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A Quit Claim deed transfers ownership interest of the grantor to the grantee without any warranties or guarantees that title is good or that the property is free of liens or claims. A quitclaim deed is used mostly in non-sale transactions such as transfers between spouses.
What are the pros and cons of a quitclaim deed?
Pros and Cons of Quitclaim Deeds Pros. There are several benefits of using a quitclaim deed, including: Simple Process. Completing a quitclaim deed is a simple and straightforward process. Affordable. Quick. Multiple Uses. Cons. No Warranties. Assumption of Liabilities.
Who benefits the most from a quitclaim deed?
Because of the lack of title guarantees, quitclaim deeds are most often used to transfer property between two parties who know and trust each other, such as family members.
Are quitclaim deeds reported to the IRS?
Reporting Sales: If the property is sold as part of the quitclaim deed transaction, the sale must be reported on the grantors and potentially the grantees income tax returns. The grantor must report any capital gains from the sale.
What is a quitclaim deed most often used to do?
Quitclaim deeds are typically used to transfer property in non-sale situations, such as transfers of property between family members.
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A foreclosure deed or quitclaim deed would fall into this category. F. Sale of Fractional or Less than Fee Interest (Specify Below) - An interest in part of a
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