A quitclaim deed offers no guarantees to the person receiving the property. The person giving the property (called the grantor) simply passes whatever ownership rights they have—which could be complete ownership or nothing at all. There are no promises that the property is owned free and clear, no promises that no other people have claims to it, and no promises that unpaid debts exist on it. According to the FBI and state attorneys general, quitclaim deed fraud is rising, with 58,141 victims reporting $1.3 billion in losses from real estate fraud between 2019 and 2023. If you use a quitclaim deed, you take on all the risk yourself.
What You’ll Learn From This Article
💡 How quitclaim deeds work and why they offer zero protection to the person receiving property
🛡️ The specific dangers of using quitclaim deeds, including hidden debts and title problems you could inherit
⚖️ The differences between quitclaim deeds, warranty deeds, and special warranty deeds so you can pick the right one
✅ Concrete examples of real situations where quitclaim deeds cause major problems for families and property owners
📋 Step-by-step processes for signing, notarizing, and recording a quitclaim deed in your county
What a Quitclaim Deed Actually Is
A quitclaim deed is a legal document that says one person is giving their ownership interest in property to another person. The words in the document typically say something like “remise, release, and quitclaim” all the rights the grantor has. The grantor is not making any promises about what they actually own or whether their ownership is valid. Think of it this way: the grantor is saying “whatever interest I have in this property, I’m giving it to you now, but I’m not guaranteeing I actually have anything to give.”
The grantee—the person receiving the property—takes ownership exactly as it is. If there are problems with who really owns the property, if there are debts attached to it, or if other people have claims on it, the grantee now owns all those problems too. The grantor has completely washed their hands of the whole situation once the deed is signed and filed.
A quitclaim deed is different from a grant deed, which includes certain promises about ownership. A grant deed says the person giving the property actually owns it and has the right to pass it on. A quitclaim deed skips those promises entirely.
Federal Law and How States Handle Quitclaim Deeds
The United States does not have one single federal law about quitclaim deeds. Instead, each state creates its own rules about how deeds work and what must happen for them to be legal. However, quitclaim deeds follow general principles that apply across the country because they come from old English property law.
At the federal level, the government recognizes that property ownership is handled by the states. The Uniform Commercial Code and other federal standards acknowledge that deeds transfer ownership interests, but the details—like whether something must be notarized or what must be written on the deed—come from state law, not federal law.
States do share some common requirements. Nearly all states require that someone must sign the quitclaim deed in front of a notary public. Most states require that the deed be filed with the county recorder’s office where the property is located. A few states, like Massachusetts, actually include statutory warranties on quitclaim deeds, making them more like special warranty deeds in other states. This means Massachusetts quitclaim deeds provide more protection than they do in other parts of the country.
When you think about federal law and quitclaim deeds, focus on federal tax consequences and fraud issues. The IRS cares about quitclaim deeds because they can trigger gift taxes and capital gains taxes. The FBI warns that quitclaim deeds are being used more and more by scammers who forge signatures and steal homes, which is a federal crime. But otherwise, the states control how quitclaim deeds work.
What Makes a Quitclaim Deed Legal
For a quitclaim deed to be legal and binding, certain things must be included and certain steps must be taken. These requirements vary slightly from state to state, but the core elements are similar everywhere.
The grantor must sign the document. This is the person who currently owns the property or has some interest in it. In most states, only the grantor needs to sign, not the grantee. However, the signature must happen in front of a notary public. The notary verifies that the person signing is actually who they say they are. Some states, like Missouri and California, require that the signature be notarized, while Ohio does not require notarization under its law.
The deed must describe the property correctly. This description is called the legal description, and it is not just the street address. It includes details like the lot number, block number, and subdivision name. You can find this description on your current deed or your property tax papers. If the description is wrong or incomplete, the deed may not be valid.
The grantor and grantee names must be included. Their full legal names and addresses go on the deed. If someone’s name is misspelled or incomplete, this can create a cloud on the title later.
The date the property is being transferred must be listed. This date is usually the day the deed is signed.
A statement about the transfer must be included. The deed typically includes words like “hereby quitclaims all right, title, and interest” or “remises, releases, and quitclaims” to show that ownership is moving from one person to another.
The deed must be notarized. In most states, a notary public must watch the grantor sign, verify their identity with acceptable ID, and then add their official stamp and signature. This notarization happens before the deed is filed with the county.
The deed must be filed with the county recorder’s office. This is the office in the county where the property is located. Filing costs vary by county but usually run between $20 and $50. Once filed, the deed becomes part of the public record, and a stamped copy is returned showing it was recorded. Until the deed is recorded, the ownership change is not official and not protected.
How Federal Law and State Law Work Together on Recording
Federal law does not create recording laws. Instead, state law controls recording. Each state and even each county has its own recording system and its own requirements about how deeds must be formatted and what information must be included on the first page.
