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Title & legal

Quitclaim Deed

Also called Quit claim deed, Quitclaim

In short

A quitclaim deed transfers whatever ownership interest the seller has in a property, if any, without any promise that the title is valid or free of liens.

Warranties
None
Common uses
Family transfers, divorces, fixes
Effect on mortgage
Does not remove the borrower
Risk for buyers
No protection if title is bad

What a quitclaim deed does

A quitclaim deed says, in effect, "whatever interest I have in this property, I give to you." It makes no promise that the grantor actually owns the property or that the title is free of liens. If the grantor owns nothing, the buyer receives nothing. By contrast, a warranty deed includes guarantees about the title.

When quitclaim deeds are used

  • Adding or removing a spouse or family member from title
  • Transferring property in a divorce
  • Moving property into a trust or business entity
  • Clearing up a title defect, such as a misspelled name or a possible claim

They are rarely appropriate for a sale between strangers.

Quitclaims in distressed sales

Investors sometimes ask owners in pre-foreclosure to sign a quitclaim deed. That transfers the owner's interest but does not pay off the mortgage or other liens, and it does not release the owner from the loan. Many states regulate transactions with homeowners in foreclosure. Buyers should get a title search and title insurance, and both sides should consult an attorney.

Example

A quitclaim in a divorce

A married couple owns a home with a $200,000 mortgage in both names. In their divorce, one spouse signs a quitclaim deed giving the property to the other. The departing spouse is off the title but is still liable on the $200,000 loan until the remaining spouse refinances it into their own name.

Quitclaim Deed vs. Deed of Trust

Quitclaim Deed

A quitclaim deed transfers whatever ownership interest the seller has in a property, if any, without any promise that the title is valid or free of liens.

Deed of Trust

A deed of trust is a security instrument used instead of a mortgage in many states. The borrower gives a neutral trustee legal title as security for the loan until it is paid off.

The differenceA quitclaim deed transfers ownership with no warranties. A deed of trust does not transfer ownership to a buyer; it secures a loan by giving a trustee title as collateral.

Frequently Asked Questions

Related terms

Title SearchTitle & legalA title search is a review of public records to confirm who legally owns a property and to find any liens, judgments, easements or other claims that could affect ownership.Title InsuranceBuying & closingTitle insurance protects a buyer or lender against losses from ownership problems that existed before the purchase, such as undisclosed liens, forged documents or recording errors. It is paid once at closing.LienTitle & legalA lien is a legal claim against a property that secures a debt. It must usually be paid off before the property can be sold with clear title, and the creditor can force a sale in some cases.MortgageMortgages & financingA mortgage is a loan used to buy real estate, secured by the property itself. If the borrower stops paying, the lender can take the property through foreclosure to recover what is owed.Tax LienTitle & legalA tax lien is a government's legal claim against a property for unpaid taxes. Property tax liens usually take priority over mortgages and can lead to a tax lien certificate sale or tax deed sale.Deed in Lieu of ForeclosureForeclosure processA deed in lieu of foreclosure is an agreement in which a borrower voluntarily transfers ownership of a home to the lender to settle the mortgage and avoid the foreclosure process.Closing CostsBuying & closingClosing costs are the fees and prepaid expenses paid to complete a real estate purchase, beyond the price and down payment. Buyers typically pay about 2% to 5% of the loan or purchase price.EscrowBuying & closingEscrow is an arrangement where a neutral third party holds money or documents until the conditions of a deal are met. The term also refers to the account a lender uses to pay a borrower's property taxes and insurance.

Learn more in the knowledge base

Title, Liens and Due Diligence on Distressed PropertiesGuide · 9 min readDistressed properties often come with debts and paperwork problems attached. A title search, a clear understanding of which liens survive a sale and the right title insurance protect you from inheriting someone else's obligations. This guide explains what to check and when.Closing and Recording: How a Property Purchase Becomes FinalGuide · 7 min readSigning papers is only part of closing. Money has to change hands safely, the deed has to be recorded in the public records and title insurance policies have to be issued. This guide explains those mechanics, who handles each one, how to protect your funds from wire fraud and which records to keep once the purchase is complete.Closing a Pre-Foreclosure Before the Foreclosure Sale DateGuide · 6 min readIn a pre-foreclosure, the foreclosure sale date is the deadline that matters most, and a signed contract does not move it. This guide covers how to plan the closing backward from that date, keep payoffs and short sale approvals current, seek a postponement properly, meet state rules at closing and protect yourself if the sale date arrives first.
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Disclaimer: The information on this page is for general educational purposes only and is not legal, financial, tax or investment advice. Laws, lending rules and market conditions vary by state and change over time, and any figures shown are estimates. Before you buy, sell, finance or bid on a property, consult a qualified attorney, financial advisor, lender or licensed real estate professional about your situation.