What's most important is the substance, of the deed: the description of the property being transferred and the names of the old and new owners. Here's a brief rundown of the most common types of deeds.
Quitclaim Deed.
A quitclaim deed transfers
whatever ownership interest you have in the property. It makes no
guarantees about the extent of your interest. Quitclaim deeds are
commonly used by divorcing couples, one spouse signs over all rights in
the couple's real estate to the other. This can especially be useful if
it isn't clear how much of an interest, if any one spouse has in
property that's held in another spouse's name. Also, when a spouse dies
(as an interspousal transfer) or a partner, quitclaim deeds are used.
A
Grant Deed.
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A Grant Deed transfers
your ownership and implies certain promises that the title hasn't
already been transferred to someone else or been encumbered, except as
set out in the deed. This is the most commonly used kind of deed in
most states.
A
Warranty Deed.
A Warranty Deed transfers
your ownership and explicitly promises the buyer that you have good
title to the property. It may make other promises as well, to address
particular problems with the transaction.
Trust
Deed!
A
Trust Deed (also called a deed of trust) isn't like the other types of
deeds; it's not used to transfer property. It's really just a version
of a mortgage, commonly used in some states. A trust deed transfers
title to land to a "trustee"usually a trust or title company , which
holds the land as security for a loan. When the loan is paid off, title
is transferred to the borrowers. The trustee has no powers unless the
borrower defaults on the loan; then the trustee can sell the property
and pay the lend back from the proceeds without first going to court.
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