Some states require that the grantor and grantee names appear in the top portion of the deed for easy identification. Some states have specific rules about margins, font size, and spacing. States like California and Texas have particular formatting requirements that must be met or the deed will not be accepted for recording.
Failure to record a quitclaim deed correctly means the public does not officially know about the transfer. This creates serious problems. The grantee might think they own the property, but legally they may not be protected against other claims to it. If the grantor passes away or gets sued, someone could claim they still have rights to the property because the original deed was never properly recorded.
When you record a quitclaim deed, the county recorder typically issues a stamp showing the recording number and date. This proves the deed was officially filed and has become part of the chain of title for that property.
The Three Main Types of Deeds and How They Compare
Understanding the differences between the three main types of deeds helps you pick the right one for your situation. Each type offers a different level of protection.
| Type | Warranties | Grantee Protection | Best Use |
|---|---|---|---|
| Quitclaim Deed | Zero guarantees | Grantee accepts all risk | Family transfers, fixing title issues |
| Special Warranty Deed | Limited to grantor’s ownership period | Some protection but limited | Commercial transactions, business deals |
| General Warranty Deed | Full guarantees for entire history | Highest protection available | Real estate sales, mortgage deals |
A quitclaim deed transfers only what the grantor owns at that moment. If the grantor owns the whole property with no problems, then the grantee gets a clean title. But if the grantor owns only half the property or if there are liens or debts on the property, the grantee inherits those problems. The grantor makes no promises whatsoever.
A special warranty deed promises something, but only for a limited time. The grantor promises that they own the property and that no problems with the title occurred while they owned it. However, the grantor does not promise anything about problems that existed before they owned the property. If someone has a claim against the property from ten years ago, before the current grantor owned it, the grantee cannot hold the grantor responsible. This type of deed is common in commercial property sales and business transactions.
A general warranty deed offers the most protection. The grantor promises that they own the entire property, that there are no hidden debts or claims, and that they will defend the grantee against anyone who comes forward with a claim to the property. If a problem shows up later, even years later, the grantee can take legal action against the grantor. Mortgage lenders almost always require a general or special warranty deed, not a quitclaim deed.
Understanding the Specific Danger: What Happens When a Quitclaim Deed Transfers Problem Property
When you receive property through a quitclaim deed, you are accepting the property in whatever condition it is in legally. If the property has liens on it, you inherit those liens. If property taxes are unpaid, you inherit that debt. If someone else has a legal claim to part of the property, you now own property that someone else can potentially take.
A lien is a legal claim against a property because someone is owed money. Common liens include mortgage liens (when you borrow money to buy the property), tax liens (when property taxes go unpaid), and mechanic’s liens (when contractors or workers are not paid). When a quitclaim deed transfers property with a lien on it, the lien stays on the property.
A mortgage is particularly tricky with a quitclaim deed. If the grantor still owes money on a mortgage, signing a quitclaim deed does not release them from that debt. The property changes owners on paper, but the grantor’s name stays on the mortgage. If the grantee stops making mortgage payments, the lender can demand payment from the original grantor, ruin their credit score, or foreclose on the property. The grantor is still legally responsible for paying back the loan.
Many mortgages have a “due-on-sale clause.” This is a provision that says if the property is sold or transferred to someone else without the lender’s permission, the lender can demand that the entire loan be paid off immediately. A quitclaim deed might trigger this clause, and the lender could call the entire loan due right then.
Title defects are problems with who owns the property. For example, maybe someone else’s name is still on the title even though they should not own part of it anymore. Maybe a previous deed was never recorded correctly. Maybe two people think they own the same property and they both have documents that seem to prove it. A quitclaim deed does not fix these problems; it just passes them along.
Clouds on the title are issues that cast doubt on whether the current owner really owns the property. A cloud might be an old judgment against the property, someone claiming they have an interest in it, or a mistake in the official records. When a quitclaim deed is used to transfer property with a cloud on the title, that cloud remains. Future buyers might refuse to buy the property because the title is not clean.
Concrete Real-World Scenarios and What Goes Wrong
Scenario One: The Divorce Property Transfer
Sarah and Mike got divorced. The divorce papers said Mike would keep the marital home and Sarah would sign a quitclaim deed to remove her name from the title. Mike still had a mortgage on the house, and Sarah’s name was on that mortgage too.
Mike did not tell Sarah that he was getting behind on the mortgage payments. Sarah signed the quitclaim deed and got her name off the title. Six months later, the lender contacted Sarah because Mike had missed three mortgage payments. Even though Sarah no longer owned the property, the lender could still collect from Sarah because her name was on the mortgage note. Sarah had to pay money she did not owe, or her credit was damaged.
