Which type of deed does not guarantee marketable title?

Prepare for the North Carolina Broker Reciprocal Exam. Sharpen your skills with flashcards and multiple-choice questions. Each question offers explanations to ensure clarity and understanding. Get ready to excel!

The quitclaim deed is the type of deed that does not guarantee marketable title. This is because a quitclaim deed conveys whatever interest the grantor has in a property, without making any promises or warranties about the quality of that interest or the status of the title. Essentially, it offers no protection against any claims or liens against the property, meaning the grantee has to accept the property "as is" with all associated risks.

This lack of warranties means that if there are any title issues, such as unpaid liens or claims from third parties, the grantee cannot hold the grantor responsible. The nature of a quitclaim deed makes it a common choice for transferring property between family members or in situations where the parties know each other well and the title is undisputed.

In contrast, the other deed types mentioned—general warranty deeds and special warranty deeds—both include certain guarantees about the title. A general warranty deed provides the highest level of ownership protection, assuring the buyer of the grantor’s right to convey the property and that the title is clear of issues from the past as well as during the ownership period of the grantor. A special warranty deed offers warranties only related to the time the grantor owned the property, protecting against claims or

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