What Is a Quitclaim Deed?
Also known as: Quit Claim Deed
A quitclaim deed passes along whatever interest the signer holds in a property, if any, without promising anything about the quality of title. The receiving party gets the signer’s claim as it stands and has no recourse against the signer if title turns out to be defective.
A quitclaim deed passes along whatever interest the signer holds in a property, if any, without promising anything about the quality of title. The receiving party gets the signer’s claim as it stands and has no recourse against the signer if title turns out to be defective.
Quitclaim Deed explained
Unlike a warranty deed, a quitclaim contains no covenants. The signer does not state that they own the property, that it is free of liens, or that they will defend against claims. If the signer owns the property, the quitclaim passes that ownership. If they own less, or nothing, that is exactly what passes. Quitclaims are common between family members, between spouses at divorce, when moving property into or out of a trust or LLC, and when removing a name to fix a title problem. Signing one does not remove a mortgage; the loan stays where it was.
Wholesalers run into quitclaims in two ways. Sellers, especially relatives and heirs, offer one as a quick way to transfer, and some creative-finance deals use one to move title into an LLC. When a seller asks to use a quitclaim, acquisitions should ask why: the reason may be innocent, or it may point to a title problem or a seller unwilling to make promises about the property. On the disposition side, end buyers using lenders or title insurance usually expect a warranty-style deed, so a quitclaim in the chain tends to trigger extra title review.
A quitclaim is neither a scam device nor a legal trick, but it is also not proof of ownership, and it is a thin foundation for buying from a stranger. Some states and counties treat quitclaims differently for transfer tax or lender purposes. Scammers also abuse them in deed fraud, which is one reason title companies check the signer’s identity so closely. Using a quitclaim to repair a title problem should be paired with advice from a real estate attorney.
Example
A seller tells a caller that his late father’s house is his because his sister signed a quitclaim deed to him years ago. The caller flags it for acquisitions, who ask whether the estate was ever probated and whether the two siblings are the only heirs. The quitclaim moved only whatever the sister owned, which may not include the estate’s interest.
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