The Differences Between a Warranty Deed and a Quit Claim

There can sometimes be some confusion about theas long as he resides on said property.
distinction between a general warranty deed and a• Covenant of Warranty
quit claim deed and which one is needed for a givenThis protects the buyer against other parties that
situation. The difference is actually fairly simple tomay approach later claiming title on the property.
understand once it is broken down.• Covenant of Further Assurances
What is a General Warranty Deed?This assures that if there is a problem with the legal
A general warranty deed is a deed in which a sellertransmission of title due to a mistake by the seller,
assures that he owns the piece of propertythe seller will do whatever is necessary to make sure
mentioned on the deed and is legally empowered tothe title passes to the buyer.
sell it to the buyer. Within the general warranty deedWhat is a Quit Claim Deed?
are six Covenants for Title. These are essentiallyA quit claim deed is a deed wherein anyone who
promises that the seller makes regarding themay have an interest in a piece of property
property: They break down as follows:relinquishes his or her claims to that property. The
• Covenant Against Encumbrancesquit claim deed provides no promise that the signing
This is a promise by the seller that the property isparty (the grantor), has any actual interest in the
unencumbered by something such as a lien or aproperty or control over the property. It contains no
mortgage.covenants or promises other than to release any
• Covenant of Seisin and Covenant of the Rightpossible property claim to the grantee. It is
to Conveycommonly used for between family members to
These are promises by the seller that he or shemake sure there are no complications in the transfer
owns the property and is entitled to sell it.of property from, for example, one spouse to
The above three are known as the presentanother.
covenants because if they are violated, they areYou should consult your real estate professional to
violated immediately upon signing. The following aredetermine which type of deed you require. They will
future covenants because they may be violatedbe able to answer your specific questions about the
after the title has passed to the new owner:title transfer process. In general, if you are selling a
• Covenant of Quiet Enjoymentproperty to a neutral party, you will probably require
The covenant of quiet enjoyment insures that thesome form of general warranty deed.
buyer will enjoy undisturbed use of the property for