A warranty deed is normally required when you sell a parcel of real estate. It needs to be signed, notarized and recorded. When you sign it, you are warranting that you are conveying good title to the purchaser of your property.
Quitclaim Deeds are transfers of one’s interest in a parcel of real estate, but carry no warranties. If two persons are applying for a loan and one had bad credit, a quitclaim deed may be used to take the person with bad credit off title so the one with better credit can obtain a loan. Another example is that a quitclaim deed can change the title from one spouse to the other spouse or into the names of both spouses. There is usually no money being paid to someone signing a Quitclaim Deed.