Delaware Quitclaim Deed
Delaware taxes deed transfers heavily: a 3% Realty Transfer Tax, up to a combined 4% with a local tax. A quit claim deed passes your interest with no warranty. Notarize it and record with the county Recorder of Deeds.
Introduction
Delaware taxes real estate transfers more heavily than most states, so the first thing to plan for is the Realty Transfer Tax: it runs 3 percent of the property's value at the state level and climbs to a combined 4 percent where a county or municipality adds its own tax (30 Del. C. Section 5402). With that in mind, a quitclaim deed is a document that transfers whatever ownership interest you have in real estate to someone else, with no promise that your title is good or even that you own anything at all. That is the key difference from a warranty deed, which does promise clear title and backs it up. A quitclaim simply passes along whatever interest you hold, so people use it for lower-risk transfers between people who already trust each other, such as transfers after a divorce or into a living trust. In Delaware the person giving up the interest is the grantor and the person receiving it is the grantee. Delaware has no separate quitclaim statute; its statutory short-form deed at 25 Del. C. Section 121 says the words grant and convey import a special warranty, so a quitclaim leaves those words out and uses release and quitclaim language instead, passing only the grantor's present interest. To record it you must have the deed acknowledged (notarized) before a notary or other officer authorized by 25 Del. C. Section 122, then record it with the Recorder of Deeds for the county where the property sits (25 Del. C. Section 151). Attorney review is available as an option before you sign.
Key Things to Know
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Budget for the Realty Transfer Tax first. Delaware charges a Realty Transfer Tax of 3 percent of the property's value, rising to a combined maximum of 4 percent where the county or municipality imposes its own transfer tax of up to 1 1/2 percent (30 Del. C. Section 5402). Absent agreement, the tax is split equally between grantor and grantee, and a first-time home buyer receives a 1/2 percent reduction on the buyer's share, capped by the lesser of value or $400,000.
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A quitclaim deed (often typed quit claim deed) transfers only the interest you actually have. It passes whatever ownership you hold in the property to the grantee and makes no promise that the title is clear, or even that you own anything. A warranty deed, by contrast, guarantees the title, which is why a quitclaim is used mainly between people who trust each other.
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Check the transfer-tax exemptions and file the statement of value. Transfers between spouses, between a parent and child or the spouse of that child, and transfers of property worth less than $100 are excluded from the Realty Transfer Tax (30 Del. C. Section 5401). A statement of the true, full, and complete value of the property must accompany the deed for recording (30 Del. C. Section 5409), and the Recorder of Deeds uses it to compute the tax.
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Record it with the county Recorder of Deeds. Under 25 Del. C. Section 151 a Delaware deed is recorded in the recorder's office for the county where the land is located, and recording in one county has effect only as to land in that county. Under 25 Del. C. Section 153 a deed takes priority from the time it is recorded, without respect to when it was signed, sealed, and delivered.
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You must acknowledge the deed before a notary. To be recorded, a Delaware quitclaim deed must be acknowledged. Under 25 Del. C. Section 122 a deed may be acknowledged before a notary public, a judge, two justices of the peace for the county, or the Mayor of the City of Wilmington. Acknowledgment means the officer certifies the grantor signed it.
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No witnesses are required. Delaware does not require subscribing witnesses to sign a deed. The statutory short form includes a witness line and Section 122 allows a deed to be proven by a subscribing witness as an alternative, but a Delaware deed is executed and recorded on a notary acknowledgment, so witnesses are optional, not required.
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There is a statutory deed form, but not a quitclaim-specific one. Delaware codifies a general short-form deed at 25 Del. C. Section 121, and a deed not in that form is still valid. Common quitclaim uses in Delaware include divorce transfers, adding or removing a spouse, and moving a home into a living trust.
Key decisions before you file
Before you file a Quitclaim Deed in Delaware, a few decisions shape the document: which option to choose and what each one means. The Quitclaim Deed guide walks through them.
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Delaware Requirements for Quitclaim Deed
To record a Delaware quitclaim deed you must have it acknowledged before a notary public or other authorized officer. Under 25 Del. C. Section 122 a deed concerning land may be acknowledged before a notary public, a judge, two justices of the peace for the county, or the Mayor of the City of Wilmington, and 25 Del. C. Section 151 lets the Recorder of Deeds record it only after that acknowledgment is certified.
