A North Dakota quitclaim deed is a legal document that allows a property’s owner or seller (grantor) to transfer ownership and interest in a property to another person (grantee), with no guarantee that they have the right to do so or that the title is clear.
How to File
Filing a quitclaim deed in North Dakota involves drafting the document, signing it with a notary, and submitting it to the county recorder. Handling the process carefully finalizes the transfer.
Step 1 – Get the Original Real Estate Deed
To begin the quitclaim process, you must have a copy of the deed for the property you plan to convey. If you are not the owner, secure a copy of the deed from the property owner before you begin. You can also contact the county recorder’s office and request a copy of the official property deed.
Step 2 – Locate the Legal Property Description
Find the legal property description on the original deed and transfer it verbatim to your quitclaim deed form. N.D. Cent. Code § 11-18-05 states that a property cannot be transferred without this information.
If the property description uses metes and bounds, you must also include the name and address of the person who provided the description or indicate that you pulled it from the deed. Language for this statement can be found under N.D. Cent. Code § 47-19-03.1.
Step 3 – Write the Quitclaim Deed Form
Format and draft your North Dakota quitclaim deed consistent with formatting requirements under N.D. Cent. Code § 11-18-05. The document should be legibly printed or written in 10-point Calibri or larger type on pages no larger than 8 ½ in. x 14 in. Leave a 3 in. space at the top of the first page for recorder information and ensure the rest of the margins are 1 in. each.
Complete the form with the required indexing information, per N.D. Cent. Code § 11-18-08. Content should include:
- Grantor’s name
- Grantee’s name and address
- Property description
- Conveying language and covenants
- Consideration
Language for quitclaim deeds in North Dakota can be pulled from N.D. Cent. Code § 47-10-06. However, the term “grant” implies covenants not offered in a typical quitclaim. Consider replacing the term with “quitclaim and release” or similar language to avoid unintended warranties.
Start by downloading a quitclaim deed template. The document auto-fills appropriate language for quitclaim deeds in North Dakota, so you only need to fill in the information specific to your situation.
Step 4 – Sign and Notarize the Quitclaim Deed
A North Dakota quitclaim deed is only valid when signed by the grantor, per N.D. Cent. Code § 47-19-03. The document must be signed in the presence of a notary and acknowledged consistent with N.D. Cent. Code § 47-19-27. If a notary is not available, the grantor can sign before a subscribing witness in accordance with N.D. Cent. Code § 47-19-22.
If the grantor is married and the property is considered a homestead under N.D. Cent. Code § 47-18-05, both spouses must sign the quitclaim deed conveying the property.
Step 5 – Obtain the Auditor’s Certificate
If the North Dakota quitclaim deed transfers property with consideration, you must pay any taxes owed and obtain a certificate from the county auditor [1]. This certificate is required for the county recorder to process the deed, pursuant to N.D. Cent. Code § 11-18-02.
Documents exempt from the auditor’s certificate requirement are listed under N.D. Cent. Code § 11-18-03. They include:
- Certificate of sale on execution or foreclosure of a mortgage
- Mineral deeds
- Personal representative’s deed or termination of joint tenancy or a life estate
- A deed conveying property to the state or a subdivision or corporation thereof
- Plat, replat, or auditor’s lot modifications requested by a political subdivision
- Statement of succession for minerals abandoned per N.D. Cent. Code § 38-18.1
- Transfer on death deed
Step 6 – Submit the Executed Deed to the County Recorder
Complete the transfer of property interest by submitting the fully executed deed to the county recorder [2] in the county where the property is located, per N.D. Cent. Code § 11-18-11.
Costs and Fees
Filing a quitclaim deed in North Dakota comes with recording fees and taxes. Understanding these costs upfront allows for a more seamless transfer experience.
Recording Fees
Recording fees for deeds are established under N.D. Cent. Code § 11-18-05. They include the following:
- $20.00 for documents up to six pages
- $65.00 for documents between seven and 25 pages
- $3.00 per page for each additional page over 25 pages
Taxes
North Dakota does not charge a transfer tax for real estate conveyances. You may, however, owe gift or capital gains taxes on a federal and state level.
1. US Gift Tax (Form 709)
When you give real estate property as a gift using a North Dakota quitclaim deed, you may be liable for federal gift tax. Although North Dakota does not charge a gift tax at the state level, the US government does require the grantor to report gifts over a certain value.
