How to Fill Out a Quitclaim Deed: A Step-by-Step Guide
Understanding and utilizing a quitclaim deed can be a simple way to transfer property ownership in certain situations. Unlike a warranty deed, a quitclaim deed offers no guarantee that the grantor (the person transferring the property) actually owns the property free and clear. Instead, it simply transfers whatever interest the grantor *might* have. This makes it crucial to understand the implications and proper procedures involved. This comprehensive guide will walk you through each step of filling out a quitclaim deed correctly.
## What is a Quitclaim Deed?
Before diving into the process, it’s essential to grasp the fundamental nature of a quitclaim deed.
A quitclaim deed, also known as a non-warranty deed, is a legal instrument used to transfer property ownership quickly and easily. However, it provides *no* warranties or guarantees about the grantor’s title. Essentially, the grantor is conveying whatever interest they *might* have in the property to the grantee (the person receiving the property). This lack of guarantee makes it ideal for transferring property between family members, correcting title defects (like misspelled names), or in divorce settlements where the ownership is already well-established.
**When to Use a Quitclaim Deed:**
* **Transfers between family members:** Quitclaim deeds are commonly used to add or remove family members from a property title.
* **Divorce settlements:** Often used to transfer ownership of a property as part of a divorce agreement.
* **Clearing title defects:** Can be used to correct minor errors on a property deed, such as misspelled names or incorrect legal descriptions.
* **Transferring property to a trust:** Quitclaim deeds can facilitate transferring property into a living trust.
* **Removing a cloud on title:** Addressing potential claims on the property’s title to ensure clear ownership.
**When *Not* to Use a Quitclaim Deed:**
* **Buying property from someone you don’t know:** Due to the lack of warranty, it’s risky to use a quitclaim deed when purchasing property from an unfamiliar party. A warranty deed provides greater protection in such cases.
* **Complex real estate transactions:** For complex transactions involving mortgages or other encumbrances, a warranty deed is generally preferred.
* **Situations where title insurance is desired:** Title insurance companies may be hesitant to insure a property transferred via a quitclaim deed due to the inherent lack of warranty.
## Gathering Necessary Information
Before you begin filling out the quitclaim deed form, gather all the required information. This will ensure accuracy and prevent delays in processing.
* **Full names and addresses of the grantor(s) and grantee(s):** Obtain the complete legal names of all parties involved, including their current mailing addresses. Double-check the spelling to avoid errors.
* **Property’s legal description:** This is a crucial piece of information and can be found on the existing property deed. The legal description precisely identifies the property’s boundaries and location. It might be a metes and bounds description, a lot and block number from a recorded plat, or a reference to a government survey.
* **Parcel identification number (PIN):** This number is assigned to the property by the local tax assessor’s office and is used for tax purposes. You can usually find it on your property tax bill or by contacting the assessor’s office.
* **Consideration (if any):** The consideration is the amount of money or other value exchanged for the property. In some cases, the consideration may be “for love and affection” or a nominal amount like $1.00. State laws may dictate how this is expressed.
* **Date of the transfer:** This is the date the quitclaim deed is signed and becomes effective.
* **Existing deed reference information:** This includes the recording date, book, and page number of the previous deed. This information helps establish the chain of title.
## Step-by-Step Instructions for Filling Out a Quitclaim Deed
Now, let’s proceed with the step-by-step instructions for filling out the quitclaim deed form. Keep in mind that specific requirements may vary depending on your state and local jurisdiction. Always consult with an attorney or title company for guidance if you’re unsure about any aspect of the process.
**1. Obtain the Correct Form:**
* **State-specific forms:** Quitclaim deed forms vary by state. Obtain the correct form for the state where the property is located. You can often find these forms online through legal document providers, county recorder’s offices, or by consulting with an attorney.
* **Template vs. Attorney-Drafted:** While templates are available, having an attorney draft the deed is recommended, especially in complex situations. An attorney can ensure the deed complies with all applicable laws and accurately reflects your intentions.
**2. Identify the Grantor(s):**
* **Grantor Information:** In the section labeled “Grantor,” “Seller,” or similar, enter the full legal name(s) and current mailing address(es) of the person(s) transferring the property. If there are multiple grantors, list all of them.
* **Marital Status:** In many states, you must indicate the grantor’s marital status. If married, the grantor’s spouse may need to sign the deed, even if they are not listed as an owner on the previous deed. This is to release any potential marital rights in the property.
**3. Identify the Grantee(s):**
* **Grantee Information:** In the section labeled “Grantee,” “Buyer,” or similar, enter the full legal name(s) and current mailing address(es) of the person(s) receiving the property. Again, list all grantees if there are multiple.
* **Tenancy:** If there are multiple grantees, you may need to specify the type of tenancy they will hold the property in. Common types of tenancy include:
* **Joint Tenancy with Right of Survivorship:** If one owner dies, their share automatically passes to the surviving owner(s).
* **Tenancy in Common:** Each owner owns a separate, undivided interest in the property, which can be sold or inherited independently.
* **Tenancy by the Entirety:** This form of ownership is only available to married couples and provides additional protection from creditors.
**4. Provide the Property’s Legal Description:**
* **Accuracy is Key:** This is arguably the most critical part of the quitclaim deed. The legal description must be accurate and complete. Copy it verbatim from the previous deed.
* **Where to Find It:** The legal description is typically found on the existing property deed. It might be a lengthy paragraph describing the property’s boundaries or a reference to a recorded plat.
* **Examples of Legal Descriptions:**
* **Metes and Bounds:** A description that uses distances and directions to define the property’s boundaries (e.g., “Beginning at a point on the north side of Main Street, 100 feet east of the intersection of Main Street and Elm Street; thence north 90 degrees east 50 feet; thence south 0 degrees east 100 feet; thence south 90 degrees west 50 feet; thence north 0 degrees west 100 feet to the point of beginning.”)
