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Quitclaim Deed: A Document that transfers property-interest

Posted on: 05th Jun, 2005 10:42 pm
A quitclaim deed is a legal document that transfers your interest to another individual in the property such as
  • House - A building for human habitation
  • Land - A place which can be used for habitation, investment or any other purpose
  • Mobile home - A movable house that is parked in a place
Two parties are there in a quitclaim deed process – grantor and grantee. Grantor is the party that transfers the property and the grantee is the party that gets the property. In a quitclaim deed, no promises are made by the grantor that the property is lien-free. Before opting for this deed, it is advised that the grantor should consult an attorney and know about the possible consequences of such property transfer.

To help you get a clear idea of what a quitclaim deed (often misspelled as quick claim deeds or quit claim deeds) is, the whole information is divided into different sections:

When to use quitclaim deed

A quitclaim deed is commonly used in the following situations:

  1. In a divorce, when an ex-spouse transfers ownership of the property to the other.
  2. A spouse may add other spouse's name to the property title after marriage only by issuing the spouse a deed.
  3. At the time of purchasing a property, ownership is transferred from the seller to the buyer. For such transfer, parties involved may use a quitclaim, general warranty, or special warranty deed.
  4. Sometimes, previous owner of the property may retain some ownership interest in the property. This interest can be transferred to the new owner with the help of a quitclaim deed.
  5. A person planning a will or a living trust can use the document to transfer ownership of the property into a trust or the person they want to inherit the property.
  6. Parents willing to transfer the ownership in a property to a child or a relative before the property gets stuck in a probate.

6 Steps to follow in a quit claim deed

Preparing a quitclaim deed is very easy. Here are some quick steps to do so.

  1. First of all, obtain a quit claim deed form. You can get the form online. You can also obtain it from the office of the local county recorder.
  2. Fill in the names of the grantor and the grantee. If possible address of both the parties has to be filled in.
  3. Signature of the grantor should be there in the form. In some states, signatures of both the grantor and the grantee are required.
  4. A public notary should verify the signature of the grantor. Generally, the grantor has to sign the deed in front of a public notary.
  5. A legal description of the property is a must. This is because of the fact that without the legal description, deed can’t be recorded in the recorder’s office.
  6. In order to make the deed valid, it should be recorded in the recorder’s office.

Life estates and quitclaim deeds

Even after transferring a property through quitclaim, you can have the right to stay there till your death. This is possible only if you retain a life estate for yourself. A life estate is a kind of estate where you retain interest in the property for your lifetime, and specifically name the person to whom the property is to go to immediately after your death.

Reverse/undo quitclaim

Once you have signed a quitclaim, the only way to get the property back is to have the grantee quitclaim it back to you or prove the transfer was invalid. If you can prove that you signed the deed under threat, external pressure, or the grantee made you sign by telling you false information, then you can have the quitclaim deed invalidated. For invalidating a deed, consult an attorney in your state. Learn more...

This legal document is a good way to transfer property if you are transferring it between family. The best way to transfer property to or from someone who is not family is to use a general or special warranty deed which gives the buyer warranties as well as transfers property.

Related Readings

Related Forum Discussions

My house and home equity was listed as part of my bankruptcy. I didn't give up the house right away. It was not re instated, so now it is in foreclosure so the two companies can decide between the two who is going to get what. They are recommending a quit claim deed, since the house is vacant. Is this a good thing to do? I don't understand when you say by signing you are still responsible for mortgage payments, but I am not due to bankruptcy. Let me know your side.
Posted on: 05th May, 2006 09:40 am
Did you ask them the reason behind asking a quit claim deed?
Posted on: 05th May, 2006 09:49 am
Hi Michelle,

If your house is already in a foreclosure, then I don't think there is any reason to go for a quit claim deed again. One intention may be to be save you from further damaging your credit as the house will not be further in your name.

Otherwise they are going to sell the house and get the mortgage satisfied themselves. Quit claim deed transfers whatever interest you have in the house to the grantee but it has nothing to do with the mortgage.

