Amazing Benefits of Quitclaim Deeds
A quitclaim deed is considered different from all the other deeds. With a quitclaim you can easily transfer the property by easily filling the provided form. No guarantees are involved in the quitclaim deeds. Furthermore, there are many taxes that are paid when someone uses the traditional method to transfer a property, something that is not observed in quitclaim deeds. Therefore, the main benefit that can be obtained through quitclaim deed is that it allows the property to stay within the family, and it offsets all the costs that are observed in the traditional deeds.
So far we have established that quitclaim deeds are used for the purpose of transferring properties from one person to another. The other method of transferring properties is used when the transfer is not among family members. The warranty deed is the other name given to the traditional method of transferring properties. Quitclaim deed escapes all the guarantees that are observed in the traditional method of transferring properties.
The quitclaim deeds also ensures that you have been prevented from having to spend a lot of money on payment of taxes . When the traditional methods are used, someone will be required to pay a tax that matches the true value of the property. When it comes to quitclaim deeds you the transfer is considered a gift if the transfer does not involve any money. Furthermore, the importance of quitclaim deed is that it ensures that you have been protected from any mortgages after the transfer has been completed. All the costs are still under the initial owner’s name. The only time that you may end up paying the mortgage is if you were initially a co-owner of that property before the quitclaim.
Also, quitclaim can be used in the event of a divorce. This method can be used if it is through an act of generosity or if it is a court order. However, even though the property has been transferred to the next spouse, the obligations still lie with the initial owner. This therefore prevents the couple from incurring any taxes as they are transferring the house.
It is also possible for someone to ensure that probate has been avoided through quitclaim. This ensures that your heir has not been taken to the probate court after your death. In case the parent is very ill, then this is the best method that should be used. If a parent used quitclaim deed to ensure that the property has been transferred to their child, the house will not have to go through probate court after the death of the parent. Both time and money are consumed through probate.