transfers.
The quit claim deed contains no warranties. For this reason it is not advisable to accept this type of deed when purchasing real estate from an unknown party. The quitclaim does not warrant or imply that the grantor is the owner or has any interest in the property being transferred. Because of this the grantee would have little or no recourse against the sell if the grantee was to accept this type of deed.
Title companies often require quit claim deeds to clear up what they consider to be a cloud on the title prior to issuing title insurance.
Lenders may require someone such as a spouse who is not going to be on a loan to complete and record a quitclaim deed prior to funding the loan in order to secure their position in the chain of title to the property. |
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Quitclaim Deed Information
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| One of the most common misconceptions in real estate is that you can add someone to a deed. The chain of title in real estate has been established so that an interest in real estate can not be valued by the amount of time an owner has been in possession of the real estate. If one person owns a piece of real estate and that person wants to bring on another owner the current owner would be giving up their interest in the property to themselves and the other person. Both people would be acquiring t... read more |
| In today's world it is not uncommon for one spouse to have better credit than the other. When it comes to purchasing real estate this can make a big difference with financing. Many time lenders will suggest that only one spouse, the one with better credit, apply and qualify for the loan or refinance. To do this the lender will often ask the spouse with the lessor credit history to complete and record a quit claim deed giving up their interest in the property.
While this is common practice it ... read more |
| Amongst the several methods that exist for transferring property, quitclaim deed emerges on the forefront. It is the easiest way to transfer property during the sales process and is a simple means of granting ownership.
The quitclaim deed is a legal instrument through which the owner of the property (grantor), transfers his/her share of the property to a recipient (grantee). The grantor terminates his/her right and claim to the property, thus allowing the transfer of claim to the grantee. Alt... read more |
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General Format of a Quit Claim
Deed |
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- Margins
- Quit Claim Deed Margins are
a requirement of local
recorders. They give space for
recorders to mark up a deed with
the needed references to where
and when the deed was recorded.
- The required margins on a
deed vary by state and county.
- The most important margin on
a quit claim deed is generally
the top margin. This margin can
be as large as 4 inches of blank
space from the top of the page.
- Title Section
- This section tells the world
that the document is a quit
claim deed
- Executed Section
- This quit claim deed
executed... this tells the world
that the deed was executed on a
specific date.
- Grantor Section
- This section on a quit claim
deed lists the names of the
grantors who will be giving the
interest in the real estate to
the grantees.
- Most states require that
this section include the
grantor's name(s), address(es),
and marital status.
- Grantee Section
- This section lists the
grantee(s) that will be
receiving the interest in the
real estate from the grantor(s).
- This section should list the
grantee(s) name(s), address(es),
marital status, and vesting
information.
- The vesting information
describes how the grantee(s)
will hold title to the property.
- Habendum Section
- The habendum clause in a
deed which defines the type of
interest and rights to be given
to the grantee by the grantor.
- This section usually
includes the consideration that
the grantor will receive from
the grantee in exchange for the
property.
- Consideration is usually
money however it can be anything
of value including love and
affection.
- Legal Description
Section
- The legal description
section of a quit claim deed
describes the real estate that
is being transferred to the
grantee by the grantors.
- There are 4 types of legal
descriptions used in real estate
ownership in the USA. Metes and
bounds, Government land survey,
Lot and block numbers, and
Monuments.
- The legal description is one
of the most important parts of a
deed.
- The best way to get an
accurate legal description is to
review a previous deed for the
property.
- Signor Section
- The signor's section is the
area where the parties to the
deed who are required to sign
make their mark on the deed.
- Requirements as to who must
sign a deed vary from state to
state. Some states require that
only the grantor need sign,
others require the grantor,
grantee, and witnesses.
- The quit claim deed should
not be signed until in the
presence of a Notary Public.
- Notary Section
- The notary section of a quit
claim deed is the area where a
Notary Public acknowledges that
the person(s) signing the deed
are who they say that they are.
- Most states require that a
deed be notarized in order to be
valid and enforceable.
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