Any real estate transaction has the potential to be very complicated. Passing ownership of a piece of property is common among siblings and, thankfully, does not have to be very difficult. The simple fact that a relationship exists between the person passing the property, the grantor, and the person receiving the property, the grantee, goes a long way toward simplifying the transaction. In fact, signing over property to a sibling only requires one document, a deed.
Choose and prepare a proper deed. There several types of deeds and many types of ownership that you could convey to your sibling. Quitclaim deeds are a common and simple type of deed that many families use to pass property amongst themselves because language in the deed shields the grantor from some future liability. If the transaction between you and your sibling is more formal then you may wish to use a warranty deed. Language in a warranty deed states that the grantor warrants that the title on the property is marketable -- it does not pertain to property condition.
Sign the deed. The parties that must be present to sign the deed vary from state to state. The grantor always executes the document but the grantee is not always required to do so. If you own your property with another person then their signature may also be required on the deed. Some states require witnesses to every signature and others require the seal of a notary public. Familiarize yourself with your local statutes so that your deed may be properly received by your county government.
Record your properly prepared and properly executed deed with the county. Recording your deed is a public acknowledgement that the property has been passed on from you to your sibling. You and your sibling can verify that the deed has been appropriately recorded by checking the county government's grantor-grantee index. Also note that most counties impose a transfer tax that is due at the time of recording. The amount of the tax varies depending on the particular jurisdiction and the market value of the property.
Tips
Consult a local real property attorney if preparing a deed yourself becomes too difficult.
Warnings
If there is a mortgage on your property then you must get permission from your lender before deeding your property to another person.
References
- Legal Information Institute: Grantor and Grantee
- Legal Information Institute: Warranty Deed
- Legal Information Institute: Quitclaim Deed
- Stephens County Georgia: Warranty and Quitclaim Deeds
- Legal Information Institute: Grantor-Grantee Index
- Superior Court of California, County of Alameda. "What Are the Advantages of a Living Trust?" Accessed May 15, 2020.
- AARP. "Transfer on Death Deed (TODD)," Page 1. Accessed May 15, 2020.
- Alaska Court System. "Transfer on Death Deed - What Does the Transfer on Death (TOD) Deed Do?" Accessed May 15, 2020.
- Alaska Court System. "Transfer on Death Deed - Do I Have to File the TOD Deed in Court?" Accessed May 15, 2020.
- Alaska Court System. "Transfer on Death Deed - How Do I Revoke the TOD Deed After It Is Recorded?" Accessed May 15, 2020.
- Internal Revenue Service. "Estate and Gift Taxes." Accessed May 15, 2020.
- FindLaw. "Transfer on Death Tax Implications." Accessed May 15, 2020.
- Alaska Court System. "Transfer on Death Deed." Accessed May 15, 2020.
- Arizona State Legislature. "33-405. Beneficiary Deeds; Recording; Definitions." Accessed May 15, 2020.
- FindLaw. "Arkansas Code Title 18. Property § 18-12-608. Beneficiary Deeds--Terms--Recording Required." Accessed May 15, 2020.
- Sacramento County Public Law Library & Civil Self Help Center. "Transfer on Death (TOD) Deeds," Page 1. Accessed May 15, 2020.
- Colorado General Assembly. "Probate, Trusts, and Fiduciaries," Pages 1-2. Accessed May 15, 2020.
- District of Colombia, Office of Tax and Revenue. "Revocable Transfer-on-Death Deed," Pages 1-3. Accessed May 15, 2020.
- Hawaii State Legislature. "Uniform Real Property Transfer on Death Act." Accessed May 15, 2020.
- Illinois General Assembly. "(755 ILCS 27/) Illinois Residential Real Property Transfer on Death Instrument Act." Accessed May 15, 2020.
- FindLaw. "Indiana Code Title 32. Property § 32-17-14-11." Accessed May 15, 2020.
- Kansas Legislative Sessions. "Article 35 - Transfer-on-Death." Accessed May 15, 2020.
- Minnesota Legislature, Office of the Revisor of Statutes. "507.071 Transfer on Death Deeds." Accessed May 15, 2020.
- Missouri Revisor of Statutes. "461.025. Deeds Effective on Death of Owner — Recording, Effect." Accessed May 15, 2020.
- Montana Code Annotated 2019. "72-6-415. Optional Form of Transfer on Death Deed." Accessed May 15, 2020.
- Nebraska Legislature. "Nebraska Revised Statute 76-3402." Accessed May 15, 2020.
- Nevada Legislature. "NRS 111.771 Property Held in Beneficiary Form; Registration in Beneficiary Form; Transfer-on-Death Directions." Accessed May 15, 2020.
- State Bar of New Mexico. "Transfer on Death Deed," Pages 1-2. Accessed May 15, 2020.
- North Dakota Legislative Branch. "Chapter 30.1-32.1 Uniform Real Property Transfer on Death Act," Pages 1-3. Accessed May 15, 2020.
- Ohio Laws and Rules. "5302.23 Designating Transfer on Death Beneficiary." Accessed May 15, 2020.
- Oklahoma Tax Commission. "'Non-Testamentary Transfer–on-Death-Deed’. Title 58, §1251-§1258. Eff. Nov. 1, 2008," Pages 1-7. Accessed May 15, 2020.
- Oregon State Legislature. "Uniform Real Property Transfer on Death Act." Accessed May 15, 2020.
- South Dakota Legislature. "Part 4. Uniform Real Property Transfer on Death Act - 29A-6-403." Accessed May 15, 2020.
- Texas Constitution and Statutes. "Texas Real Property Transfer on Death Act." Accessed May 15, 2020.
- Virginia General Assembly. "§ 64.2-635. Optional Form of Transfer on Death Deed." Accessed May 15, 2020.
- Washington State Legislature. "Chapter 64.80 RCW Uniform Real Property Transfer on Death Act." Accessed May 15, 2020.
- West Virginia Legislature. "Chapter 36. Estates and Property." Accessed May 15, 2020.
- Wisconsin State Legislature. "705.15 Nonprobate Transfer of Real Property on Death." Accessed May 15, 2020.
- State of Wyoming Legislature. "HB0201 - Transfer on Death Deed." Accessed May 15, 2020.
- Gibbs Law Office. "Using a Lady Bird Deed in Florida [Overview, Pros and Cons]." Accessed May 15, 2020.
- State Bar of Michigan. "Ladybird Deed," Pages 31-32. Accessed May 15, 2020.
- Sacramento County Public Law Library & Civil Self Help Center. "Transfer on Death (TOD) Deeds," Page 3. Accessed May 15, 2020.
- Sacramento County Public Law Library & Civil Self Help Center. "Transfer on Death (TOD) Deeds," Page 5. Accessed May 15, 2020.
- Sacramento County Public Law Library & Civil Self Help Center. "Transfer on Death (TOD) Deeds," Page 4. Accessed May 15, 2020.
Tips
- Consult a local real property attorney if preparing a deed yourself becomes too difficult.
Warnings
- If there is a mortgage on your property then you must get permission from your lender before deeding your property to another person.
Writer Bio
Jerome Evans obtained a dual degree in international affairs and modern language from the Georgia Institute of Technology and earned a Juris Doctorate from the University of Georgia School of Law.