Quitclaim deeds transfer the interest in a property from one party to another. Generally, this type of deed is used to add or remove someone from the property title. The state of Texas, like most other states, has its own set of rules and regulations governing the validity of quitclaim deeds.
Deeds filed in the land records system of Texas must include the names of the parties involved in the transfer. On a deed, the seller is known as the "grantor" and the buyer is known as the "grantee." The deed needs to include the address of the grantee. This is the address where the property tax bills will be mailed. Also, the deed should list the return address. The county clerk will return the document to this address after recording.
Deeds transferring real property must include a complete and accurate legal description of the land. These descriptions are usually taken from the last recorded deed filed in the county. However, a property description can also be obtained by a licensed property surveyor.
The true and actual sales price of the transaction does not need to be included on a quitclaim deed filed in the state of Texas. Often times, $1.00 or $10.00 is listed as the consideration on a quitclaim deed. Because deeds become public record once file with the county clerk, using a negligible consideration amount allows for confidentiality between the buyers and sellers. Additionally, if a quitclaim deed is simply being used to add someone to the property, such as a spouse, an exchange of money probably did not occur.
All signatures on a quitclaim deed must be original. A notary public must witness the deed signing. In Texas, only the seller must sign the deed. However, if some type of special clause or condition applies to the buyer, he may have to sign. All signatures must be acknowledged properly by the notary public.
A quitclaim deed does not have to be recorded to be considered valid in the state of Texas. When a correctly prepared deed is signed by the seller and delivered to the buyer, it goes into effect. Recording a deed with the county clerk provides a public record of the transfer. It also provides the county with a new owner to bill for property taxes. Although this may be true for Texas rules, most title insurance companies require that a deed is recorded. Unrecorded deeds will not show on any future title searches.