"quit Claim" Deed Help

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If you are the winning bidder & close on the property, you will get a "quit claim" deed to the property does that mean your the owner of the property?

Comments(3)

  • ThirdGeneration19th September, 2004

    Yes

  • active_re_investor19th September, 2004

    Lets back up a bit.

    You are bidding and it sounds like there is some sort of auction going on.

    I would not expect a quit claim as the outcome of an auction. A quit claim indicates that the party signing confirms that they have no interest in the property going forward but does not indicate if they ever did or anything else. It is a very weak for a deed and is many times used to get someone off a title even if there is room to argue that they never had any actual interest in the title.

    So, if we are talking an auction find out why they are using a quit claim.

    The problem with a quit claim is you might be able to prove that the person who signed has no interest but you can not tell or prove that no one else does. Hence you might still not have title and there could be other parties that do have an interest. You will find it a problem to get title insurance as the title company can argue that you do not have a clear claim to the property.

    I do know of some title companies in the west who will not write a policy if a quit claim is used. It tends to vary a bit by the transaction. As a general rule, if you can get a better deed then do so. If not be sure you know who else might have a stake and how to prove they do not. [Advice from my RE attorney]

    John
    [addsig]

  • JohnMichael19th September, 2004

    bigdd19

    active_re_investor has provided you some great wisdom and as an investor you need to fully understand the many deeds used and how they are used.

    This is just a list of the most popular and I hope this help a little in their understanding.

    Bargain And Sale Deed
    1 : a contract resulting from a bargain between a buyer and a seller of real property that creates a use in the buyer and therefore transfers title to the buyer by operation of law
    2 : a deed in which the grantor makes no warranties of title to the grantee

    Deed Of Trust
    : an instrument securing a debt in which a debtor conveys the legal ownership of real property to a trustee to be held in trust for the benefit of the creditor or to be sold upon the debtor's default to pay the debt : a mortgage with a power of sale called also trust deed

    Mas·Ter Deed
    : a deed that submits the land described therein to the provisions of a state's law regarding condominiums and sets out various information (as about the units, common areas, bylaws, and rights of the owners) as required under state law —compare declaration of condominium at DECLARATION 4

    Quit·Claim Deed
    1 : a deed that grants only whatever title or interest the grantor had to the property without any warranty as to the title
    2 : See SPECIAL WARRANTY DEED & WARRANTY DEED

    Sheriff's Deed
    : a deed given to a buyer of property purchased at a sheriff's sale

    Special Warranty Deed
    : a deed in which the property transferred is warranted to be free of all liens or encumbrances made by, through, or under the grantor

    Tax Deed
    : a deed evidencing the transfer of title acquired by the grantee as purchaser of property at a tax sale

    Trust Deed
    : See DEED OF TRUST

    Unit Deed
    : a deed conveying a condominium unit

    Warranty Deed
    : a deed warranting that the grantor has a good title free and clear of all encumbrances and will defend the grantee against all claims see QUITCLAIM DEED

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