Detroit, MI · Member since 2015 · 4 posts · 0 votes
I'm in talks with a motivated seller who would like to exchange contracts with me via a quit claim deed. Is it a safe bet and will i be in control of the property??
Anyone can quit claim anything, whether they own it or have any right to it or not. A thorough title search will verify if they even have a right to anything. I have quitclaimed my position in an option to someone in exchange for a fee before. Make sure this person has an interest worth paying for @Makango Malondji If it's just some shady wholesale deal with a weak contract from a potentially forged seller, verify it!
Your title search, and title insurance, are much more important. What good is a Warranty Deed if the seller can't/won't defend/cure it later anyway? Not sure what you mean though by "exchange contracts" though?
We complete quit claim deed transactions all of the time. The big difference is the type of property and its value. If you are buying a SFR, you need need title insurance for sure.
If it's land that is being purchased for $1,000 or so, it's not necessary in my opinion.
Anyone can quit claim anything, whether they own it or have any right to it or not. A thorough title search will verify if they even have a right to anything. I have quitclaimed my position in an option to someone in exchange for a fee before. Make sure this person has an interest worth paying for @Makango Malondji If it's just some shady wholesale deal with a weak contract from a potentially forged seller, verify it!
A quit claim deed is a red flag. It is a red flag not just for you but any title company looking at the deal now or in the future when you go to sell. That said if a title company says the title is good and is willing to insure I am often OK with it.