Delaware does not require subscribing witnesses to sign a deed. The statutory short form at 25 Del. C. Section 121 includes a witness line and Section 122 allows a deed to be proven by a subscribing witness as an alternative to notarization, but a Delaware deed is executed and recorded on a notary acknowledgment, so witnesses are optional, not required.
Record the signed, acknowledged deed with the Recorder of Deeds for the county where the property is located (25 Del. C. Section 151). Recording in one county has effect only as to land in that county, and under 25 Del. C. Section 153 a deed takes priority from the time it is recorded.
Delaware charges a Realty Transfer Tax when the deed is presented for recording. The state rate is 3 percent of the property's value, which drops to 2 1/2 percent where the county or municipality has imposed its own transfer tax, for a combined maximum of 4 percent (30 Del. C. Section 5402). Absent agreement, the tax is split equally between grantor and grantee.
A first-time home buyer receives a reduction on the buyer's share of the Realty Transfer Tax equal to 1/2 percent multiplied by the lesser of the property's value or $400,000 (30 Del. C. Section 5402). This reduces only the buyer's portion of the tax, not the grantor's.
Some transfers are excluded from the Realty Transfer Tax. Delaware excludes transfers between spouses, transfers between a parent and child or the spouse of that child, and transfers where the property's value is less than $100 (30 Del. C. Section 5401). Claim the exemption on or with the deed.
A statement of the true, full, and complete value of the property must be contained in or accompany the deed when it is presented for recording (30 Del. C. Section 5409). The Recorder of Deeds uses this value to compute the Realty Transfer Tax due on the transfer.
A Delaware quitclaim deed uses release and quitclaim words instead of the words grant and convey. Under 25 Del. C. Section 121 the words grant and convey import a special warranty against the grantor and those claiming under the grantor; leaving them out means the deed passes only the grantor's present interest with no warranty of title.
Frequently Asked Questions
A quitclaim deed is a deed that transfers whatever interest you have in Delaware real estate to someone else, without any warranty that the title is good. It is often typed as a quit claim deed. Unlike a warranty deed, it makes no promise that you own the property or that the title is free of other claims. It simply passes along the interest you hold, if any.
The difference is the promise about title. Under 25 Del. C. Section 121 the words grant and convey import a special warranty against the grantor, so a warranty deed backs up the grantor's title. A quitclaim deed leaves those words out and uses release and quitclaim language instead, so it carries no warranty and passes only whatever present interest the grantor actually holds.
Yes. To record a quitclaim deed in Delaware it must be acknowledged before a notary public or another officer authorized by 25 Del. C. Section 122, such as a judge, two justices of the peace, or the Mayor of Wilmington. Under 25 Del. C. Section 151 the Recorder of Deeds records the deed only after that acknowledgment is certified.
You record it with the Recorder of Deeds for the county where the property is located, as 25 Del. C. Section 151 requires. Recording in one county has effect only as to land in that county. Under 25 Del. C. Section 153 a deed takes priority from the time it is recorded, so record promptly to protect your interest.
Delaware charges a Realty Transfer Tax of 3 percent of the property's value, dropping to 2 1/2 percent where the county or municipality imposes its own transfer tax, for a combined maximum of 4 percent (30 Del. C. Section 5402). Absent agreement, the tax is split equally between grantor and grantee, and a first-time home buyer gets a 1/2 percent reduction on the buyer's share.
From the moment it is recorded. Under 25 Del. C. Section 153 a deed concerning land takes priority from the time it is recorded in the proper office, without respect to when it was signed, sealed, and delivered. Recording in one county has effect only as to land in that county (25 Del. C. Section 151), so record promptly with the Recorder of Deeds for the county where the property sits to protect your interest.
Often, yes. Under 30 Del. C. Section 5401 transfers between spouses, transfers between a parent and child or the spouse of that child, and transfers of property worth less than $100 are excluded from the Realty Transfer Tax. Claim the exemption on or with the deed. This makes a quitclaim a common tool for divorce transfers and adding or removing a spouse.
A statement of the true, full, and complete value of the property must be contained in or accompany the deed when it is presented for recording (30 Del. C. Section 5409). The Recorder of Deeds uses this value to compute the Realty Transfer Tax due on the transfer. If the transfer is exempt, for example between spouses or between a parent and child, note the exemption and its authority so no tax is charged (30 Del. C. Section 5401).