An individual living in New Jerseymay transfer ownership of real property to a spouse through a warrantydeed, whichis the common conveyance.Other deeds of conveyance includethe quitclaim deed, a deed of trust and a grant deed. Most deeds contain the name of the current owner as grantor; the name of the new owner as grantee; and the legal property description. The deed must be in writing and notarized and signed by the grantor. It must then be recorded in the county where the property is located.
Most real estate transfers in New Jersey are effectuated througha general warranty deed. A New Jersey warranty deed conveys real property to the buyer along with warranty covenants. The following are types of warranty deeds in New Jersey:
Certain deeds contain no warrant or a limited warranty. In these types of warranties the grantor only warrants that there are no title defects during the period of the grantor's ownership.
In certain cases,a quitclaim deed may be used to transfer ownership of real property. However, a quitclaim deed does not convey any warranties or guarantees that title is good or that the property is free of liens or claims. Quitclaim deeds are generally used in non-sale transactions such as transfers between spouses.
A deed of trust or trust deed is somewhat similar to a mortgage.In this case, thetitle is transferred to a trustee, usually a title company holding the real property as security for the borrower's loan. Only when the loan is paid in full does the title fully transfer to the borrower. If the borrower defaults, however, the trustee has the power to sell the property to pay off the lender.
Another conveyance is the grant deed whichtransfers ownership from the grantor to the grantee. With the deed, the grantor guarantees that title was not transferred previously and that there are no encumbrances outside those stated in the deed.
Talk with an experienced real estate attorney to talk about which New Jersey deed is best suited for your situation.