Quitclaim Deed: What It Is

Overview

A quitclaim deed is a legal form used to hand over whatever interest one person might have in a piece of real estate to someone else. It does not include promises that the grantor actually owns the property, nor does it guarantee that the title is free of other claims.

Because it provides no warranties, a quitclaim deed is a fast and inexpensive way to change how title is held, but it also shifts risk to the recipient. Understanding where it fits in common property transactions helps prevent unexpected problems later.

Key takeaways

• Quitclaim deeds transfer whatever interest the grantor has in a property without warranties of ownership or clear title.
• They are commonly used in non-sale transfers such as between family members, during divorce, or when moving property into a trust.
• Accepting a quitclaim deed means taking on title risk; a title search or insurance can reduce that risk.

How a quitclaim deed works

A typical quitclaim deed names a grantor (the person giving up interest) and a grantee (the person receiving interest), describes the property, and includes a signature that is usually notarized.

Once executed, the deed should be recorded with the county or local land records office where the property is located. Recording creates public notice of the transfer and establishes priority against later claims.

Importantly, a quitclaim deed does not promise that the grantor actually has a valid ownership interest to convey. If the grantor has none, the grantee receives nothing. The deed simply releases whatever rights the grantor may possess.

Common uses for quitclaim deeds

Quitclaim deeds are useful when the parties know each other or when a full title warranty is unnecessary. Typical situations include:

• Family transfers — moving property between parents and children or among relatives.
• Divorce — removing a former spouse from title as part of a settlement.
• Trust planning — transferring property into or out of a revocable living trust.
• Name corrections — fixing clerical mistakes or reconveying property after a title issue is resolved.
• Adding or removing a co-owner — such as when a spouse is added after marriage or removed during separation.

What a quitclaim deed does not do

There are several things a quitclaim deed will not provide. It does not:

• Guarantee the grantor has valid title to the property.
• Protect the grantee against prior claims, liens, or defects in title.
• Automatically remove outstanding mortgages or obligations tied to the property.
• Replace the need for a title search or title insurance when greater protection is required.

Quitclaim vs. warranty deeds

Different deed types communicate different levels of protection. A quitclaim deed offers the least protection. Warranty deeds, by contrast, include promises that the grantor has good title and will defend the grantee against defects.

Two common warranty deed forms are:

• General warranty deed — the strongest form; it covers the entire history of the property and makes the grantor liable for title defects, even from prior owners.
• Special (or limited) warranty deed — provides assurances only for the period during which the grantor owned the property, commonly used in commercial transactions.

Why this matters: when purchasing property from an unknown seller, purchasers typically expect a warranty deed. In family transfers or administrative changes, a quitclaim deed may be more appropriate.

Risks for the grantee

The main downside for a grantee accepting a quitclaim deed is the lack of protection. Potential problems include:

• Undisclosed liens or unpaid taxes that still encumber the property.
• Another person with a better claim to title showing up later.
• Clerical errors or fraudulent transfers that were not caught before recording.

Because title insurance is generally tied to the purchase process and often isn’t issued based on a quitclaim deed alone, grantees may need to order a separate title search and consider obtaining insurance after the fact if possible.

How to reduce risk when using a quitclaim deed

If you must use a quitclaim deed, take steps to limit exposure:

• Order a title search before accepting the deed so you know if liens or competing claims exist.
• Consider purchasing title insurance where available, especially if the property will be sold in the future.
• Use escrow and a closing agent to ensure funds and documents are handled correctly.
• Include indemnity language in related agreements to shift liability back to the grantor if problems arise.
• Consult a real estate attorney for transactions that involve non-family parties or significant value.

Recording and formal requirements

Most jurisdictions require a quitclaim deed to be signed and notarized to be recorded. After notarization, the deed should be filed with the county recorder or land registry office where the property sits.

Recording the deed protects the grantee by creating a public record, which can affect the priority of liens and future transfers. Failing to record may leave the grantee vulnerable to later claims.

