A quitclaim deed is a document that releases a person's interest in a piece of property. This release does not specify the nature of the person's interest or rights in the property, nor does it make any warranties regarding the person's interest or rights. A quitclaim deed neither states nor guarantees that such person relinquishing their claim to the property seemed to have valid ownership, but it does prevent the above person (the grantor) from later claiming that they have an interest in the property. It does not state or guarantee that the person relinquishing their claim had valid ownership.
What Is a Quitclaim Deed?
 

Understanding About Quitclaim Deed

A quitclaim deed will typically contain a legal description of the property, the name of the person who really is transferring their interest, the name of the person who really is receiving that interest (the grantee), the date, as well as the notarized signatures of both parties. In addition, a quitclaim deed will typically include a grantee clause, which states that the person receiving the interest will not be able to claim any ownership in the property

• A quitclaim deed releases a person's interest in a property without asserting the nature of the person's interest or rights, and makes no warranties of that person's interest or rights in the property. This is because a quitclaim deed does not state the nature of the person's interest or rights in the property.

• A quitclaim deed does not guarantee that the grantor actually has an ownership interest in a piece of property; rather, all it says is that the grantor is relinquishing any ownership rights they may have in the property if they do.

• Quitclaim deeds are typically utilized in the process of property transfer in non-sale related scenarios, such as when property is being transferred between members of the same family.

Quitclaim deeds are typically utilized in the process of property transfer in non-sale contexts, such as when property is being transferred between members of the same family. You can use them to clarify ownership of inherited property, transfer property into (or out of) a revocable living trust, clarify an easement, or change the way a property's title is held. They can also be used to add a spouse to a property title after a marriage, remove a spouse from a property title after a divorce, clarify ownership of inherited property, or clarify an easement.

A quitclaim deed does not guarantee that the grantor actually has an ownership interest in the property; rather, it merely states that the grantor is relinquishing any ownership rights they may have in that property if they do have such an interest. As a consequence of this, a buyer of real estate who accepts a quitclaim deed does so with the understanding that the grantor of the deed may not have his/her legitimate ownership interest in the property as well as or that there may be also additional ownership interests in the property. Both of these scenarios are possible. A quitclaim deed does not result in the issuance of title insurance on the property.

Quitclaim Deed vs. Special Warranty Deed vs. Warranty Deed

When the ownership of a property is transferred from the grantor to the grantee, deeds are typically distinguished by the terms that they state or guarantee during this process (buyer). When ownership is being transferred, a warranty deed, as opposed to a quitclaim deed, can provide a certain level of assurances to the new owner. General warranty deeds and special warranty deeds are the two most common types of warranty deeds that can be granted. Warranty deeds are typically utilized in the process of selling real estate.

The grantee is afforded the highest level of protection possible through the use of a general warranty deed, which guarantees that the grantor is in free and clear possession of the property (and that no other entity can place a claim on it). This guarantee extends to cover the entirety of the property's history, including periods of time in which the grantor did not have ownership of the property. In the event that any of the terms of this contract are broken, the grantor will be held responsible.

A special warranty deed is a type of real estate document that guarantees the grantor's ownership of the property and ensures that no one else can stake a claim to it for as long as the grantor continues to own it. When it comes to commercial property transactions, the use of special warranty deeds is by far the most common.