Legal Question in Real Estate Law in California

What is the difference between a quick claim & a grant deed?

I asked my escrow company to draw up a quick claim to take my Ex-Fiance off of the property that we had purchased together. Most of the downpayment was provided by the sale of my former house. My ex-fiance agreed to sign off of the house. When he went to the escro company, they had prepared a Grant Deed that stated ''This is a boafide gift and the grantor receved nothing in return R&T 11911''. My question is, what is the difference between the quick claim and a grant deed? Since it is stated that it is a gift will I have to pay a gift tax? When I called the escrow company, they said that the grant deed is a more secure form. If that is so why do people mostly do quick claims and what are the benefits between the two. Don't understant....please help.


Asked on 8/24/05, 2:06 pm

1 Answer from Attorneys

Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: What is the difference between a quick claim & a grant deed?

The proper term is "quitclaim."

The principal difference is the nature or degree of the grantor's (seller's) representations and warranties to the grantee (buyer) as to title.

With a grant deed, the grantor warrants to the grantee that he, the grantor, has good title to the interest conveyed by the grant deed. That might only be a half interest, or a life estate, or something else less than a full fee. However, by executing and delivering a grant deed, the grantor warrants (guarantees) that he owns whatever interest the deed says he's giving to the grantee. The warranty, and several others, are automatic, and don't need to be spelled out beyond use of the term "grant deed."

With a quitclaim deed, however, the grantor makes no representations or warranties whatever; he/she simply "quits" his or her claim, whether valid, partially valid, questionably valid, or not valid at all, and gives that interest, whatever it may be, to the grantee.

One important use of quitclaim deeds is to take someone out of the picture (such as a spouse, heir, or lienholder) when a buyer or lender wants to be sure that someone isn't an owner or claimant against the property.

Quitclaims are also useful where the seller of property isn't sure about the quality of his title, and doesn't want to make guarantees, but the buyer is willing to take the risk of the lack of guarantee because (a) the price is lower, or (b) the buyer isn't terribly worried about the quality of title, or (c) that's all the seller is willing to give.

Read more
Answered on 8/24/05, 2:34 pm


Related Questions & Answers

More Real Estate and Real Property questions and answers in California