Quit Claim Deed What is it?

Quit Claim deed is a legal document that helps to transfer your share of interest in the property (house, land, mobile home, etc) to another individual. The person giving away the interest is the grantor while the one who accepts it is the grantee. While the interest is transferred, no warranty is made on the rights which others may claim from the property.

The deed implies that the grantor simply transfers his interest but does not guarantee whether the grantor actually has ownership rights on the property. Moreover, the deed does not guarantee that the property is free of debt.

To help you get a clear idea of the quitclaim deed, I have divided the information into different sections as given below:

How to make the deed valid
When to use the quitclaim
How a life estate can help after you sign over the deed
Reverse/Undo a quitclaim deed

How to make the deed valid

In most states, only the grantor and not the grantee sign the Quitclaim deed form as prepared by an attorney. But there are some states which do require the grantee to sign the deed. After the grantor signs the deed, a notary public should sign and stamp it without which the deed is not taken as valid.

At present, only a few states like Arkansas, Georgia, Michigan, Ohio, South Carolina, and Vermont require the deed to be signed by witnesses other than the notary public to make the quit claim valid. Officials from states other than where the property is located can also notarize the deed. This, however, depends upon the County Recorder of that state.

The deed is then recorded at the land records office in the county where your property is located. The Office is called the County Recorder’s Office, County Clerk’s Office, Register of Deeds, and Land Registry Office depending upon the state where you own the property. After being recorded, the deed is often sent to the grantee or the grantor, title insurance company or anyone as decided by the parties.

When to use quit claim deed

The deed is commonly used in the following situations.

In a divorce, a married couple can transfer ownership of the property to one spouse.

A spouse may add or remove the other spouse’s name to/from the property title after marriage.

While a property is purchased, at closing the interest is transferred from the seller to the buyer through this deed.

If a property is sold off to the new owner and the title shows the old owner as having certain rights, the previous owner should sign a quit claim and transfer all his rights to the new owner.

A person planning for an estate or a living trust uses the deed to transfer ownership of the property into a trust.

How a life estate can help after you sign over the deed

Even after signing a quit claim deed, you can have the right to possess the property only if you retain a life estate for yourself. The life estate gives you the absolute right to stay at the property till your death. Otherwise, you have no legal right to the property after the deed is signed off to the grantee. After your death, the grantee gets the right to possess the property.

Reverse quit claim

Once you have signed a quit claim deed, it becomes very difficult to reverse or undo the deed unless the grantee agrees to quit claim the property back to you. In case the grantee refuses to sign, you will have to prove that the transfer of property is invalid. For instance, you can prove that you signed the deed under threats, external pressure or maybe the grantee made you sign by telling lies. In order to show the transfer is invalid, you can take help from a lawyer.

No doubt, a quit claim is a good option if you wish to take over or give up interest in a property. But as far as the transfer of title or ownership rights is concerned, it offers no warranty. Experts, therefore, suggest another deed for transfer of ownership rights – the warranty deed which claims that the property is transferred in clear title, that is, it is free from any kind of lien.

If you have more questions about deeds or real estate in general or would like to talk about obtaining a mortgage, you can APPLY ONLINE HERE, feel free to call me (John Thomas) at 302-703-0727.

John R. Thomas – NMLS 38783

Certified Mortgage Planner – Primary Residential Mortgage, Inc.

302-703-0727 DE Office / 610-906-3109 PA Office / 410-412-3319 MD Office

248 E Chestnut Hill Rd, Newark, DE 19713