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Uses of a Quitclaim Deed

Quitclaim deeds are often used for transfers between family members or those well known to each other. Quitclaim deeds are seldom used for traditional real estate property sales of residential homes or investment property but a few states use them specifically for that purpose and a quitclaim deed is considered the standard deed for real estate conveyance in those states. In these states, warranties on the title are obtained through title insurance (which is actually standard in all states) and sales contracts list the buyer's ability to secure title insurance as a contingency of sale. The effect of using a quitclaim in these states is that the seller is completely un-tethered from the title or any question regarding the title after closing unless the seller makes warranties to the title company.

Quitclaim deeds are frequently used:

  1. To clear up questions of or eliminate clouds on title.
  2. To sell or transfer the property to family members.
  3. To transfer ownership between divorcing spouses.
  4. To add or remove a person's name from the title.
  5. For government tax sales.
  6. To transfer personal property to a business.
  7. To reduce the value of assets prior to applying for federal aid. (restrictions apply)
  8. To minimize assets to reduce cost of nursing home care.

See our Quit Claim Deed FAQ for more information on quit claims.