As a property owner, your name is on the title to your property. A property deed is a legal document that transfers ownership of your property from one owner to another. When you sell your property, the deed is the instrument that you use to change ownership. If you wish to transfer property in a fast manner, you may want to consider using a quitclaim deed. An experienced real estate attorney will assist you with the quitclaim deed process.
What is a Quitclaim Deed?
There are various types of deeds in Wisconsin. A quitclaim deed is a specific type of deed that does not provide a warranty. This type of deed is also called a release deed. This type of deed provides the new owner with the same interest the current owner has. The quitclaim deed does not allow the new owner to make a claim against the original owner for breach of warranty. The new owner thus takes responsibility should there be a defect or problem with the title.
What are the Uses for a Quitclaim Deed?
Quitclaim deeds are most useful in non-standard property transactions. One of the most common uses for quitclaim deeds is when the buyer is obtaining the property at a low price, or at no cost. This means that there is little or no consideration. The quitclaim deed is best utilized in property transfers where the new owner does not require a warranty. For instance, if you wish to quickly sell your property, such as before a foreclosure, you may wish to utilize this type of deed. Quitclaim deeds can also be used to change the title of the property, such as when someone wants to add their spouse as an owner.
What Makes a Quitclaim Deed Legal?
In order to ensure the legality of a quitclaim deed, you must follow specific criteria. In Wisconsin, the law does not utilize a model for quitclaim deeds. It is best to specify that the transfer does not include a warranty. That is what will distinguish this type of deed from standard deeds. The deed should state that the owner quit claims on the property to the new owner. This is different from a standard deed, which conveys real estate. The quitclaim deed cannot include any covenants, or promises, unless they are explicitly part of the title.
What to Include in a Quitclaim Deed
Wisconsin law states how a deed should be created and applies to all types of deeds. A deed must include the names of the parties, the legal description of the property, the terms and conditions of the property transfer, and the name of the person who prepared the document. The person who drafts the deed must make sure that the document meets the statutory requirements and includes non-ambiguous language that properly provides for the intention of both parties. If a deed is poorly drafted, it could cause problems later. When seeking to create a quitclaim deed, it is best to seek guidance from a knowledgeable attorney.
To learn more about quit claim deeds, contact us at Moen Sheehan Meyer, Ltd. at (608) 784-8310 or online.