If Sarah had arranged for Mike to refinance the loan in his name only before signing the deed, or if Mike had formally assumed the mortgage, Sarah would have been released from liability.
| What Happened | The Consequence |
|---|---|
| Sarah signed quitclaim deed but mortgage not refinanced | Sarah remained responsible for all mortgage payments |
| Mike stopped paying the mortgage | Lender went after Sarah, not just Mike |
| Sarah had to pay arrears or face credit damage | Sarah lost money even though she did not own the home |
Scenario Two: The Family Gift with Hidden Liens
Tom wanted to help his son Brandon by giving him a rental property. Tom signed a quitclaim deed transferring the property to Brandon. Tom did not know that a previous tenant had won a judgment against him for injuries that happened in the building. The judgment created a lien on the property.
When Brandon tried to sell the property two years later, the title company discovered the old lien. The lender would not approve Brandon’s buyer because the title was not clean. Brandon had to hire a lawyer to try to remove the lien, which cost him thousands of dollars. Tom had gifted property that came with an expensive legal problem.
If Tom had done a title search before signing the deed, or if he had used a warranty deed instead of a quitclaim deed, Brandon would have had more protection.
| What Happened | The Consequence |
|---|---|
| Tom signed quitclaim deed without title search | Lien on property was transferred too |
| Brandon could not sell the property | Title company refused to insure the property |
| Brandon had to fix the lien problem | Brandon spent thousands on legal fees |
Scenario Three: The “Cloud on Title” Mistake
Years ago, a notary public made an error when recording a deed. The property owner’s name was spelled wrong. The wrong name was now in the official county records. The owner lived in the property for twenty years with no problems.
When the owner decided to sell, the title company found the misspelling. The title was “clouded” because the recorded name did not match the owner’s legal name. To clear this up, the owner could use a quitclaim deed. The owner (with the misspelled name) would quitclaim the property to themselves (with the correct spelling). Once this deed was recorded, the title would be clear.
This was actually a good use of a quitclaim deed because no money was involved and the goal was simply to fix an error in the records.
| What Happened | The Consequence |
|---|---|
| Original deed had misspelled name | Clouded title |
| Quitclaim deed filed correcting the name | Title cleared, no cost, quick process |
| Property could now be sold | New buyer accepted the clean title |
The Mortgage Problem: Why Quitclaim Deeds and Mortgages Don’t Mix
This is one of the biggest issues with quitclaim deeds. The quitclaim deed only changes who owns the property on paper. It does not change who is responsible for paying the mortgage. This is because a mortgage is actually two separate documents: the deed and the note. The deed shows who owns the property. The note shows who owes money to the lender.
A quitclaim deed changes the deed. It does not change the note. The person whose name is on the note is responsible for making payments, even if their name comes off the property title.
Here is what happens in a typical situation: Mike and Sarah own a house together and get divorced. The divorce papers say Sarah will get the house and Mike will sign a quitclaim deed. Mike signs the deed. Now the title shows Sarah as the only owner. But Mike’s name is still on the mortgage note. Mike still owes the bank money.
If Sarah stops making payments, the bank can take the house back. The bank can also sue Mike for the money owed because his name is still on the note. Mike is stuck. He does not own the house, but he owes the bank for it.
To fix this, Sarah needs to either “assume” the mortgage or refinance it. Assuming the mortgage means Sarah formally takes over Mike’s legal responsibility for paying the loan. The bank agrees to this and signs off on paperwork. Mike is released from the loan. Refinancing means Sarah gets a new loan in her name only. That new loan pays off the old loan, and Mike’s name comes off completely.
Many people think signing a quitclaim deed gets them off the hook for a mortgage. It does not. The grantee must take action with the lender to actually remove the grantor from financial responsibility. If this does not happen, the grantor remains liable for every payment for the entire life of the loan.
If the grantor is still on the mortgage and the grantee sells the property without paying off the loan, the lender will come after the grantor for the money. If the grantee deliberately refuses to pay or secretly sells the property and pockets the money, the grantor has few options for recovery.
The safest approach is to get everything in writing with the lender before signing the quitclaim deed. Have the lender confirm in writing that the grantee has assumed the loan or refinanced, and that the grantor has been released from liability.
When Quitclaim Deeds Are Appropriate
Quitclaim deeds work well in specific situations where the parties trust each other and there are no complicated financial issues.
Transferring property into a living trust is a common and appropriate use. When you create a revocable living trust for estate planning, you put property inside the trust. You use a quitclaim deed to transfer your house from yourself (individually) to yourself (as trustee of the trust). This is a simple, clean transfer with no money involved and no risk because you are giving property to yourself in a different capacity.
Adding or removing a spouse’s name after marriage or before divorce can work with a quitclaim deed. If a couple gets married and wants to add the spouse to the title, a quitclaim deed is quick and inexpensive. If a couple is divorcing and one spouse will keep the house, the other spouse signs a quitclaim deed to remove their name from the title. Again, if there is no mortgage or the mortgage has been properly handled, this is straightforward.
