Having an understanding of warranty and quitclaim deeds is just as important as knowing about the other deed variations in real estate. Used all around the United States, warranty deeds are more or less identical to grant deeds with one major difference. Normally, grant deeds accompany two guarantees whereas warranty deeds contain three guarantees.
Now, what are these guarantees? Well, in warranty deeds, the grantor (seller) has to state that the property has not been sold to any other party. The grantor (seller) further needs to assure that the property is not troubled by any encumbrances other than the ones that have already been revealed to the buyer. And above all, the grantor has to warrant and protect title against the claims of all individuals. This implies that the grantor is promising the grantee (buyer) that there are no issues associated with the title that may possibly influence the title.
Coming to quitclaim deeds, these are meant for conveying any interest possessed by the grantor (seller) in the property. The grantor may have a legal possession or have never been recognized on a deed describing the property. Mostly, quitclaims are used during a divorce, for the purpose of deeding the property between the couple. In case, a married person has title to a property as single and separate, the spouse not in title might have to sign a quitclaim deed while a third party buys the property, for ensuring that the spouse who was not identified on the deed doesn’t claim that property in future.
Apart from warranty, grant and quitclaim deeds etc, there are variations in deeds including tax deeds and gift deeds. Now, when property taxes are not paid on time and the property is put on sale to accumulate funds for back taxes, a tax deed is usually employed to convey title to the buyer. In general, gift deeds are meant for transferring title among people who are relatives or acquaintances. This means that the property is transferred without making any payments.
