Quit Claim Deed vs. Transfer on Death Deed: Which One Should You Use?

If you want to transfer Washington real estate to a spouse, child, family member, trust, LLC, or future beneficiary, you may be comparing two common options: a quit claim deed and a Transfer on Death Deed.

Both documents can be useful, but they do very different things. A quitclaim deed usually transfers ownership now. A Transfer on Death Deed, often called a TOD deed, transfers ownership after death if it was properly prepared and recorded before the owner passes away.

At the Law Office of Theresa Nguyen, PLLC, we help Washington property owners choose the right deed, prepare the correct documents, coordinate signing and notarization, and record documents through e-Recording in most counties once everything is executed and required expenses are paid. Our goal is to make property transfers efficient, legally sound, and less stressful.

Quick Answer: A quit claim deed is usually used when you want to transfer ownership interest immediately, such as between family members, after divorce, into a trust, or into an LLC. A Transfer on Death Deed is usually used when you want to keep full ownership during your lifetime but name a beneficiary to receive the property after death without probate. The right choice depends on your goals, timing, title history, taxes, family situation, and whether you want the transfer to happen now or after death.

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What Is a Quit Claim Deed?

A quit claim deed, also spelled quitclaim deed, transfers whatever ownership interest the grantor has in real estate to another person or entity. The person giving up the interest is the grantor, and the person receiving the interest is the grantee.

Washington law recognizes the statutory form and effect of quitclaim deeds under RCW 64.04.050. A quitclaim deed does not guarantee clear title. It does not promise that there are no liens, ownership disputes, mortgages, judgments, or other title problems.

Because of that, quitclaim deeds are commonly used when the parties already know and trust each other, or when the transfer is part of a family, divorce, estate planning, business, or title correction matter.

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What Is a Transfer on Death Deed?

A Transfer on Death Deed allows a Washington property owner to name one or more beneficiaries who will receive the property after the owner’s death. Unlike a quitclaim deed, a TOD deed does not transfer ownership during the owner’s lifetime.

Washington’s Transfer on Death Deed law is found in Chapter 64.80 RCW. Under RCW 64.80.060, a TOD deed must contain the essential elements and formalities of a recordable deed, state that the transfer occurs at the transferor’s death, and be recorded before the owner’s death in the county where the property is located.

A TOD deed is revocable during the owner’s lifetime. Washington law also provides that, during the owner’s life, a TOD deed does not create a legal or equitable interest in favor of the beneficiary and does not affect the owner’s right to transfer or encumber the property. See RCW 64.80.090.

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Big Difference: Immediate Transfer vs. Future Transfer

The biggest difference between a quitclaim deed and a Transfer on Death Deed is timing.

• Quit Claim Deed: Transfers ownership interest now, once properly signed, delivered, and recorded.
• Transfer on Death Deed: Names a beneficiary now, but the property does not transfer until the owner dies.

This difference matters because transferring property now can affect ownership rights, control, taxes, mortgage issues, creditor exposure, family dynamics, and future sale or refinance options.

With a TOD deed, the owner generally keeps control during life. The beneficiary does not become an owner just because the TOD deed was recorded.

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When a Quit Claim Deed May Be the Better Option

A quitclaim deed may be appropriate when the goal is to make an ownership change during the current owner’s lifetime.

Common situations include:

• Removing an ex-spouse from title after divorce
• Adding or removing a family member from title
• Transferring property into a living trust
• Transferring rental property into an LLC
• Correcting a title issue or ownership mistake
• Completing a co-owner buyout or settlement
• Moving property between related parties when warranties are not needed

A quitclaim deed can be fast and effective when used correctly, but it is not risk-free. Because it transfers ownership now, it should be reviewed carefully before signing.

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When a Transfer on Death Deed May Be the Better Option

A Transfer on Death Deed may be appropriate when the owner wants to avoid probate for the property but does not want to give away ownership during life.

Common situations include:

• A homeowner wants the property to pass directly to a child or beneficiary after death
• The owner wants to keep the right to sell, refinance, or change their mind
• The family wants a simpler probate-avoidance tool for one property
• The owner does not want the beneficiary to have ownership rights during life
• The estate plan is relatively simple and the beneficiary choice is clear

A TOD deed can be a helpful estate planning tool, but it must be recorded before death. If the owner has already passed away, a new TOD deed cannot be created to avoid probate after the fact.

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Comparison Chart: Quit Claim Deed vs. Transfer on Death Deed

Issue	Quit Claim Deed	Transfer on Death Deed
When transfer happens	Usually immediately	After owner’s death
Owner keeps control?	Not over the interest transferred	Yes, during lifetime
Beneficiary gets rights now?	Grantee may become owner now	No ownership interest during owner’s life
Can it help avoid probate?	Sometimes, depending on use	Yes, if properly recorded before death
Can it be changed?	Usually requires grantee cooperation or legal action	Generally revocable during life if statutory rules are followed
Common use	Family transfer, divorce, trust, LLC, title correction	Estate planning and probate avoidance
Main risk	Giving away ownership too soon	Not recording correctly before death or choosing wrong beneficiaries

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Tax and REET Considerations

Washington real estate transfers may require review for real estate excise tax, commonly called REET. The tax result depends on the type of transfer, whether consideration is involved, and whether an exemption applies.

For quitclaim deeds, the transfer may require REET review. A gift transfer may be exempt if there is no consideration, but transfers involving money, debt relief, mortgage assumption, or other value may be treated differently. The Washington Department of Revenue provides REET information here: Washington DOR Real Estate Excise Tax.