The Internal Revenue Service (IRS) assesses gift tax as part of your annual income tax return if the gift value is greater than the federal exemption amount. The exemption amount changes each year, so check the IRS website to confirm whether you owe gift tax for your North Dakota quitclaim [1]. If the property exceeds the annual exemption value, complete form 709 along with your annual income tax filing [2].
2. Capital Gains Tax
North Dakota taxes capital gains as income at a rate they update annually [3]. The amount you owe for capital gains will depend on how much of a profit you made from the property transfer via quitclaim deed.
Typically, North Dakota offers exemptions for capital gains below a certain percent of your taxable income. They also consider how long you held the property before selling. Exclusions for capital gains in North Dakota differ from federal exclusions, so you may owe capital gains tax to one but not the other.
The IRS bases capital gains rates on your household’s annual income, how much you earned from the property sale, and how long you owned the property before selling it [4].
North Dakota Quitclaim Deed Requirements
In North Dakota, quitclaim deeds must align with state law to be effective. Preparing your deed carefully reduces the risk of errors and helps ensure a successful property transfer.
Legal Framework
North Dakota quitclaim deed laws outline the legal foundation, formatting requirements, and content guidelines for submitting quitclaim deeds. N.D. Cent. Code § 47-10-15 provides the legal framework for using a quitclaim deed to transfer real estate property.
Legal Description
Property transfers through North Dakota quitclaim deeds must include a description of the real property, per N.D. Cent. Code § 11-18-05. A property may be described using metes and bounds or township, range, and section.
Per N.D. Cent. Code § 47-19-03.1, properties described using metes and bounds must include a statement with the name and address of the person who created the legal description. If the information was obtained from a previously recorded deed or other instrument, the statement should reflect that.
Signing
N.D. Cent. Code § 47-19-03 requires all deeds to be signed by the grantor. The signature must be witnessed and acknowledged by a notary using an acknowledgment similar to that provided under N.D. Cent. Code § 47-19-27. Alternatively, the signature can be acknowledged by a subscribing witness who meets the requirements outlined under N.D. Cent. Code § 47-19-22.
Per N.D. Cent. Code § 47-18-05, both spouses must sign a deed conveying homestead property if the grantor is married, even if only one spouse is the property owner.
Terminology
N.D. Cent. Code § 47-10-06 provides a basic form for a deed granting real estate. However, certain terms should be modified to ensure the document acts as a quitclaim deed with no warranty of title.
N.D. Cent. Code § 47-10-15 offers guidance regarding terminology for quitclaim deeds in North Dakota. Use of the word “grant” in a quitclaim deed passes after-acquired title to the grantee, regardless of words used to describe the property interest.
N.D. Cent. Code § 47-10-19 further indicates that use of the word “grant” implies that the grantor has not conveyed the property to another grantee and the title is free of encumbrances. To avoid implying these covenants, the quitclaim deed should avoid the term “grant” and instead use phrases like “quitclaim and release” to transfer property without warranty of title.
N.D. Cent. Code § 11-18-02.2 requires that any deed presented to the county recorder for filing include a statement of consideration that indicates:
- The full consideration paid for the conveyed property OR
- A statement indicating the deed is exempt from this requirement, along with a reference to the exemption that applies under N.D. Cent. Code § 11-18-02.2 (6).
Additional Documents
Per N.D. Cent. Code § 11-18-02, the county recorder cannot record a deed transferring property unless it includes a certificate of the county auditor acknowledging the transfer and verifying that the taxes for the property are current. If the property is entitled to be recorded without regard to taxes, the auditor’s certificate can state this. The certificate or stamp is typically added by the auditor at the bottom of the deed.
Filing
According to N.D. Cent. Code § 11-18-11, a quitclaim deed is only valid when recorded with the county recorder in the county where the property exists. The recorder will record, number, and index the document consistent with N.D. Cent. Code §§ 11-18-07—09, inclusive.
Validity Requirements
N.D. Cent. Code § 11-18-05 provides formatting requirements for all deeds registered with the county recorder. They include:
- Each page must be no greater than 8 ½ in. x 14 in.
- The deed must be legibly printed, written, or typed in a 10-point Calibri font or larger
- The first page must include a space at the top of at least 3 in. for the recorder’s recording information
- All additional margins should be 1 in.
Documents are typically printed on white paper with black ink and signed in blue or black ink by the grantor and notary or witness.
