Electronic Signature Licitness for Quitclaim Deed in United States

How to eSign a document: electronic signature licitness for Quitclaim Deed in United States

Hi this is Lee Phillips I want to talk to you for two seconds about a concept called called a quit claim deed. You quit claiming your interest in the property so it's called a "quit claim deed". Quit claim deeds are often used when you're transferring property in and out of a living revocable trust and it works just fine because the living revocable trust is considered to be you. You are transferring your interest to you. Now I have to talk about quit claim deeds for two seconds. The quit claim deed only says that you quit claiming any interest that you have on the property I can give you a valid quit claim deed for my interests in the White House. Perfectly valid deed. I don't have much interest in the White House so the deed isn't worth a lot but you can give the quit claim deed to whatever interest you have in the piece of property. Now if you're transferring assets to a company like an LLC that you've set up or corporation that you've set up you're not going to use a quit claim deed you're going to use a warranty deed because you want any warranties like the title insurance and stuff to go with the deed that you're moving over to your LLC or your corporation. But the trust is different. It's you. You still have the warranties you still have all of the stuff so when you do a quit claim deed to a trust you're not losing any of the warranties and things that you would normally want to make sure that you'd send along with the property. The quit claim deed has a couple of elements like six or so that you need. One, it needs to identify you. Now, you are you, you're the guy who owns the property if you're the seller or if you're the guy who's transferring it into the trust your trust. So it identifies the guy who owns the property now. It has to identify the guy who is to get the property. If it's your living revocable trust, remember that it is name of trust, date of trust and the trustee those three elements have to be there. And I saw a deed the other day that didn't have those three elements and we've gone over those elements before so it has your name now that would be husband and wife if you own the property as joint tenants and you're putting it into the living revocable trust so you'd both have to be identified. If you're in a community property state and even if hubby or sweeties name isn't on the deed, I'm still going to want their name to be there as a grantor the guy who gives up the property. So I want both names in a community property state independent of who "owns" it. And normally you're in a joint tenancy situation or something so we're going to have both of the spouses anyway. We have to identify the property. What are we sending over? Now that could be a legal description, Lot 6 Plat A, you know somebody's subdivision blah blah blah or it could be what we call a "metes and bounds" description 38 feet north of the centerline of blah blah blah blah blah. You've seen those. So I've got to describe the property. Then we have to have a date. We have to have a signature of the guy who's giving away the property so if it's husband and wife joint tenants or whatever it is I've got to have both signatures and by the way the signatures have to be identical to what you had on the first deed. If I signed my name Lee R. Phillips on the first deed and I just have Lee Phillip on the quit claim deed or the warranty deed where I'm sending it on That won't work. It has to be exactly the signature that was on the first deed. So you gotta watch that. I'm going to have the signature then I've got to have delivery. The deed has to be delivered. We've talked about dresser drawer deeds and that sort of thing in other YouTube videos the delivery is an important element. If there's no delivery there is no valid deed. Delivery is kind of a, "Yeah, no big deal" obviously when the lawyer has you sign it the trustee you go down you record it obviously that's been delivered because the recording has taken place we've made the transfer everybody knows about it trustees accepted it we're okay so there always has to be delivery and that's where people screw up often on the dresser drawer deed mom and dad they don't want to go through probate so they make out the deed and everything today and then they just put it in the dresser drawer and the kids go get it after mom and dad die go down and record it is that a valid deed? No, there was no delivery. Now who's gonna challenge it? Well, that's another issue. So lots of people get away with it but technically there was no delivery. So, quit claim deed I'm just quit-ing my claim on the property and transferring it to the other guy whatever my claim was and like I say it's okay when we're going between husband wife or you and trust but if you're moving between you and LLC or corporation that you've set up and a lot of real estate investors are setting up LLC's and stuff now then you want the warranty deed. This is Lee Phillips explaining quit claim deeds.