Free New Jersey Quitclaim Deed Form

How to Create a Valid Quitclaim Deed in New Jersey

A quitclaim deed in New Jersey is a legally binding instrument that one uses to convey their interests in real property to another party. If you are the one conveying or giving up your rights in real property, the law regards you as the grantor, and if you are the recipient, you are referred to as the grantee.

While effective in the transfer of real estate rights, this instrument will not, however, offer any warranties on the issued title. It, therefore, means that this legal instrument only conveys the rights held by the grantor at the time of the conveyance. The other limitation of this document is that it doesn’t provide any guarantees on the state of the title and whether the title is clear or not, is something the grantee will not know.

In the worst case scenario, a prior owner of the property might have taken second or third mortgages on the property, leaving you with a title with unknown liens. In the event of such, or any other title issues, you might lose your interests in the property. The reason for this is that the use of the quitclaim deed will not give you any form of legal recourse against the grantor. So, this document is also called a non-warranty deed or the quitclaim.

Note that the difference between this non-warranty deed and the warranty deed lies in the fact that the warranty deed assures the grantee/ buyer of the title’s warranty, the grantor is the actual owner of the property, and the title issued has no defects.

Why and when to use the quitclaim?

Mistakenly known as the quick claim deed, perhaps because of its efficiency, the quitclaim is commonly used between parties that trust each other. So, even with its limitations, you can use the deed to convey property between your loved ones.

• Some of the uses of the quitclaim include:

• • Transferring interests in property to children, between siblings, and between other members of the family.

  • Transferring interests in property into a trust

  • Changing the details/ name of the owner on a title

  • Adding a spouse to a property title

  • During divorce proceedings, the deed is used to remove a spouse from a deed. Alternatively, it could be used when a spouse wishes to quit their property rights to an ex-spouse

  • Removing clouds from a title.

Requirements for validity

First, you need a template to work on. For this, we recommend the use of the free New Jersey quitclaim deed form, downloadable online. It is available in a printable PDF version.

• Once you have your free deed form, ensure that it has everything as required by law. These requirements include:

• • The deed must bear the right words, and created in the right language. In this case, the acceptable word to explain the property transfer is ‘release.’

  • It must have the full legal name of the grantor, as well as their mailing address and their marital status

  • It should have the full legal name, the actual mailing address, the marital status, and the vesting interests of the grantee. Vesting describes how the grantee wishes to hold the title to the property. In most cases, real property ownership falls into either co-ownership and sole proprietorship. Regarding residential property, the state of New Jersey recognizes three primary methods of owning rights in property – joint tenancy, tenancy by entirety, and tenancy in common. And if a conveyance involves a minimum of two persons, the vesting created is a tenancy in common. For married coupled, transfer of property between the couple falls in the tenancy by entirety spectrum in the statutes, unless it is stated otherwise.

  • For conveyance of realty, the quitclaim must have a complete legal description of the parcel of land. The deed must also recite the previous deed references of the title, for the preservation of a clear chain of title. If there are restrictions associated with the title/ property, they should be listed here.

  • For recording in the county public records, the deed must meet all the local and statutory standards.

  • The deed should be signed in the presence of the notary public or any other authorized official.

  • For payments, you must record the county records office.

  • If you are using the deed to transfer a new construction, you must, as required by the statutes in Section 46:15-5(1)(g), indicate the words “NEW CONSTRUCTION” on the first page of the deed and in all caps.

  • Regarding transfer taxes and tax exemptions, you must explain, on the face of the deed the reason for exemption. For information on transfer tax exemptions, check out the statutes under N.J.S.A. 46:15-10. You also need to accompany your deed with a completed Affidavit of Consideration to claim the full or partial exemption.

  • You have to record the GIT/REP, the Gross Income Tax Form with your deed when transferring real property in the state. For help determining the correct GIT/REP, talk to the local assessor or make an inquiry at the local recording office.

• Limitations of the quitclaim in New Jersey

• • It offers no title guarantees

  • It doesn’t change your liability from mortgage

  • It does not supersede a will

  • It is void against future purchasers of the same property if it is not recorded

  • It could be affected by the statute of limitations

  • Community property laws supersede it.

Would you like to transfer your rights in residential rental property to an entity or a loved one in Trenton, Newark, Princeton, Jersey City, Paterson, Atlantic City, Hoboken, Montclair or any other city in New Jersey? Download our free quitclaim deed form here to get started today.