Quitclaim Deed

What Is a Quitclaim Deed?

A quitclaim deed transfers whatever ownership interest the grantor currently holds in a property, if any, to the grantee. Unlike a warranty deed, the grantor makes no promises about the quality of their title. They do not guarantee that they actually own the property, that the title is free from encumbrances, or that they will defend the grantee against future claims.

Quitclaim deeds are commonly called "quit claim" deeds, but the correct legal term is "quitclaim." They are legitimate legal instruments with specific, appropriate uses, but they should never be used as a substitute for a warranty deed in an arm's-length sale.

Florida Legal Context

Florida law recognizes quitclaim deeds as valid instruments for transferring real property interests. Like all Florida deeds, a quitclaim deed must be signed by the grantor, witnessed by two witnesses, notarized, and recorded with the clerk of the circuit court in the county where the property is located under Chapter 695, Florida Statutes.

Florida documentary stamp tax applies to quitclaim deeds at the same rate as warranty deeds ($0.70 per $100 of consideration). If the transfer is for no consideration (such as a gift between family members), the deed should state "$10.00 and other good and valuable consideration" and the minimum doc stamp amount applies.

When Quitclaim Deeds Are Used in Florida

• Divorce settlements — One spouse quitclaims their interest in the marital home to the other as part of a marital settlement agreement.
• Adding or removing a spouse — A married couple may use a quitclaim to add a new spouse to the title or remove a former spouse after divorce.
• Transfers to a trust or LLC — A homeowner quitclaims the property into their revocable living trust or an LLC for asset protection or estate planning purposes.
• Correcting title defects — If a prior deed had a name misspelling or wrong legal description, a quitclaim deed can be recorded to correct the error.
• Clearing a cloud on title — A party with a potential claim quitclaims their interest to remove the cloud.

Risks of Using a Quitclaim Deed

No title protection. If you buy a property using a quitclaim deed, you have no legal recourse against the seller if a title defect is later discovered. The seller made no promises about the title's quality.

Mortgage lenders will not accept them. No mortgage lender will fund a purchase that uses a quitclaim deed. Lenders require a warranty deed because it provides a cause of action against the seller if the title turns out to be defective.

Title insurance may be difficult to obtain. Some title companies will not insure a property acquired via quitclaim deed without a full title search and additional underwriting.

Related Terms

• Warranty Deed — Provides full title guarantees, used in standard sales
• Special Warranty Deed — Limited warranties, covers only the seller's period of ownership
• Cloud on Title — Quitclaim deeds are often used to clear clouds
• Chain of Title — Quitclaim deeds appear in the chain but offer no chain guarantees

Barnes Walker Deed Services

Barnes Walker prepares quitclaim deeds for family transfers, trust conveyances, divorce settlements, and title corrections. The firm's attorneys ensure the deed is properly executed, recorded, and, when applicable, that documentary stamp taxes are correctly calculated. For questions about which type of deed is right for your situation, request a legal inquiry.

Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC