Written by Guest on . Posted in Article.
We often receive calls about deed transfers, usually someone asking to add or remove an individual from the deed or title to a property. People are often shocked to find out that, depending on the type of deed transfer, there may be a Recordation and Transfer Tax involved, even if no money is changing hands. […]
Written by Federal Title on . Posted in Article.
In our previous looks at the topic of deed transfers, we’ve outlined the most commonly asked questions in our deed transfers FAQ and explored deed transfers + joint tenants as well as deed transfers + revocable trusts in DC. Today we will switch gears by taking a look at deed transfers as they relate to […]
Written by Federal Title on . Posted in Article.
Our office receives several inquiries on this topic. Check out our deed transfer FAQ and guide to deed transfers + joint tenants. Today I will be addressing Deed Transfers and Revocable Trusts. Need help with a deed transfer? Speak with a deed transfer expert (1) Transferring title from a sole owner to a Revocable Trust We […]
Written by Federal Title on . Posted in Article.
Each week this office receives several inquiries from homeowners seeking to transfer title to their property.
The scenarios include transferring title between spouses, between ex-spouses, between and among family members, transferring title to a revocable trust, transferring title to a LLC or corporation, and the list goes on. Their two main questions are:
The first question is simple since you should hire a licensed real estate attorney or a local title company to handle a title transfer.
The second question is not simple and, in fact, can be very complicated when determining such things as “no consideration” vs. “consideration” transfers.
In this series of blogs on title transfers, the attorneys here at Federal Title will attempt to address the most common – and some of the not-so-common – title transfer scenarios.
Seemed like a match made in heaven – first semester property law class Sam had Sue at “Hello.” Following three years of law school, the love birds both landed big law firm jobs in DC.
Now seemed like the perfect time to live together and why not just buy a condo together; after all, it would be cheaper than renting. They buy a condo together as joint tenants and lived happily until, two years later, a break up ensued.
Sue wants out of the relationship and simply wants to gift her ownership and whatever down payment she originally contributed to Sam. In other words, she wants to transfer her ownership interest to Sam, receiving no consideration.
This is one of the most common scenarios we encounter. In DC, such a transfer is subject to transfer and recordation tax. If Sue and Sam were married or otherwise related as siblings or parent/child, then this transaction would be, according to DC law, exempt from the transfer and recordation tax.
Because they are unrelated, the tax will be imposed as follows using an assessed value assumption of $500,000.00 for the condo unit:
| Cost of Deed Preparation and Recording Fee | $500.00 (approx.) |
| Cost of Transfer/Recordation Tax | $5,500.00 (based on Sue’s 50% interest or $250,000) |
| Cost of Getting Rid of Sam | PRICELESS |
In the next segment, we will take a look at deed transfers in Washington, D.C. as they relate to a Limited Liability Company, or LLC.
Written by Joe Gentile on . Posted in Article.
A deed of gift is a legal document used to transfer ownership of property from one person (the donor) to another (the donee) without monetary exchange. This method is often used for familial transfers or charitable donations. Key Elements Voluntary Transfer: The donor must willingly transfer the property. Donative Intent: The donor must clearly intend […]