Covenant of seisin example8/18/2023 This type of deed provides a much greater amount of protection to the buyer of real estate. So, if you are a buyer and your seller is demanding the use of a quitclaim deed make sure to get adequate Title Insurance, and probably be extra careful in your investigation into the state and title of the property.īy far the most common type of deed used in Real Estate transactions is the warranty deed. In the simplest terms, a seller uses a quitclaim deed when, for whatever reason, they need to sell the property as is and without any representations or warranties as to the interest they may hold in the property they are selling. Those transactions that most often utilize a quitclaim deed are those in which the seller may be unsure of their chain of title or some long abandoned easements, and in situations in which the landowner wants to gift the property away but does not wish to retain any future liability that may arise from the property. For this reason, the quitclaim deed came into favor for many types of Real Estate sales transactions. As the law developed, however, so did the warranty deed, which usually offered much greater protection to the buyer from defects in title.Īs with most legal documents, however, there is no one size fits all transactions deed. As time went on buyers began to demand greater protections from sellers through their deeds. In the past, Real Estate was simply sold as is, and as such, the buyer was to beware their purchase. You have probably heard the phrases “buyer beware” and “as is,” in the legal world we call that Caveat Emptor. The quitclaim deed has emerged as a way for sellers to protect themselves. Just the same, if the seller does own the property a quitclaim deed for the property from the seller will convey the property.įrom its description, it would seem logical that quitclaim deeds are the invention of swindlers and con artists however, this is not the case. Therefore, if the seller does not own the property, then a quitclaim deed for the property from that seller conveys nothing. For example, if someone were offering to sell you the great state of Minnesota, they could put together and issue to you a valid quitclaim deed to Minnesota and you would receive everything that the individual owns in terms of right, title, and interest to Minnesota, which is absolutely nothing. If, however, the seller did not actually have any interest in the property, they actually give the buyer absolutely nothing. Thus, if the seller had title to the property and issued a quitclaim deed to a buyer, then the buyer would get the title to the property. In the past, a quitclaim deed would convey whatever interest the seller had in a property at the time the deed was given. The quitclaim deed is truly a special document. Below you can find a brief description of the quitclaim deed and the warranty deed, their uses, and the general covenants and protection that each may provide. Most every other type of deed provides terms and protections that are somewhere in between the quitclaim deed and the general warranty deed. When it comes down to it, there are really two main types of deeds, the quitclaim deed and the warranty deed. Some heavily protect the buyer while others ensure that the interests of the seller are better protected. In truth, there are several types of deeds and not all are created equal. So, a deed is a deed is a deed, right? Well, not exactly. Generally, a deed is any writing that transfers the ownership in a piece of property that has been signed by the seller, notarized or acknowledged, and traditionally it had to be delivered from the seller to the buyer and accepted by the buyer. While title to property can be transferred in ways other than using a deed, it has long been the most common means of transferring title, or ownership, from seller to buyer. A deed is essentially a written document used to give title, or ownership, to property. If you have ever bought or considered buying a piece of property, then odds are you have heard of a deed.
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