What is the difference from a quit deed and a warranty deed?

Asked by jagcat2000, Vancouver, WA Fri Nov 15, 2013

Help the community by answering this question:

+ web reference
Web reference:


Mack McCoy, Agent, Seattle, WA
Fri Nov 15, 2013
A warranty deed has a guarantee that the grantor has title and is transferring it to you in good order. Warranty deeds are best when backed by title insurance!

A quit claim deed just means that, "If I had any claim to the property - and I might not - I give it to you." So, I could give you a quit claim deed for a property that I had no interest in; it just means that if I had any interest, I give it to you. Without warranty.

All the best,
1 vote
Brian Kurtz, Agent, Dearborn, MI
Fri Nov 15, 2013
With a quit claim deed, one is essentially transferring whatever ownership they MIGHT have in a property to the second party.

So, in theory, John could go up to his neighbor Alex and say, "Alex, I think that you believe that you have an interest in that field that I own that is out back behind both of our properties. Why else would you keep parking your two quads and your two snowmobiles back there?" Alex the flatly denies that he has any interest in the field, but John doesn't believe him. Alex then offers to sign a Quit Claim Deed in regards to the field and promises not to park his vehicles there anymore. The two of them visit a real estate attorney and get the paperwork done up for $1,500. Alex has not transferred any ownership interest that he MIGHT have had in the land to John.

The only thing is that Alex really never DID own any part of the field. He doesn't have the ability to transfer full ownership to John or anyone else because he never had an ownership interest in the first place. He can still sign a Quit Claim Deed though. Any Joe off the street can renounce their non-existent interest in a piece of property with a Quit Claim.

A Warranty Deed, on the other hand, is a document which states that someone owns the property and has the right to sell it to another person. They "Warrant" (or guarantee) that no other liens have been placed on the property that are not being resolved at the closing table and they Warrant (or guarantee) that the new owner isn't going to get a call from Long Lost Uncle Joe ranting about how they were not allowed to buy the house in the first place because he owned 50% of it from years back.

The only proper way to Warrant (guarantee) that the title is free and clear and that the new owners will not have any title issues creating stress in their life is to to have a title company do a property title search for any hidden liens and then issue a title insurance policy that backs up the guarantee made by the sellers when they sign the Warranty Deed. This gives the new owners peace of mind knowing that IF an "Uncle Joe" does turn up, the Title Insurance Company will pay him off so he goes away and the new owners won't have to track down Uncle Joe's relatives that sold the property to them when those sellers have moved on to their new life in New Zealand.

I hope this little story illustration has helped clear up the issue for you.
Web Reference:  http://plymouthhomes.tv/
1 vote
Michael E Go…, , Detroit, MI
Fri Nov 15, 2013
A Warranty Deed confirms grantors ownership of the title to a property. This enables a grantor to sell a property whereby the new owner receives, a Warranty Deed. The title is future protected by tTitle Insurance

A Quit Claim Deed simply "QUITS" any persons or entity' interest "CLAIM" of the property. The grantor in this instance is releasing any claims of interest THEY possess in relation to the property. This does not address the possibility of previous liens or encumbrances upon the title of the property.
1 vote
Michael Penny, Agent, Southfield, MI
Sun Nov 17, 2013
Another difference is that a quit claim is the best deed a seller gives and the worst a buyer gets because its garantees nothing except that the grantor gives any and all interest up.

On the flip side a waranty deed is the best a buyer can get and the worse the seller gives because if any of the 5 covenants that were garanteed were to fail. The grantor would be liable, with or with out title insurance. There is a misconception that the title insurance protects the seller but it actually protects the buyer. And if what the title company does is not efficient then guess what... the buyer then goes after the seller for the difference.

So depending on what side of the transaction you are on can effect the preference of which title you would prefer. Another type of title would be a covenant or special warranty which can insured over you see this more common with REO AND BANK OWNED. As a seller I would rather give this than a full waranty. As a buyer I when I see quit claim think what are they hiding that they would give me any type of waranty at all.
0 votes
Alan May, Agent, Evanston, IL
Fri Nov 15, 2013
A warranty deed is a common way to transfer property. It's the deed that the seller offers the buyer.

A quit-claim deed is where someone who is already on the deed is giving up their rights to be on that deed... (they are quitting their claim to the property)... as an example... in a divorce situation... sometime one spouse might quit-their-claim to the family house, leaving only the other spouse on the title.
0 votes
Jim Simms, Mortgage Broker Or Lender, Louisville, KY
Fri Nov 15, 2013
This question sounds like you have narrowed a property search to foreclosed properties, not uncommon for a lender to limit their liability by using a quit claim deed. Should be a red flag to any buyer, if the lender doesn’t trust the attorney that foreclosed on the property why should you? Wonder how title insurance works? Is the coverage compromised by the limited scope of the deed?

Another common use for a quit claim deed is during a divorce, one of my real pet peeves. Divorce attorneys frequently tell the spouse that is deeding their interest that they will not be responsible if the ex doesn’t make payments on the mortgage they both signed. Tell that to the credit bureaus when the ex defaults on the mortgage and wrecks the other party’s credit report. I cannot count the number of loan applications I have turned down because the ex defaulted.

Jim Simms
NMLS # 6395
Financing Kentucky One Home at a Time
I answer questions about financing real estate based on my decades of experience dealing with mortgage underwriters. This answer is my personal opinion, has not been reviewed or approved by the company I work for. I do not offer legal or tax advice, if you need answers from an attorney or CPA find one knowledgeable in your local market.
Web Reference:  http://jamessimms.com/
0 votes
Walter Fahoo…, , Detroit, MI
Fri Nov 15, 2013
Warranty: free.and clear
Quit Claim : liens stay with the property
Web Reference:  http://www.WallyHouses.com
0 votes
Search Advice
Ask our community a question

Email me when…

Learn more