Question

Alternatively, a quitclaim deed is intended to convey whatever interest, if any, the grantor may hold in the real estate. No warranty is imposed that the grantor actually holds any interest in the property to convey, and no warranty is imposed that they have not encumbered title during any ownership they may have had.

a) True
b) False

Answer 1

The statement regarding quitclaim deeds is true because they simply transfer whatever interest the grantor may have without any guarantee of a clear title or freedom from liens.

Step-by-step explanation:

The statement about quitclaim deeds is true. A quitclaim deed is indeed intended to convey whatever interest the grantor may have in the property. However, it does not guarantee that the grantor has any legal interest to convey or that the property is free from encumbrances. Quitclaim deeds are a common instrument in property transactions when a clear title is not guaranteed or when transferring property between members of a family or in divorce settlements. It is in contrast to warranty deeds where the grantor does guarantee that they have clear title to the property and that there are no other claims or liens against it.

Restrictive covenants, on the other hand, are provisions seen in other types of deeds that limit the use of the property. These are used to maintain certain standards within a development or neighborhood but are unrelated to the type of title guarantee provided by the deed itself.