Fixing errors on the title makes sense for a quitclaim deed. If a name is misspelled, if someone’s middle initial is wrong, or if a former owner’s name was not properly removed from the title in the past, a quitclaim deed can clean this up. The person with the wrong name on the record quitclaims to the person who should own it or quitclaims to themselves with the correct name.
Transferring property between family members as a gift is appropriate when everyone trusts each other. A parent giving property to a child, a sibling giving property to another sibling, or someone giving property to a family member without money changing hands can use a quitclaim deed.
Clearing clouded title when no other parties are involved is acceptable. If someone’s name appears on the title but they have no actual interest in the property, they can sign a quitclaim deed to clear their name off. This fixes the cloud without going through a lengthy court process called a quiet title action.
When Quitclaim Deeds Are Dangerous and Should Be Avoided
Quitclaim deeds create serious problems when used in situations where protection matters.
Real estate sales involving unrelated people should never use quitclaim deeds. When you buy a house from a stranger, you need to know the seller actually owns it and that no one else has claims to it. A warranty deed protects you. A quitclaim deed leaves you vulnerable.
Commercial property transactions between businesses should use special warranty deeds or general warranty deeds. Lenders and title companies refuse to work with quitclaim deeds because the lack of protection is too risky.
High-value property transfers should not use quitclaim deeds because the risk is too high. If a mistake happens or a problem appears, the financial damage is enormous. A $500,000 property needs the protection of a warranty deed.
Property with outstanding mortgages, liens, or other debts should never transfer with a quitclaim deed unless all the debts are being paid off at closing. Transferring mortgaged property with a quitclaim deed leaves the grantee exposed and leaves the grantor potentially liable forever.
Situations where title problems are suspected require a title search and probably a warranty deed or a quiet title action in court. If you know or suspect there are issues with who owns the property or what claims exist, do not use a quitclaim deed to hide from the problem.
Estate planning situations aimed at avoiding probate should be handled with a living trust, not a quitclaim deed. Using a quitclaim deed to transfer property to your children to avoid probate creates serious tax problems, insurance problems, and creditor problems. Professional estate planning avoids these disasters.
The Hidden Tax Problems That Surprise Grantees
When property transfers via quitclaim deed, unexpected tax problems often surface later. Many people do not understand these consequences until they try to sell the property or pass it along to their heirs.
Capital gains taxes are a big problem. When your father buys land for $100,000 and it grows to be worth $1 million, that $900,000 gain is called “built-in gain.” If your father quitclaims this property to you while he is alive, you inherit his $100,000 basis. When you sell it later for $1 million, you owe capital gains tax on $900,000 of gain.
If your father had instead put the property in a revocable living trust, which is then included in his estate when he passes away, you would get what is called a “stepped-up basis.” Your basis would jump to $1 million (the value at his death), not $100,000. When you sell it for $1 million immediately after, you owe zero capital gains taxes. The difference is hundreds of thousands of dollars.
Gift taxes can be triggered by a quitclaim deed. If you quitclaim valuable property to your child while you are alive, the IRS considers this a gift. Gifts over $17,000 per year (in 2023) must be reported on Form 709, a gift tax return. If you fail to report, you have committed a misdemeanor. More importantly, large gifts use up your lifetime gift and estate tax exemption.
Title insurance becomes impossible or expensive. Once a quitclaim deed appears in a property’s chain of title, title companies see this as a red flag. Title insurance becomes difficult to get or costs much more. Some lenders will not even approve a mortgage on property that has a quitclaim deed in its history.
Medicaid and SSI problems arise when you quitclaim property to a disabled family member. If that family member needs Medicaid or Supplemental Security Income (SSI), owning property makes them ineligible for benefits. Once they own property, they cannot apply for or receive these government benefits.
To avoid these problems, work with a tax professional and estate planning attorney before using a quitclaim deed for anything beyond simple family transfers or title corrections.
How Quitclaim Deed Fraud Works and How to Protect Yourself
Quitclaim deed fraud is growing nationwide. Criminals known as “title pirates” forge signatures on quitclaim deeds and file them with county recorder offices. Once filed, the forged deed appears in the official records, and it looks like the property ownership has changed.
How the scam works: A criminal targets a homeowner, often someone elderly or someone who owns property with significant equity. The criminal forges the homeowner’s signature on a quitclaim deed transferring the property to themselves or an accomplice. They take this forged deed to the county recorder’s office and pay the filing fee. The recorder’s office files it without investigation because quitclaim deeds skip many of the checks that other transactions require. The property now appears to belong to the criminal on public records.
The criminal then immediately sells the property, often to a buyer they know who agrees to pay under market value. The criminal takes the cash and disappears. The real owner does not find out until they try to refinance, sell the property, or get contacted by the county about property taxes.