For TOD deeds, Washington DOR states that the transfer of property due to a previously recorded Transfer on Death Deed to the named beneficiary is exempt from REET. However, a certified copy of the death certificate is required, and a REET affidavit is required to claim the exemption. See Washington DOR REET Exemptions.

Because deed transfers can affect taxes, title, estate planning, and future sales, the transfer should be reviewed before documents are signed or recorded.

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Why This Is Not a DIY Decision

Many property owners search online for a form and assume they simply need to choose between a quitclaim deed and a TOD deed. But the real question is not just which form to use. The real question is what legal result you want.

Common mistakes include:

• Using a quitclaim deed when the owner only wanted a future transfer
• Using a TOD deed when the owner actually needed an immediate transfer
• Adding a child to title without understanding tax or creditor consequences
• Using the wrong legal description
• Failing to consider mortgages, liens, or refinancing
• Recording a TOD deed too late or not recording it at all
• Failing to coordinate the deed with a trust, will, or estate plan
• Assuming the county recorder can give legal advice

A county may accept a document for recording, but that does not mean the document was the best legal choice for your situation.

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General Process Our Firm Handles

The exact process depends on your goals, title history, and family circumstances. In general, our office helps clients by:

1. Reviewing your goals: We identify whether you want an immediate transfer, future transfer, probate avoidance, title correction, or asset planning result.
2. Reviewing title and public records: We confirm how the property is titled and whether there are co-owners, spouses, trusts, LLCs, or prior recorded documents.
3. Choosing the correct document: We determine whether a quitclaim deed, TOD deed, revocation, trust deed, LLC deed, or other document is appropriate.
4. Preparing the deed and supporting documents: We draft documents tailored to the property and situation.
5. Coordinating signing and recording: We assist with notarization and submit documents to the correct county. In most counties, e-Recording may allow faster processing once documents are properly executed and fees are paid.

Our goal is to help clients avoid confusion, reduce risk, and complete the property transfer in a way that matches their legal and family goals.

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Which One Should You Use?

You may want a quit claim deed if you want to transfer ownership now, remove a person from title, move property into a trust or LLC, complete a divorce-related transfer, or correct title.

You may want a Transfer on Death Deed if you want to keep full ownership during your lifetime but allow the property to pass to a beneficiary after death without probate.

You may need something else entirely if the matter involves multiple heirs, a deceased owner, a pending sale, a disputed family situation, a mortgage issue, a blended family, estate tax planning, Medicaid concerns, or property held in trust or by an LLC.

The safest next step is a consultation so the attorney can review the title, your goals, and the consequences of each option before anything is recorded.

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Costs and Fees to Expect

Costs depend on the property, county, document type, and whether additional review is required. In addition to legal fees, there may be third-party expenses such as:

• County recording fees
• State technology fees
• e-Recording submission fees
• Notary or remote online notarization fees
• Certified copy fees
• Supporting document fees, if any
• REET affidavit, exemption review, or excise taxes if applicable

During the consultation, our office can explain which fees may apply and which deed option best fits your situation.

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Common Questions About Quit Claim Deeds vs. Transfer on Death Deeds

Is a quit claim deed the same as a Transfer on Death Deed?

No. A quit claim deed usually transfers ownership interest immediately. A Transfer on Death Deed names a beneficiary to receive the property after the owner dies, while the owner keeps control during life.

Which deed is better for avoiding probate?

A Transfer on Death Deed is often used specifically to avoid probate for real estate, if it is properly prepared and recorded before death. A quitclaim deed may avoid probate only if ownership is transferred during life, but that also means giving up ownership interest now.

Can I use a quitclaim deed to add my child to title instead of using a TOD deed?

You can, but it may create risks. Adding a child to title gives them ownership rights now and may create tax, creditor, divorce, mortgage, or family conflict issues. A TOD deed may be better if your goal is only to transfer property after death.

Can a Transfer on Death Deed be changed or revoked?

Yes, Washington TOD deeds are generally revocable during the owner’s lifetime if the revocation requirements are followed. The revocation must be properly acknowledged and recorded before death.

Can I create a Transfer on Death Deed after someone has already died?

No. A Transfer on Death Deed must be recorded before the property owner dies. If the owner has already passed away, the family must consider other options such as probate, trust administration, survivorship documents, or a Lack of Probate Affidavit if appropriate.

Do both deeds need to be recorded?

Yes. To protect the transfer and update public records, deeds should be recorded in the county where the property is located. A TOD deed must be recorded before death to be effective.

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Related Property Transfer Resources

• Quit Claim Deed in Washington State
• Transfer on Death Deed in Washington State
• Types of Deeds in Washington State
• How to Transfer Property After Death in Washington Without Opening Probate

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Need Help Choosing the Right Deed?

If you are deciding between a quitclaim deed and a Transfer on Death Deed, do not rely on a generic online form. The right choice depends on whether you want to transfer ownership now, avoid probate later, protect family relationships, preserve control, or coordinate the transfer with your broader estate plan.

At the Law Office of Theresa Nguyen, PLLC, we help Washington property owners choose the correct deed, prepare the documents, coordinate signing, and record with the proper county. Our process is designed to be efficient, convenient, and legally sound.

Schedule a Consultation Today

Take the first step toward a safer property transfer. Schedule a consultation with our experienced legal team to review your goals and identify the best deed option for your situation.

Let us handle the details so you can move forward with confidence. At the Law Office of Theresa Nguyen, PLLC, we make property transfer and probate-avoidance planning clearer, faster, and less stressful.