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There are two main types of deeds:

1. Warranty deed
This deed says the seller is the rightful owner of a property and has the right to transfer the title. This is the type most commonly used in real estate transactions. A warranty deed says the property is not being used as collateral on an unpaid loan, and that no one else can say they own the property. If any of those claims are wrong, the buyer is entitled to compensation. A title insurance policy backs up the claims of the warranty deed, protecting the lender or buyer from disputes about ownership or liens.

2. Quitclaim deed
This deed says "I'm not guaranteeing I own this property, but I'm transferring what I do own to you." The buyer has a lot less protection with a quitclaim deed than with a warranty deed because there's no title insurance policy to cover a buyer if someone other than the grantor pops up and says they own the house.
Quitclaim deeds are used when the property isn't sold. They're generally used when property is being transferred from one family member to another. Examples of quitclaim situations:

• The homeowner dies and bequeaths the property to someone.
• The homeowner gets married and wants to add the spouse's name to the title, or a former spouse's name is removed as part of a divorce settlement.
• The property is transferred to a living trust.

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