đź“ś What Is a Quitclaim Deed in Real Estate?
A quitclaim deed is a legal document used to transfer ownership rights in real estate without making any guarantees about the property’s title. It conveys whatever interest the grantor (seller) may have — if any — but offers no protection against title defects or claims.
How a Quitclaim Deed Works
A quitclaim deed simply transfers the grantor’s interest in a property to another person (the grantee). If the grantor owns full title, that interest passes completely. If they own nothing, the grantee receives nothing. Because there are no warranties or guarantees, quitclaim deeds are most often used between trusted parties such as family members, spouses, or business partners.
When to Use a Quitclaim Deed
- To add or remove a spouse from a property title after marriage or divorce
- To transfer property into a trust or business entity
- To clear up title issues or correct a name on a deed
- To gift property to a family member
Because there are no title warranties, quitclaim deeds are not recommended for typical home sales. Buyers usually prefer deeds that include title guarantees, such as warranty deeds.
Pros and Cons of a Quitclaim Deed
- âś… Quick and simple: Easy to execute without title insurance or escrow.
- âś… Low cost: Minimal paperwork and lower filing fees.
- ⚠️ No protection: Provides no guarantees about ownership or liens.
- ⚠️ Risky for buyers: If used in a sale, the buyer has no recourse for title problems.