Always verify local form and recording rules. Some places also require a transfer tax declaration or other document to accompany the deed.

Effects on mortgages and liens

Transferring ownership via a quitclaim deed does not discharge mortgage obligations. If the grantor’s loan remains in place, the lender still has rights against the property and can pursue foreclosure if payments aren’t made.

A quitclaim deed won’t eliminate recorded liens, judgments, or tax assessments. The grantee can end up with a property subject to these encumbrances unless they are addressed in the transfer.

When a quitclaim deed can be set aside

Although quitclaim deeds are straightforward, they can be reversed or challenged under certain circumstances. Grounds for setting aside a transfer include:

• Mutual agreement — both parties sign a new deed or a rescission document to undo the transfer.
• Fraud or forgery — if the grantor’s signature was forged or the grantee induced the grantor by deception.
• Undue influence — when the grantor was coerced into signing the deed.
• Lack of capacity — if the grantor lacked legal capacity at the time of signing.

When any of these issues arise, the dispute may be resolved through negotiation, mediation, or court proceedings depending on the severity and the parties’ willingness to cooperate.

Step-by-step: preparing and recording a quitclaim deed

Here is a general process for handling a quitclaim deed. Local steps and requirements will vary, so treat this as a high-level guide:

• Gather property details — legal description, parcel number, and current deed.
• Choose proper deed form — use a form accepted in the county, often available from the recorder or a lawyer.
• Complete the deed — include grantor and grantee names, property description, date, and any required statements.
• Sign and notarize — the grantor signs in front of a notary public; some jurisdictions require the grantee to sign as well.
• Pay transfer taxes or filing fees — check whether a transfer tax, documentary stamp tax, or other filing fee applies.
• Record the deed — submit to the county recorder or land registry to make the transfer part of the public record.
• Retain copies — both parties should keep copies and confirm the recording information and reference number.

Practical examples

Understanding common scenarios clarifies where quitclaim deeds work well and where they don’t.

Parent to child transfer: A parent may transfer property to a child to simplify estate planning. Because the parties trust each other and the transfer is not a market sale, a quitclaim deed can be efficient. However, the child should check for liens and be aware of potential gift tax or reassessment for property taxes.

Divorce settlement: When spouses agree that one will give up an ownership interest, a quitclaim deed can remove the departing spouse from title quickly. It does not, however, remove that spouse’s responsibility for any loan on the property unless the lender agrees.

Transfer into a trust: Property often moves into a revocable living trust by quitclaim to align ownership with a trust document. The trustee should ensure the deed language matches trust terms and record the transfer promptly.

Costs and timing

Costs vary by location. Expect small fees for filing and notarization; additional charges may apply for certified copies or expedited recording.

A title search and a legal review increase costs but provide valuable protection. Time to record depends on the county’s processing; some offices record the same day, others take weeks.

Why it matters

Quitclaim deeds are a practical, low-cost method to transfer property ownership in known, low-risk situations. They simplify administrative changes and many family transactions.

However, the absence of title warranties puts the grantee at risk of inheriting existing problems. That reality makes it essential to weigh convenience against potential future disputes and financial exposure.

When to consult a professional

Engage a real estate attorney or title professional when the transaction involves:

• Large sums of money or commercial properties.
• Unknown or distant previous owners.
• Possible tax reassessment or complex estate planning issues.
• Existing mortgages, liens, or suspected title defects.

Legal counsel can help draft protective language, coordinate a title search, and advise on tax or lender consequences.

Bottom line

A quitclaim deed transfers any interest the grantor has without promising that interest is valid. It’s most useful in transfers between familiar parties or to correct records, and less suited for traditional sales where the buyer expects protection.

Before accepting or signing a quitclaim deed, confirm the property’s title status, understand the tax and mortgage implications, and consider professional guidance if the stakes are significant.

Disclaimer: This article is compiled from publicly available
information and is for educational purposes only. MEXC does not guarantee the
accuracy of third-party content. Readers should conduct their own research.