* **Lot and Block:** A description that refers to a specific lot and block number within a recorded subdivision plat (e.g., “Lot 12, Block 3, of Sunny Acres Subdivision, as recorded in Plat Book 10, Page 25, of the Public Records of Anytown County, State.”)
* **Double-Check:** Carefully review the legal description to ensure it matches the existing deed exactly. Even a small error can create title problems.
**5. Include the Parcel Identification Number (PIN):**
* **Tax Assessor’s Number:** Enter the property’s parcel identification number (PIN) in the designated space on the form. This number is used by the local tax assessor’s office for tax purposes.
* **Where to Find It:** You can usually find the PIN on your property tax bill or by contacting the tax assessor’s office.
**6. State the Consideration:**
* **Value Exchanged:** Indicate the amount of money or other value exchanged for the property. If the transfer is a gift or for nominal consideration, state “for love and affection” or “for $1.00 and other good and valuable consideration.”
* **State Laws:** Be aware that some states have specific requirements for stating the consideration. Consult with an attorney or title company to ensure compliance.
**7. Sign and Date the Deed:**
* **Grantor Signature(s):** The grantor(s) must sign the quitclaim deed in the presence of a notary public. Ensure that the signatures match the names listed on the deed exactly.
* **Notary Public:** A notary public will verify the identity of the grantor(s) and witness their signatures. The notary will then affix their seal and signature to the deed.
* **Date:** Enter the date the deed is signed and notarized.
**8. Acknowledge the Deed (Notary Public):**
* **Notarization is Essential:** The grantor(s) *must* acknowledge the deed before a notary public. The notary will complete an acknowledgment form, which is attached to the deed. This acknowledgment verifies that the grantor(s) signed the deed voluntarily.
**9. Record the Deed:**
* **Recording is Crucial:** Recording the quitclaim deed in the county where the property is located is essential to provide public notice of the transfer. This protects the grantee’s ownership rights and prevents future disputes.
* **County Recorder’s Office:** Take the original, notarized quitclaim deed to the county recorder’s office or register of deeds in the county where the property is located.
* **Fees:** You will likely need to pay a recording fee, which varies by county. Contact the recorder’s office to determine the current fee schedule.
* **Required Documents:** In addition to the quitclaim deed, you may need to submit other documents, such as a preliminary change of ownership report (PCOR) or an affidavit of exemption from reassessment.
* **Confirmation:** After recording, the recorder’s office will stamp the deed with a recording date and book and page number. They will then return the original deed to you (or, in some jurisdictions, mail it to the grantee). Keep the recorded deed in a safe place as proof of ownership.
## Important Considerations
* **State and Local Laws:** Real estate laws vary significantly by state and local jurisdiction. Always consult with an attorney or title company to ensure compliance with all applicable laws and regulations.
* **Title Search:** Even when using a quitclaim deed, it’s often advisable to conduct a title search to identify any potential liens, encumbrances, or other title defects. This can help you avoid surprises down the road.
* **Title Insurance:** While title insurance companies may be hesitant to insure a property transferred via a quitclaim deed, it’s still worth exploring the possibility. If available, title insurance can provide protection against title defects that may not be discovered during a title search.
* **Tax Implications:** Transferring property can have tax implications for both the grantor and the grantee. Consult with a tax advisor to understand the potential tax consequences of using a quitclaim deed.
* **Homestead Exemptions:** Transferring property via quitclaim deed can affect homestead exemptions. Make sure to verify with local authorities whether the transfer will impact any existing homestead protections.
## Common Mistakes to Avoid
* **Using the wrong form:** Ensure you are using the correct quitclaim deed form for the state where the property is located.
* **Inaccurate legal description:** The legal description must be accurate and complete. Double-check it against the existing deed.
* **Incorrect names and addresses:** Verify that the names and addresses of the grantor(s) and grantee(s) are accurate and match their legal names.
* **Failure to notarize:** The quitclaim deed must be signed and acknowledged before a notary public.
* **Failure to record:** Recording the quitclaim deed in the county where the property is located is essential to provide public notice of the transfer.
* **Not understanding the lack of warranty:** Realize that a quitclaim deed provides no guarantee of clear title.
* **Ignoring Spousal Rights**: Failing to have a spouse sign when required by state law can invalidate the transfer.
## Example Scenario
Let’s say John wants to transfer his share of a property to his sister, Mary. They are both already on the title as tenants in common. They would use a quitclaim deed to transfer John’s interest to Mary. The deed would include John’s information as the grantor, Mary’s information as the grantee, the property’s legal description, and a statement of consideration (perhaps “for love and affection”). John would sign the deed in front of a notary public, and then Mary would record the deed at the county recorder’s office.
## Seeking Professional Assistance
While this guide provides a comprehensive overview of how to fill out a quitclaim deed, it’s important to remember that real estate transactions can be complex. If you’re unsure about any aspect of the process, it’s always best to seek professional assistance from an attorney or title company. They can provide guidance tailored to your specific situation and ensure that the transaction is handled correctly.
## Conclusion
A quitclaim deed can be a useful tool for transferring property ownership in certain situations, particularly among family members or to correct title defects. However, it’s essential to understand the limitations of a quitclaim deed and to follow the proper procedures for filling it out and recording it. By carefully following the steps outlined in this guide and seeking professional assistance when needed, you can ensure a smooth and legally sound transfer of property ownership.
**Disclaimer:** *This article provides general information only and should not be considered legal advice. Consult with an attorney or title company for guidance on your specific situation.*