Warranty Deed from Corporation to Two Individuals - Connecticut 2025

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Limitations of Warranty Deeds While warranty deeds offer some key benefits, there are also some limitations, such as: A special warranty deed only guarantees that the title is clear of any claims or encumbrances during the time that the grantor owned the property.
Use a bargain and sale deed for property transactions included in foreclosure, tax, or estate settlement processes. With a bargain and sale deed, the grantee receives assurance that the grantor has clear ownership of the property, however, the grantee assumes the risk of any debts, burdens, or defects in the title.
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.
Quitclaim deeds are typically used to transfer property in non-sale situations, such as transfers of property between family members.
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.
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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.

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