Legal Question in Real Estate Law in California

Re: grant deed when grantor has remarried

Due to the possibility that the ex-husband's new wife may have acquired an interest in the house, she should also be a grantor; but since her interest, if any, would be difficult to determine, she should quitclaim rather than grant her interest.

This is for the husband's benefit as much as for the ex-wife's; when he executes a grant deed, he is warranting his good and marketable title to the grantee, and if there is a cloud on that title, he may end up with a legal headache.

The new wife's interest may arise if, for example, the newlyweds use community income to make principal payments on a loan. Since the earnings of either are community property, use of these funds to make equity payments gives rise to a tiny fractional interest, which will grow over time. There are other ways in which the new wife might acquire an interest as well, so most title insurers will want her taken out of the picture via a quitclaim at the time the husband's interest is granted to the ex-wife.

Actual practice may vary from county to county or among title insurers; I would inquire locally with the proposed title insurer as to how they want the paperwork handled.