A Delaware quitclaim deed allows you to transfer real property from one person or entity to another – without making any warranties or legally enforceable promises regarding the title and claims or liens against the property.
Laws & Requirements
Statute: Delaware Code Title 25, Chapter 1.
Signing Requirements: Del. Code tit. 25 § 122: A quitclaim deed must be signed by the grantor (seller) and acknowledged before a notary public. In some cases, deeds may also be proved in the Superior Court before one or more witnesses.
Recording Requirements: Del. Code Title 9 Chapter 96: Delaware has three districts to record quitclaim deeds, and fees vary by county.
Transfer Tax: Yes (exemptions may apply).
Additional Documents: Form 5402: Every deed should also be filed with a Realty Transfer Tax Return and Affidavit of Gain and Value.
How to File
- Prepare Your Documents (Gather & Validate): Before you proceed, you’ll need to collect essential paperwork like the property title and Form 5402. Make sure everything is in order.
- Fill and Finalize the Deed: Carefully complete all sections of the quitclaim deed. Don’t leave any blanks to avoid delays or issues with the transfer.
- Sign with a Notary: The document requires a notary public to witness your signature. Find a notary, sign the document in their presence, and receive their stamp and signature.
- Submit & Record the Deed with the County: Locate the County Clerk’s Office for the county where the property resides (Kent, New Castle, or Sussex). Remember to check their fee schedule beforehand and make copies of your deed for your records.
Costs and Fees
Filing Fees:
Filing fees for quitclaim deeds in Delaware vary by county:
- Fees in Kent County start at $36.00/document, $10.00/page, and $5.00/tax parcel number.
- Fees in New Castle County are $13.00/page and $3.00/parcel description. There is also a $30.00 document fee and a $5.00 technology fee/document.
- Fees in Sussex County are $30.00/document, $9.00/page, plus a maintenance fee of $1.00/document.
Taxes:
- Real Estate Transfer Tax: Real estate transfers typically incur a 4% tax, split between buyer and seller. Exemptions exist for various scenarios like inheritance, low-value properties, and transfers within families.
- U.S. Gift Tax (Form 709): Large gifts, including real estate transfers via quitclaim deeds, are subject to federal gift tax, although the state imposes no additional tax on such transactions.
- Capital Gains Tax: This applies to property sale profits, with IRS exemptions for some homeowners. Delaware imposes its own variations.
Frequently Asked Questions
How do I remove someone from a deed in Delaware?
In Delaware, removing someone from a deed through a quitclaim deed isn’t possible unless they willingly agree to it. Quitclaim deeds simply transfer ownership interest, but they don’t remove existing ownership rights.
If the individual being removed is alive, a court order or their agreement is required to file a new deed excluding them. Should a property owner be deceased, the property must be transferred to the surviving owners.
How do I add a name to a deed in Delaware?
Adding someone to your Delaware property deed is easy with a quitclaim deed. Fill out the form with property details and the new owner’s information. Once all current owners sign before a notary and you file it with the county recorder, they’ll be officially on the deed.
Will a quitclaim deed release me from the mortgage obligation?
A quitclaim deed only changes the property’s title and does not impact the debts or loan responsibilities of either spouse. Regardless of how property is divided in a divorce, both parties remain accountable for any joint debts.
