Quit Claim Deed Or Not?
I am buying a property from friend. Can he just do a quit claim deed to me to avoid paperwork and cost?TIA.
Sam
I am buying a property from friend. Can he just do a quit claim deed to me to avoid paperwork and cost?TIA.
Sam
Yes.
And you can end up with nothing. You can also end up with a property that you can not sell without some expensive legal processes to clean up the title later.
Lets assume you really are friends...
If he really owns the place then use a deed that comes with more guarantees. A deed that you can get title insurance for. If you ever want to get a loan you will need to have title insurance so you need a clear claim on the title. Some form of Warranty Deed is what I am thinking.
Put another way, you need to focus on the big picture. If you are buying from a friend and there are no agent fees, the legal and paperwork costs to correctly record and insure the title is nothing compared to the value of the asset.
John
[addsig]
You can get a quit claim deed and title insurance. Which is essentially the same as having a warranty deed. However, there is no cost savings so why do so?
I agree with the previous post. The legal cost associtated with RE is extremely low relative to the value of the asset. Therefore, don't try to skimp on this cost.
Thanks all for your reply.
Sam