When transferring a property from one person to the other it is very essential for you to pay close attention to the paperwork. You need to know exactly what you are dealing with to avoid any kind or form of problem. Knowing the kind of deed that you are dealing with is even much better for you. For instance, you need to keenly assess between a warranty deed vs quitclaim deed to know what you are dealing with.
For instance, you need to know exactly the kind of deed the property you wish to purchase. Also, for instance, if you wish to transfer the property from the other person to yourself then try and know the kind of deed that is involved in this case. The warranty deed vs quitclaim deed are some of the most known types of deeds there are around.
In the real estate business, there are two main types of deeds that are involved. These deeds are the warranty deed as well as the quitclaim deed. That said, this discussion looks into what a quitclaim deed is together with a warranty deed and also sheds more light on the warranty deed vs quitclaim deed.
What A Quitclaim Deed Is And Is Not
If you are synonymous with deeds then chances are you have heard about a quitclaim deed. This kind of deed is used to convey or change ownership of a property between people who are related. For instance, it could be a change of ownership of a property between spouses or even siblings.
What this kind of deed does is that it transfers the legal rights to a specific property. The grantor who is the person transferring the ownership of the property agrees to move the ownership of the property to the other person. For instance, a father might want to pass property from him to his sons and daughters.
Such a transaction might involve the use of a quitclaim deed. It could also be between family members who wish to pass on a property from one to the other. The most important thing you need to note is that this kind of deed does not come with any type of warranty or even guarantee.
What this kind of deed means is that it means that this kind of deed is only used to transfer what the grantor. In many cases, there is always nothing more other than what the grantor is offering. A quitclaim deed will never talk about things that a grantor does not have never.
The Essence Of A Quitclaim Deed
As you contemplate which one carries more weight between quitclaim deed vs warranty deed you need to look into the essence of all of them. These are essential documents no doubt but what essence do they carry and in which areas. It is also very important to look into why this is the case as well and see why and how these documents are also important.
One thing you need to know about a quitclaim deed is that it comes with its limits. Much as that is the case, this document can still work out well if the grantor has all the legal rights over a property, he or she is giving out. In such a case where there are not problems to be worried about then the grantor then a quitclaim deed becomes such a useful and essential document.
What Is A Warranty Deed?
Having looked at what a quitclaim deed is, it is also essential to look at what warranty deed is also. This will help in bringing out a much better comparison between a quitclaim deed vs warranty deed. When you buy a home from a builder then there is a high chance you are going to get a warranty deed especially if you are buying using a realtor.
This type of deed, unlike the others, is used in more complex situations. For instance, if you are getting a mortgage to buy a home then you might also have to use this type of deed as well. A warranty deed simply talks of a defensible ownership interest. The person offering the warranty deed is simply confirming this ownership and passing it to the other party or person.
A warranty deed is simply proof of all this and offers more proof of ownership. The warranty in itself offers more peace of mind leaving very little or less room for trouble. There is nothing or no more role that this document plays other than this.
The Importance Of A Warranty Deed
A warranty deed is not a document that is to be joked with. In case of any misrepresentation of the promised ownership then that might lead to the grantor being sued. A warranty deed therefore can be used in so many places but can lead to some serious problems if it is misrepresented.
A Warranty Deed Vs Quitclaim
When you put up a warranty deed vs quit claim deed which one of these two carries the day. To start with, a warranty deed is a very safe option and route to go for any people seeking to buy a property. In fact, as a seller, you need to expect many of your buyers to demand this document from you at all times.
If you are a parent and you wish to transfer property to your son or daughter then a quitclaim is the best option for you. This document is a total accomplishment of this but even in this case, the use of a warranty deed might become essential.
A warranty deed vs quitclaim deed is a discussion that has been around for a long now. People would like to understand the key differences between these two types of documents. The text above as it is talks of all key differences between these two documents and some other details about them.