The mortgage still remains in your name and you are held responsible to pay for it.

Blue
Posted on: 05th May, 2006 10:09 am
I am currently in a chapter 13, without my knowledge or my attorneys,the judge lifted a stay and now the company, that holds the second on my mortgage is going to close, on my houses what can i do
Posted on: 06th May, 2006 07:13 pm
You should consult your attorney 1st, as these action was taken by the court so it a legal issue now. And who else can give you a better advice than attorney.

Your attorney can guide you well on how to stop this.
Posted on: 06th May, 2006 10:35 pm
I completely agree will Mac here. You should consult an attorney ASAP. He is the best person to help you out in this situation.

Thanks,
Jerry
Posted on: 07th May, 2006 07:16 pm
how do you get one of these quit claim deeds filed?
Posted on: 08th May, 2006 12:14 pm
Hi Kathy,

Welcome to MortgageFit Forums.

Regarding quit claim deed; you may file it yourself or take the help of an attorney. I shall recommend to consult an attorney and get it done under his guidance as these real estate deeds are critical to handle for people who are not in that field.

The deed holds the name of the names of the grantors and the grantees and the detail of the interest of the property that is to be transferred.

It needs to be signed by both the grantors and the grantees. After the signatures are over you should get it notarized and get it recorded in the County's recorder office.

Feel free to ask if you have some more doubts.

God bless you.

For MortgageFit,
Samantha
Posted on: 08th May, 2006 12:43 pm
Hi Kathy,

You will get the form for quit claim deed in any office supply store or you can collect it online.

But as suggested by Samantha, you should take the help of a real estate attorney for going through the process and to have a smooth transfer.
Posted on: 08th May, 2006 12:46 pm
My mother owns a home in which my sister rents. My mom is thinking about signing a quit claim deed to sign it over to my sister. My mom wants to know, if she passes, will the house automatically go to my sister. If not, what would happen to the house? Note, the house is not paid off.

Thanks
Posted on: 10th May, 2006 07:59 am
If your mom deeded the house to your sister then she will have the rights over the property.

To be more safe, your mother can also transfer the full ownership of the house to your sister. what I can suggest you is, you should process this under your local attorneys supervission.

Hope this helps.
Posted on: 10th May, 2006 08:32 am
Hi,

Welcome to the Forums.

Through a quit claim deed only the interest in the title gets transferred. And therefore even after your mom signs a quit claim deed she will not be able to transfer all the ownership rights to your sister.

I would advice you to ask your mom to go for a title deed. And like Adonis said to be on the safer side please take help of an attorney.

Please feel free to ask if you have any more problems.

Thanks,
Jerry
Posted on: 10th May, 2006 08:46 am
Hi,

My father and I are in the process of purchasing a home. I will be in school this year and so will not have an income so my father had to be on the loan as a gurantee of payment. The way the loan application is drawn up is as both of us as co-borrowers. I must also mention that it is a FHA non-owner occupied loan. My question is 2 fold. 1st. Is it possible to get my fathers name off of the deed before closing so that he is only on the mortgage as a gurantee of payment and 2. If this is not possible could he quick claim the deed to me after say 2 months. The payments and everythign will still be paid in the same way but he just does not want to be on the deed because of liability issues in the case that something would happen on the property and he was sued.
Posted on: 10th May, 2006 03:00 pm
Hi,

Since you don't have any income, so I think that your father is the primary borrower on the loan. In that case the lender will not allow his name to be removed from the deed.

In any case if any real estate transfer has to be done with a mortgage on it then, you need to inform the lender as otherwise the mortgage may fall due immediately.

James
Posted on: 10th May, 2006 03:31 pm
Hi,

I don't think there is any such chance. Lenders are doing business to make money and they won't allow themselves to take risks.

You may talk to your lender or seek the help of a real estate attorney for appropriate suggestions.

Angel
Posted on: 10th May, 2006 03:43 pm
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