The victims: There are two victims in a title piracy scam. First, the real owner loses their home and their equity. Second, the person who buys the property from the criminal loses their money and discovers they do not actually own the property legally because the chain of title is broken.
Protection steps:
Monitor your credit reports and property records. Check your county recorder’s website regularly to see what is filed against your property. Sign up for property title monitoring services.
Verify unusual requests. If anyone asks you to sign property documents, verify who they are and what the documents actually say before you sign.
Use strong security. Do not leave important documents like deeds or property titles in places where they can be stolen. Do not email photos of deeds or titles to people you do not trust completely.
Use a title insurance policy. Title insurance protects you if someone forges a deed or if title problems surface. Standard homeowners insurance does not cover deed fraud, but title insurance does.
Report suspicious activity. If you see a deed on file that you did not sign, report it to the county recorder and the police immediately. Alert your mortgage lender too.
Require professional help. When property changes hands, use a title company, escrow agent, or attorney to handle the documents. These professionals verify identities and catch fraud before it happens.
State-Specific Rules That Change How Quitclaim Deeds Work
While federal law does not regulate quitclaim deeds, state laws create significant variations in how they work, what must be included, and what happens after they are signed.
California uses grant deeds more commonly than quitclaim deeds. California law allows quitclaim deeds, but they are seen as riskier. California requires that quitclaim deeds be acknowledged (notarized) and be in writing. California also requires a Preliminary Change of Ownership Report to be filed with the county assessor when property changes hands.
Texas has particular concerns about quitclaim deeds. Texas law allows them, but the Texas Supreme Court warned many years ago that when a quitclaim deed appears in a chain of title, it signals to buyers that something is wrong. Texas courts have noted that quitclaim deeds “negatively impact the chain of title in perpetuity,” meaning the property is forever marked as suspicious in the records.
Florida requires quitclaim deeds to be notarized. Florida also has specific formatting requirements for the document. If the deed does not follow Florida’s format exactly, the county recorder will reject it. Florida allows quitclaim deeds to be used between family members and for simple transfers, but Florida lenders will not approve mortgages on properties transferred by quitclaim deed.
New York used to treat quitclaim deeds differently, but recent law changes have allowed “transfer on death” deeds, which are similar to quitclaim deeds but specifically designed for estate planning. New York still recognizes quitclaim deeds and allows them in the situations where they make sense.
Ohio has different notarization rules than most states. Ohio does not require quitclaim deeds to be notarized under its general law, though some counties may have different rules. Ohio does require that the grantor’s marital status be listed on the deed and the spouse’s name be included if there is one.
Missouri requires notarization and has specific language requirements. Missouri deeds must include a “Prepared By” line showing who created the document and where the recorded deed should be sent after filing.
Massachusetts is unique. Massachusetts law includes statutory warranties on quitclaim deeds, making them more protective than quitclaim deeds in other states. This means a Massachusetts quitclaim deed actually includes some promises about the title.
When using a quitclaim deed, make sure you understand your specific state’s requirements. Each state has its own forms, its own recording procedures, and its own fees. Using the wrong form or failing to follow your state’s specific rules can make your deed invalid.
The Step-by-Step Process: How to Sign and File a Quitclaim Deed
If you decide a quitclaim deed is appropriate for your situation, here is exactly how to do it correctly.
Step 1: Get the correct form for your state. Do not use a generic quitclaim deed form. Use a form that complies with your specific state’s law. Your county recorder’s office can tell you what form is required. You can also get forms from attorney-reviewed websites, your state bar association, or a real estate attorney. The form must include all required fields for your state.
Step 2: Fill in all information accurately. Write the full legal names of the grantor (person giving property) and grantee (person receiving property). Include their addresses. Get the legal description of the property from your current deed or a recent property tax statement. The legal description is not just the street address; it includes lot numbers, block numbers, and subdivision names. Include the date the deed will be executed. If any money is being exchanged, note that too (for example, “$1 and other valuable consideration” for a gift).
In some states, you must also include the grantor’s marital status and spouse’s name. In some states, you must list the county where the property is located or where the grantor resides. Check your state’s specific requirements and include everything.
Step 3: Sign the deed in front of a notary public. The grantor must sign the deed. In most states, only the grantor signs; the grantee does not need to. However, the grantor’s signature must happen in the presence of a notary public. The notary will ask to see a photo ID to verify the grantor’s identity. The notary will watch the grantor sign. The notary will then sign and stamp the deed with their official notary seal.
Some states require witnesses in addition to a notary. Some states require that both the grantor and grantee sign. Follow your state’s specific rules.
Step 4: Prepare the deed for recording. Make sure the deed is complete and legible. Make sure all signatures and notary seals are visible and clear. Some counties require that the deed be on a specific size paper (usually 8.5 inches by 11 inches) with specific margins. Some counties require that certain information appear in a specific location on the first page. Check your county recorder’s website for formatting requirements.
