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.
Laws & Requirements
Statute § 47-10-15
Signing Requirements § 47-19-03: A grantor must sign a quitclaim deed in North Dakota before a notary public and have it notarized.
Recording Requirements § 47-19-07: A quitclaim deed in North Dakota is filed with the County Recorder’s Office in the county where the property is located.
Transfer Tax: No
Additional Documents § 11-18-02.2: A Full Consideration Statement must be included on the deed and be certified by the grantee and must include either the amount of the consideration paid or the statement does not apply as an exemption under § 11-18-02.2(6).
How to File
- Get the Original Deed: Obtain a copy of the current property deed from the owner or the county recorder’s office.
- Locate Legal Property Description: Copy the property description exactly from the original deed to the quitclaim deed form as required by N.D. Cent. Code § 11-18-05.
- Draft Quitclaim Deed Form: Follow North Dakota formatting requirements and include all necessary information like grantor and grantee details, property description, and conveyance language.
- Sign and Notarize: The grantor must sign the quitclaim deed in the presence of a notary or a subscribing witness, with both spouses signing if the property is a homestead.
- Obtain Auditor’s Certificate: If applicable, pay taxes owed and get a certificate from the county auditor, except for certain exempted documents.
- Submit to County Recorder: File the completed and executed deed with the county recorder where the property is located to complete the transfer.
Costs and Fees
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Recording Fees:
- Up to 6 pages: $20.00
- 7 to 25 pages: $65.00
- Over 25 pages: $3.00 per additional page
- No Transfer Tax in ND: North Dakota does not impose a transfer tax on real estate conveyances.
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Federal Gift Tax:
- For property given as a gift, federal gift tax may apply.
- No state gift tax in ND.
- Federal gift tax is assessed if the gift’s value exceeds the annual exemption limit. Check IRS for current exemption amount and file Form 709 if necessary.
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Capital Gains Tax:
- ND taxes capital gains as income; rates updated annually.
- Federal and state capital gains tax obligations may vary.
- Exemptions based on profit margin and property ownership duration.
- IRS sets capital gains rates based on income, profit from sale, and ownership period.
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.
