If you are buying a home that is owned by more than one person, your real estate lawyer might recommend that you get a quitclaim deed for each person who owns the home. A quitclaim deed can protect your investment and help you avoid challenges to your ownership later. If you are in the process of buying a home, here is what you need to know about a quitclaim deed.
What Is a Quitclaim Deed?
When more than one person owns a home, each person has a claim to the property and has a say in what happens to it. If you are buying a home that is owned by more than one person, you have to ensure that each owner is willing to give up his or her claim to the property.
A quitclaim deed accomplishes this. The quitclaim deed basically states that each person is giving up his or her interest in the property. For instance, if you are purchasing the home from a person in the process of divorcing, his or her spouse would sign the quitclaim deed to state that he or she does not have interest in the property.
What Is in the Quitclaim Deed?
Quitclaim deeds can vary by state, but there are similarities between the deeds for each state. For instance, the deed usually includes the date it was executed, the names of the parties involved, and a description detailing the transfer of rights from one party to another.
If there were conditions put in place for the quitclaim deed to be signed, they are also specified in the deed. In addition to this, the deed also includes a description of the property you are purchasing.
Is a Quitclaim Deed the Best Option?
Although a quitclaim deed is a popular choice for transferring ownership of property, it is not always the best option. In some instances, there are better options available that can provide far more protection.
Quitclaim deeds do not provide guarantees to the buyer. For instance, there is no guarantee that you receive a clean title. In other words, the seller is not making any promises to you about the property, and if problems arise later, you would be left having to take care of them. To avoid this, your attorney will have to thoroughly research the property.
Another problem that could surface is the title company might be reluctant to sign off on the property with a quitclaim deed. Since they are not guaranteed, it is sometimes difficult to reassure the title company. As a result, your escrow could be held up.
Before deciding whether or not a quitclaim deed is the best option for you, consult with an attorney like those found at Schulze Howard & Cox.Share
4 August 2016
Like many other people, I admire the important tasks lawyers take on every day. I’m amazed at how knowledgeable general attorneys are about a variety of subjects. These professionals can accomplish many complicated jobs seamlessly, such as representing a client in a civil lawsuit, assisting a business with a merger, and acting on a client’s behalf in a medical malpractice lawsuit. Besides creating detailed legal briefs, they must argue their clients’ cases in court in front of a judge, jurors, and others. On this blog, I hope you will discover how crucial general attorneys are to this country’s legal system.