Step 5: File the deed with the county recorder’s office. The county recorder is the office that maintains all property records for the county. You can file the deed in person, by mail, or sometimes online, depending on your county’s system. Include a check or money order for the recording fee (typically $20 to $50, but varies by county). Include any forms your county requires, such as a cover sheet with the grantor’s and grantee’s names, the property address, and the legal description.
Include a self-addressed, stamped envelope if you want a certified copy of the recorded deed returned to you. The recorder will stamp the deed with a recording number and date, showing that it has become part of the official property records.
Step 6: Verify the deed was recorded. After a few days or weeks (depending on how busy the county recorder’s office is), check the county recorder’s website or call to confirm that your deed was recorded. Ask for the recording number and the date it was recorded. Keep this information for your records.
Step 7: Update relevant parties about the ownership change. Notify your mortgage lender if applicable, your homeowners insurance company, your property tax assessor, and your HOA if you have one. For mortgaged property, this is critical. The lender needs to know that the title has changed hands so they can update their records. If you do not notify them and a payment is missed, the lender might contact the wrong person.
Common Mistakes That Destroy a Quitclaim Deed and Create Legal Problems
Mistake 1: Not verifying the property description. The legal description must exactly match what is in the county records. If you copy it wrong or abbreviate it, the deed might not work. The county recorder might reject it, or if it gets recorded with the wrong description, it might transfer the wrong property or transfer the property incompletely. Always get the legal description from your deed or tax statement, not from memory or a street address.
Consequence: The deed might be invalid, or the wrong property might transfer. If you later try to sell or refinance, the title company will catch the error and refuse to proceed. You might have to file a new deed and pay recording fees all over again.
Mistake 2: Misspelling names or using inconsistent name formats. If the grantor’s name is Mary Elizabeth Smith on the current deed but you write Mary E. Smith on the quitclaim deed, this creates confusion. If you spell the grantee’s name wrong, the title will be in the wrong person’s name. These small errors create clouds on title and cause problems for future sales or refinancing.
Consequence: The grantee owns property but their name does not match the official title. They cannot sell easily or refinance. They might have to file a correction deed later to fix the error.
Mistake 3: Not getting a signature notarized or getting a signature notarized incorrectly. The grantor’s signature must be notarized in front of a notary public. Just having a notary stamp does not count if the signature was not made in front of the notary. Some people forge a signature and then take it to a notary, which is a crime. Some people get the signature notarized in front of the wrong notary or in the wrong state. Some people fail to get the signature notarized at all.
Consequence: The deed is not legal and cannot be recorded. If it somehow gets recorded anyway, it can be challenged in court later as invalid. The transfer might not hold up legally.
Mistake 4: Not recording the deed or recording it improperly. A quitclaim deed that is signed and notarized but never filed with the county recorder is not official. It exists only as a private document between the parties. If the grantor dies or gets sued, someone might claim the property was never actually transferred. If the grantor later sells the property to someone else, there could be a dispute about who really owns it.
Consequence: The grantee thinks they own the property but has no official proof. Their ownership is vulnerable to challenge. If they try to sell or refinance years later, the problem surfaces.
Mistake 5: Not removing the grantor from the mortgage. If a quitclaim deed transfers mortgaged property but the grantor’s name stays on the mortgage, the grantor remains responsible forever. This is not a mistake in signing the deed; it is a mistake in not taking additional action with the lender. Many people think signing the deed solves the problem. It does not.
Consequence: The grantor is liable for the mortgage even though they no longer own the property. If payments are missed, the lender can sue the grantor, damage their credit, or foreclose. The grantor could lose money they did not expect to lose.
Mistake 6: Failing to disclose existing liens or debts on the property. If the property has a mortgage, a tax lien, a judgment, or any other legal claim against it, the grantee should know about this before accepting the deed. Some grantors do not disclose these problems, thinking the grantee will not find out. However, a title search or careful review of public records reveals liens.
Consequence: The grantee inherits the debt or lien. They might try to sell the property later and discover the title company will not insure it because of the lien. They might find a judgment against them for debts they did not know existed.
Mistake 7: Using a quitclaim deed when a warranty deed or quiet title action is necessary. Some situations have complicated title problems that a quitclaim deed cannot fix. If multiple people claim to own the property, or if a previous deed was forged, or if a boundary dispute exists, a quitclaim deed is not the solution. These problems need a quiet title action in court, where a judge settles the dispute. Using a quitclaim deed in these situations just passes the unsolved problem along.
Consequence: The property title remains clouded. Future buyers and lenders will not accept the property. The problem gets worse over time, not better.
Mistake 8: Not consulting a lawyer or title company. Quitclaim deeds seem simple, so many people try to do them alone. However, state-specific requirements, mortgage complications, tax consequences, and title issues make professional help valuable. A lawyer or title company can catch problems before the deed is signed.
