There are many types of deeds that are used when transferring property or title. Below are four types of deeds that can be used to transfer title, each of them serving for different purposes:
The “grant deed” is the document most commonly used to transfer title to real property in California. When a grantor executes a grant deed, he or she impliedly promises: (1) that before the grantor executed the deed, he or she has not conveyed the same estate in the subject property to any other person than the grantee; and (2) such estate in subject property is free from any encumbrance created by the grantor.
The “warranty deed” is like a grant deed, except that it contains additional promises. Specifically, a warranty deed expressly warrants the title to the property and the quiet possession of the property the grantee. Therefore, by executing a warranty deed, a grantor is agreeing to defend the property against any unlawful claim. Because of the prevalence of title insurance, warranty deeds are infrequently used in California.
The third type of deed is a “quitclaim deed.” A quitclaim deed transfers to the grantee whatever right, title, and interest the grantor had in the property at the time he or she executed the deed. Unlike a grant deed or a warranty deed, a quitclaim deed does not contain any implied covenants or promises.