Buzz
If you own a piece of property and are looking to transfer the ownership rights to another individual, you will likely need to draft a deed of relinquishment of property ownership. This document declares that you are voluntarily giving up your ownership rights over a property, such as land, a house, or any other type of asset, and transferring it to someone else. To create this deed, you must fill out a relinquishment form, which should be signed by both parties, notarized, and filed at the county’s recording office. A deed of relinquishment involves giving up significant rights, and it can have important legal consequences. It is generally recommended that the document “be reviewed by a lawyer” before you agree to relinquish your rights.
Steps
Prepare the Documents
Make sure that the deed of relinquishment is indeed the appropriate document for your transfer. A deed of relinquishment is primarily used to transfer property ownership from one family member to another. It differs from a typical deed of warranty in that it does not provide any warranties related to the property—in other words, it simply transfers ownership to the new owner. This may not be the best option for protecting both parties in a property transfer, so some research is essential before using this method.
- You might use a deed of relinquishment if you and your siblings or parents co-own a property, and you wish to give up your ownership rights by transferring it to someone else.
- Property laws regarding deeds of relinquishment vary from state to state, so it is important to research the proper form that fits your situation.
- Consider hiring a lawyer to help you outline the necessary steps and ensure the transfer is completed correctly. This way, you can be sure the deed is properly executed and follows state law.
Determine the current location of the deed in relation to the property. If you don't have it in your records, you may be able to obtain a copy from the county’s recording office or the location where it was originally registered. This may incur a small fee.
Find the parcel number. A parcel or block can typically be identified on your latest tax bill, the county’s geographic information system (GIS) website, or by calling the county assessor’s office.
Prepare the deed. You can download a template online or use word processing software to create the deed. It must include the following information:
- A description of the parties. The current owner of the property should be identified and designated as the "Grantor" and the recipient of the property should be designated as the "Grantee". The document usually states that both parties are adults and residents of a specific county or district. For example, "John Doe ("Grantor"), an adult citizen of Grant County".
- A statement that the Grantor is relinquishing their rights to the property and transferring ownership to the Grantee. The common phrasing for this is "hereby gives notice and relinquishes their rights to". For example, "John Doe ("Grantor"), an adult resident of Grant County, hereby gives notice and relinquishes his rights to Mary Drake ("Grantee"), an adult resident of Madison County".
- A description of the property. Your description should include both the common street address and the full legal description of the property. The legal description can be found on the current deed or the county GIS website. Be sure to use the full legal description and avoid abbreviations. Check with the county assessor’s office if you’re unsure.
- A statement of consideration. Typically, when transferring property by deed of relinquishment, no payment is made to the Grantor. However, contract law requires consideration for a contract to be valid, so this deed often includes a nominal amount like $1 or $10.
- A space for the date and signature of the Grantor. A line for the Grantor to sign with the word “date” followed by a blank space for the date is ideal.
- A notarized signature. The deed must include the Grantor’s signature, sworn in front of a notary public ("notary"). The standard notarization language is "Subscribed and sworn before me, the undersigned notary public, in and for COUNTY (substitute with the county name), STATE (substitute with the state name), personally appeared (substitute with the Grantor’s name), who is known to me to be the person who signed this deed freely and voluntarily". Below this text, the notary’s printed name, date, and seal should be provided.
Determine if any signatures are required from the Grantor. Laws vary by state; some states require witnesses or even the Grantee’s signature on the deed. Check with your attorney or the recording office staff to see if additional signatures are necessary.
Finalize the Deed
Decide on the format of the deed. Many states and/or counties have specific requirements for the presentation of a deed. Generally, you should set the margins to 5.08 cm at the top of the page and at least 2.54 cm at the bottom. Check the county's recording website for formatting guidelines or call them for clarification.
Determine if additional information is needed. Some states require specific statements in a deed of relinquishment of property ownership. For example, Indiana requires the statement, "I affirm, under penalty of perjury, that I have carefully considered including my Social Security number in this document, unless required by law", to appear in the deed, with the signature of the person creating the deed. Check your state's requirements with your attorney or the county's recording office staff to determine if any additional information is necessary.
Sign the deed in the necessary places. Both the Grantor and Grantee should sign the deed.
Notarize the document. The Grantor’s signature must be notarized. Notaries can typically be found at banks or law offices. Notaries usually charge a small fee for their services.
File the deed with the county's recording office or the relevant registry. Each county or district will have different procedures and fees for recording the deed, so you may want to call ahead and ask for instructions.
Wait for the deed of relinquishment to be recorded and mailed back to you. Many recording and registration offices may mail you the recorded deed within a few days. This copy of the recorded deed serves as the official record of the property owner, so it should be kept in a secure place.
Advice
- To get started, you might want to visit Legacy Writer or Law Depot to find deed templates.
- Some states require you to submit additional documents along with your quitclaim deed when submitting and recording it. It's a good idea to call the recording office beforehand to determine if there are any extra forms required and find out where you can access them.
- You can find free deed templates on Legacy Writer's website at http://www.legacywriter.com/deeds/quitclaimdeed.aspx and on Law Depot's website at http://www.lawdepot.com/contracts/quit-claim-deed-form/
Warning
- A quitclaim deed is very difficult to undo unless the other party is willing to reverse it.
- You cannot transfer mortgaged property with a quitclaim deed. The borrower is still responsible for repaying the mortgage debt.