Content Requirements
N.D. Cent. Code § 11-18-08 provides necessary indexing information that must be included in any quitclaim deed submitted for recording. Content requirements include:
- Names of grantor and grantee
- The mailing address of the grantee
- Legal property description
- Name and address of description preparer, if in metes and bounds
- Vesting clause and covenants
- Consideration for property exchange
- Statement of co-ownership if the property is owned by joint tenants or partners
Per N.D. Cent Code § 11-18-23, the quitclaim deed cannot include any social security numbers. If the document contains a social security number, the number must be redacted before the document can be recorded.
Quitclaim Deeds vs. Other Property Transfer Methods in North Dakota
Quitclaim Deed | Transfers property interest in real estate without warranty of title or covenants. The grantee cannot sue the grantor for title defects or other ownership issues. |
Special Warranty Deed | Conveys interest in real estate property with limited covenants. (N.D. Cent. Code § 47-10-06). Typically the grantor will warrant that the property has not been conveyed to another party, and was free of encumbrances during the time they owned it. The grantor retains liability for the period they warrant, but not for any title defects that arose before their tenure. |
General Warranty Deed | Transfers real estate interest with full warranty of title, per N.D. Cent. Code § 47-10-04. Grantor warrants that the title is free and clear of all liens and encumbrances, and that they have not conveyed the property to anyone else. The grantor retains full responsibility for title defects or ownership problems that may arise. |
Title Insurance | Grantees who receive property through a quitclaim or special warranty deed may purchase title insurance to reduce costs associated with title defects (N.D. Cent. Code § 26.1-20-01). |
Estate Planning Deeds | Estate planning deeds, such as transfer-on-death (TOD) deeds (N.D. Cent. Code § 30.1-32.1-02) and life estate deeds (N.D. Cent. Code § 47-04-21) allow the owner to transfer property to a beneficiary upon the owner’s death. |
Joint Tenancy | Under N.D. Cent. Code § 47-02-06, joint ownership with right of survivorship allows one property owner to convey their interest in a co-owned property to the other owner(s) in the event of their death. |
Sample North Dakota Quitclaim Deed
View a free sample North Dakota quitclaim deed below. Customize it easily with our editor and download your document in Word or PDF format.
Frequently Asked Questions
How long does a quitclaim deed take to be recorded in North Dakota?
How long it takes for a quitclaim deed to be recorded in North Dakota can vary, with the timeline depending on the specific county. Generally, recording offices complete the process within a range of a few days to several weeks.
What happens after a quitclaim deed is recorded in North Dakota?
After a quitclaim deed is recorded in North Dakota, the county Recorder’s Office conducts a preliminary examination to ensure there are no problems with the submission. Once verified, the deed is allocated a recording number and digitized.
Following this, the document is cataloged, added to the state’s record-keeping system, and made accessible to the public. The original document of the quitclaim deed is then returned to the person who submitted it.
Can a quitclaim deed in North Dakota be revoked?
Once a quitclaim deed is executed, delivered to the grantee, and accepted by the grantee in North Dakota, it cannot be revoked by the grantor unilaterally.
Any change or revocation would require the agreement of both parties and typically involves executing another deed, such as a new quitclaim deed or warranty deed, to transfer the property interest back to the original grantor or to another party. Legal advice is recommended to understand the implications and process for such actions.
How does a quitclaim deed impact estate planning in North Dakota?
Using a quitclaim deed can be an effective tool in estate planning, allowing for the straightforward transfer of real property interests into trusts, between family members, or to designated heirs. It simplifies the process of reallocating property without the need for probate upon the grantor’s death.
However, it’s important to consider the deed’s lack of warranty and the potential impact on the property’s title. Consulting with an estate planning attorney is advisable to ensure the deed aligns with the overall estate plan and protects the intended beneficiaries’ interests.
Are there any unique considerations for quitclaim deeds on agricultural land in North Dakota?
Transferring agricultural land via quitclaim deed carries unique considerations due to the state’s regulations on corporate farming and the potential impact on agricultural operations. The deed should be carefully reviewed to ensure compliance with local zoning laws and agricultural regulations.
Additionally, because agricultural land can be significant in value and use, it’s crucial to conduct thorough due diligence, including a title search and consideration of any existing leases, mineral rights, or easements that could affect the use of the land. Professional legal and tax advice is recommended to navigate these complexities.