Consequence: Mistakes happen that cost thousands of dollars to fix later. Tax problems surface years down the line. The grantee discovers they do not actually own the property safely as they thought they did.
Do’s and Don’ts: What You Should and Should Not Do With Quitclaim Deeds
DO get a title search before using a quitclaim deed. A title search reveals liens, judgments, mortgages, and other claims on the property. Knowing what problems exist helps you decide if a quitclaim deed is appropriate. If problems exist, you can address them before signing. Why: Title searches cost $100 to $400 but save thousands in problems later.
DO use a quitclaim deed to fix errors on your own property’s title. If your name is misspelled on the deed or if you need to add your spouse’s name after marriage, a quitclaim deed is perfect. Why: This is exactly what quitclaim deeds do best—fix simple title issues quickly and cheaply.
DO involve your lender if a mortgage exists on the property. Tell your lender before you sign a quitclaim deed if a mortgage is on the property. Ask them if a due-on-sale clause will be triggered. Discuss assumption or refinancing options. Why: The lender might demand payment of the whole loan if you transfer property without permission, and you want to know this before it happens.
DO get the deed notarized by a certified notary public. Do not use someone who just knows a notary or who is an amateur. Use a professional notary who carries errors and omissions insurance and has a notary seal and commission. Why: A proper notarization protects you if the deed is ever questioned or challenged.
DO file the deed with the county recorder’s office immediately after notarization. Do not leave it sitting in a drawer. Do not wait weeks or months. File it as soon as possible after signing. Why: Until the deed is recorded, the transfer is not official. The longer you wait, the more risk there is of something going wrong.
DO keep certified copies of the recorded deed. After it comes back from the county recorder with the recording number and date, make multiple copies. Store them safely. Give copies to your insurance company, your lender, and anyone else who needs to know about the ownership change. Why: You need proof that the deed was recorded if any disputes come up later.
DO NOT use a quitclaim deed in an arm’s length real estate sale. If you are buying or selling property from a stranger for money, use a warranty deed or special warranty deed, not a quitclaim deed. Why: Warranty deeds protect both parties by making clear promises about the title.
DO NOT assume a quitclaim deed removes you from a mortgage. Signing and recording the deed does not automatically release you from the loan. You must get the lender’s permission and have the assumption or refinancing formally approved. Why: Lenders control mortgage responsibility, not deeds. The note, not the deed, controls who owes the money.
DO NOT transfer mortgaged property with a quitclaim deed unless you have written confirmation from the lender. Have the lender put in writing that the new owner has assumed the loan or that a refinancing is approved. Why: Without this, you might be stuck with mortgage liability forever.
DO NOT ignore due-on-sale clauses. If your mortgage has this clause and you transfer property without the lender’s approval, the lender can demand full payment immediately. This could trigger a foreclosure. Why: A lender with a due-on-sale clause has the legal right to call the loan, and they will if you violate this provision.
DO NOT use a quitclaim deed for complex estate planning. If you are trying to avoid probate or reduce taxes, work with an estate planning attorney. Do not just quitclaim property to your children. Why: DIY estate planning with quitclaim deeds creates capital gains tax problems, creditor liability problems, and insurance problems that professional planning avoids.
DO NOT forget to update your insurance and tax records. Tell your homeowners insurance company that the title has changed. Update your property tax records if required. Notify your HOA if applicable. Why: If the records do not match, claims might be denied or taxes might be sent to the wrong person.
DO NOT leave a quitclaim deed unsigned or unnotarized. Make sure all required signatures are in place and the notary has added their seal. Why: An incomplete deed cannot be recorded and has no legal effect.
Pros and Cons: The Full Picture of Quitclaim Deeds
| Advantage | Why It Matters |
|---|---|
| Fast transfer process | Quitclaim deeds skip many checks and can be completed in days instead of weeks or months. |
| Lower costs | Quitclaim deeds cost much less than warranty deeds because they require less legal work and no title insurance. |
| Simple for family transfers | Between family members or trusted parties, quitclaim deeds are straightforward and appropriate. |
| Good for fixing title errors | Quitclaim deeds easily correct misspellings, missing names, and other clerical errors on titles. |
| Works for trust transfers | Transferring property into a revocable living trust for estate planning is quick and easy with a quitclaim deed. |
| No investigation required | The county recorder does not investigate who owns the property before recording a quitclaim deed, so it is fast. |
| Disadvantage | Why It Matters |
|---|---|
| Zero protection for grantee | The grantee accepts all risk of title problems, liens, and debts without any guarantee of clean title. |
| Lenders will not accept them | Mortgage companies and commercial lenders refuse to work with quitclaim deeds because the risk is too high. |
| Creates permanent title clouds | Once a quitclaim deed appears in a property’s chain of title, it signals problems forever, making resale and refinancing harder. |
| Mortgage liability does not transfer | The grantor remains liable for any mortgage on the property unless formal assumption or refinancing occurs. |
| No legal recourse for grantee | If title problems appear later, the grantee cannot sue the grantor because the grantor made no promises. |
| Invites fraud | The simplicity that makes quitclaim deeds useful also makes them vulnerable to forgery and fraud by criminals. |
| Can trigger tax problems | Using quitclaim deeds for estate planning can cause unexpected capital gains taxes, gift taxes, and Medicaid problems. |
| Insurance complications | Title insurance becomes difficult or expensive to get for properties with quitclaim deeds in their history. |
| No after-acquired title | Unlike warranty deeds, if the grantor later acquires more ownership rights to the property, those rights do not automatically pass to the grantee. |
| Mortgage due-on-sale clause risk | Many mortgages require lender permission for transfers, and a quitclaim deed can trigger a demand for full payment of the entire loan. |
Frequently Asked Questions
Does a quitclaim deed mean I own the property free and clear?
