What are the Disadvantages of a Quitclaim Deed?

Mary McMahon
Mary McMahon

A quitclaim deed can be a useful tool, but it comes with some disadvantages that should be considered. In this document, a grantor relinquishes all interest and rights in a property to a grantee. This is not the same thing as a warranty deed, in which the deed of title for a property is fully transferred to a new owner. Having a quitclaim deed, in other words, is not the same thing as owning a property free and clear.

The deed of title is not fully transferred under a quitclaim deed.
The deed of title is not fully transferred under a quitclaim deed.

One classic setting in which a quitclaim deed might be used is to clear a title. During a title search, it may revealed that a group or individual has an interest in the property. This group or individual can sign this document to release all interest in the property, clearing the title to make it possible to transfer. In divorce proceedings, this type of deed is also used to release all rights when one partner has agreed to give up interest in real property. Grants of land and property to family members can also be accomplished through such a deed.

In a quitclaim deed, a grantor relinquishes all interest and rights in a property to a grantee.
In a quitclaim deed, a grantor relinquishes all interest and rights in a property to a grantee.

One of the key disadvantages for the grantor is that signing this document does not release someone from a mortgage. If money is still owed under the grantor's name, it must be repaid. For grantees, getting a quitclaim deed can be a problem for a number of reasons. Properties surrendered under such deeds are often difficult to finance, and getting people to release their interest does not necessarily mean that the grantee now owns the property free and clear. The property can still come with liens and other financial liabilities.

Once this type of deed has been signed, it is a difficult thing to undo. This is an important thing to consider before signing the paperwork. Grantors should decide whether or not they really want to transfer their interest in the property; signing the deed means that they are not entitled to proceeds from a sale, for example, if the property is sold.

It is a good idea for all parties involved to consult their lawyers before finalizing a quitclaim deed. Lawyers can provide advice about the implications of the specific situation, and they can draft a document that is accurate, appropriate, and fully legal to ensure that there are no complications in the future. It may also be advisable to contact an accountant to discuss the financial implications of the deed.

Mary McMahon
Mary McMahon

Ever since she began contributing to the site several years ago, Mary has embraced the exciting challenge of being a wiseGEEK researcher and writer. Mary has a liberal arts degree from Goddard College and spends her free time reading, cooking, and exploring the great outdoors.

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Discussion Comments


I filed a quitclaim deed on my house for a business deal, but now they don't want to do business; they just want to take my house from me. What do I do in order to undo the deed? The house still has a mortgage on it that I pay every month. Can I save my house from these scam artists?


my grand mother quit claim deeded her house and land to my aunt, but my father lives in the house. Can my aunt kick him out of the house.


my mother and grandmother had a mortgage together. my mother is now deceased and my grandmother quick claimed deed the house to me. what should i do to really own it. it still has a mortgage on it.


I'm behind on my mortgage, and the bank feels that if my husband signs a quit claim deed form I have a better chance of modifying my existing loan or qualifying for other programs since he has been absent from the home for eight months now due to incarceration. what should i do?


if i do a foreclosure on a house i financed does the grantee of a quit claim deed have to be served as well as the grantor?

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