No. A quitclaim deed transfers only what the grantor owns at that moment. If the grantor owns the property free and clear, then yes, the grantee gets clean ownership. But if the grantor only owns half, or if liens or debts exist on the property, the grantee inherits those problems.
Can I use a quitclaim deed to get my name off the mortgage after divorce?
No. A quitclaim deed changes the title, not the mortgage. Your name stays on the mortgage until the lender releases you or the other person refinances. Contact your lender to arrange formal assumption or refinancing.
What happens if I sign a quitclaim deed but never record it?
The transfer is not official. Without recording, the grantee has no legal proof they own the property. If the grantor dies or gets sued, disputes could arise about who owns it. Always record the deed immediately after it is notarized.
Can a quitclaim deed be challenged or revoked after it is recorded?
Only in specific circumstances. A deed can be challenged if it was signed through fraud, forgery, duress, or lack of mental capacity. Otherwise, once a quitclaim deed is recorded, it is permanent and very difficult to undo.
Do both the grantor and grantee need to sign a quitclaim deed?
Usually no. In most states, only the grantor signs. The grantee does not need to sign. However, check your state’s specific rules because some states have different requirements.
What is the difference between a quitclaim deed and a quit claim deed?
They are the same thing. “Quitclaim” and “quit claim” are used interchangeably. The official term is “quitclaim,” but both spellings refer to the same legal document.
Can I use a quitclaim deed to add my spouse to the title after marriage?
Yes. A quitclaim deed can add a spouse’s name to the property title after marriage. You would quitclaim the property to yourself and your spouse as joint owners or as tenants by the entirety, depending on your state’s law.
What is a cloud on title and does a quitclaim deed fix it?
A cloud is any issue that casts doubt on ownership, such as a misspelled name, an unreleased lien, or an old judgment. A quitclaim deed can fix some clouds (like misspelled names) but not others (like unpaid debts or liens). For complicated clouds, a quiet title action in court may be necessary.
Do I need title insurance if I receive property through a quitclaim deed?
Yes, strongly recommended. Title insurance protects you if problems surface later. However, title insurance becomes difficult to get or costs more for properties with quitclaim deeds in their history. Get a title search and title insurance before accepting a quitclaim deed from an unrelated person.
What if the grantor dies after signing but before recording a quitclaim deed?
The deed might not be valid depending on your state’s law. Some states allow the grantee to record the deed after the grantor’s death, but this can create complications. Record the deed immediately after it is signed to avoid this problem entirely.
Does a quitclaim deed work if the grantor does not actually own the property?
Yes, technically it works. A quitclaim deed transfers whatever the grantor owns—which could be nothing. If the grantor does not own the property, the grantee receives nothing of value. This is why quitclaim deeds are risky; you might think you are getting property but actually get nothing.
Can I use a quitclaim deed to remove someone from the title without their consent?
No. Both the grantor and the person whose name you want removed must agree. If your spouse’s name is on the title and you want it off, your spouse must sign the quitclaim deed that removes their interest. You cannot unilaterally remove someone without their signature.
What fees are associated with recording a quitclaim deed?
Recording fees vary by county but typically run $20 to $50. Notarization might cost $10 to $25. If you hire an attorney to prepare the deed, legal fees could run $50 to $500 depending on complexity. A title search, if you do one, costs $100 to $400.
Related reading
- Is a Special Warranty Deed Safer Than a Quitclaim Deed? (w/Examples) + FAQs
- Does a Quitclaim Deed Actually Protect You? (w/Examples) + FAQs
- Is a Quitclaim Deed Valid Without Warranties? (w/Examples) + FAQs
- Is a Quitclaim Better Than a Warranty Deed? (w/Examples) + FAQs
- Can I Void A Quitclaim Deed? (w/Examples) + FAQs
- Can I Sell a Quitclaim Deed Property? (w/Examples) + FAQs
- Tax Consequences of a Quitclaim Deed Explained (w/Examples) + FAQs