Maryland Quitclaim Deed Form

Last Updated: January 21, 2024 by Rukshani Lye

Maryland Quitclaim Deed Template_1 on iPropertyManagement.com

What is a Quitclaim Deed in Maryland?

In Maryland, a quitclaim deed is used to transfer property from an owner (“Grantor”) to a new owner (“Grantee”) without any promises or guarantees about the property’s title or condition. Quitclaim deeds are a quick way to transfer property but they offer the lowest security among real estate deeds in Maryland.

The most common use of quitclaim deeds is between parties with high levels of trust, such as family members or close friends.

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What is the Difference Between a Quitclaim Deed and a Warranty Deed in Maryland?

The main difference between quitclaim deeds and warranty deeds in Maryland is that a quitclaim deed provides less security to the Grantee.

A warranty deed provides legal protection to the new owner because it confirms that the Grantor owns the property and has the right to make a transfer.

Warranty deeds are used for most real estate transactions in Maryland. Quitclaim deeds, on the other hand, are used for transfers between family and friends.

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How Do Quitclaim Deeds Work in Maryland?

Laws surrounding quitclaim deeds are found in the Maryland Code titled Real Property.

A quitclaim deed in Maryland must state that the Grantor intends to “release and quitclaim” their interest in the property to the Grantee. The deed should not contain any assurances about the Grantor’s right to “grant the land.”

Once prepared, the quitclaim deed must be filed with the Clerk of the Circuit Court in the county where the property is located.

Can You Prepare Your Own Quitclaim Deed in Maryland?

In Maryland, a quitclaim deed must be prepared by one of the persons named in the deed, by an attorney, or under the guidance of an attorney.

The preparer’s name must be included in a signed statement, known as the certificate of preparation.

Maryland Quitclaim Deed Requirements

For a quitclaim to be legally valid in Maryland, the deed must follow certain state-specific rules.

Formatting Requirements

Formatting requirements for quitclaim deeds in Maryland include:

  1. Paper size: between letter (8.5 x 11) and legal (8.5 x 14).
  2. Paper color: white or light-color.
  3. Paper weight: 20lb minimum.
  4. Font size: 10-point minimum.
  5. Font color: black or dark ink.

Content Requirements

Content requirements for quitclaim deeds in Maryland include:

  1. Grantor’s name and address.
  2. Grantee’s name and address.
  3. Date of the document.
  4. Property’s addresses.
  5. Legal description of the property.
  6. The property’s Parcel Tax Identification Number.
  7. Consideration Amount.
  • The amount of money exchanged must be mentioned on the deed or in a signed affidavit.
  • Non-sale transfers must still contain a consideration statement.

County Specific Requirements

The following Maryland counties each have specific deed requirements:

1. Prince George’s County: The deed must mention the election district where the property is located.

2. Talbot County: On the back of the document, it must state “Quitclaim Deed” along with the names of the Grantor and Grantee for easy filing.

3. Worcester County: A property within a sanitary district must show that all assessments or charges related to the property have been paid.

4. Frederick County:

  • In subdivided properties, taxes and charges on the larger tracts must be paid before property transfer.
  • The treasurer and municipal tax collector’s certificates must be endorsed on the deed.

5. Montgomery County:

    • Deeds must use the unique property identifier number assigned by the Clerk of the Circuit Court.
    • Deeds recorded after 1981 must also include the name of the title insurance company.

    Who Signs a Quitclaim Deed in Maryland?

    For a quitclaim deed to be legally valid in Maryland, it must be signed by the Grantor. The Grantor’s signature must be acknowledged before a notary.

    In Maryland, the notarization can be completed online and electronically.

    How to File a Quitclaim Deed in Maryland

    Here’s how to file a quitclaim deed in Maryland:

    1. Create the quitclaim deed with the necessary information and proper formatting. Maryland charges a triple fee for any submitted deeds that don’t meet these requirements..

    2. Complete and attach the State of MD Land Instrument Intake Sheet required for all deeds changing property ownership.

    3. Ensure the Grantor signs the quitclaim deed before a notary.

    4. Property Tax Payments.

    • A Maryland deed must be current on its property tax payments before recording.
    • Ensure the county Tax Office first certifies the property tax payments before recording the deed in the county land records.

    5. Residency Status.

      • If the Grantor is a nonresident of Maryland, they must complete and submit Form MW506NRS along with the withholding tax payment to the Clerk of the Circuit Court or the State Department of Assessments and Taxation (SDAT).
      • Residents of Maryland must fill out Form WH-AR to confirm their residency status and exemption from non-residency tax payments.

      6. File the quitclaim deed, along with the relevant information with the Clerk of the Circuit Court in the county.

        How Much Does it Cost to File a Quitclaim Deed in Maryland?

        In Maryland, the minimum charges for filing a deed are as follows:

        •  $10 for an instrument (release) 9 pages or less.
        • $20 for an instrument solely involving a principal residence.
        • $75 for an instrument 10 pages or more in length.
        • A surcharge of $40 is added to every instrument recorded in land records.

        What Taxes Are Owed on Quitclaim Deeds in Maryland?

        The transfer of a property through a quitclaim deed may trigger the following taxes in Maryland:

        1. State Transfer Tax.

        • Maryland Transfer tax is 0.5% of the amount exchanged.
        • First-time Maryland home buyers purchasing a principal place of residence pay a transfer tax rate of o.25 % of the amount exchanged.

        2. County Transfer Tax

          • The Maryland County Transfer Tax rate varies between 0.5% to 1.5% of the consideration.

          3. Recordation Tax.

            • Maryland allows each county to determine its own Recordation Tax rates for property transfers.
            • As a result, the rates vary. Each county charges a rate per $500 of consideration.
            • For instance, Frederick County has a Recordation Tax rate of $7 per $500, while Baltimore County charges $2.50 per $500.

            4. Agricultural Tax.

              • Agricultural Transfer Tax (ATT) will be imposed if the land is converted from agricultural use to another use.
              • The ATT is computed by multiplying the tax rate by the value of the land.
              • The following rates apply under ATT:
              • Land 20 acres or larger: 5%
              • Land less than 20 acres: 4%
              • Land less than 20 acres, buildable: 3%
              • A 25% surcharge is calculated from the ATT amount owed and added when transferring agricultural land to individuals who are not the owner’s children or grandchildren.

              5. Non-Residency Tax.

                • If the Grantor is a nonresident of Maryland, they are required to make a tax withholding payment at the time of transfer.
                • The non-residency tax for an individual is 8% of the total property’s sale price.
                • The non-residency tax for an entity is 8.25% of the total property’s sale price.
                • The payment is made to the Clerk of the Circuit Court or the State Department of Assessments and Taxation (SDAT) at the transfer time.

                In Maryland, many transfers that are generally filed under quitclaim deeds are tax-exempt, including:

                • Property transfers with a mortgage or deed of trust to a relative or domestic partner.
                • Transfers to spouses, former spouses, domestic partners, or former domestic partners.
                • Deeds amending previously recorded deeds at no extra cost.
                • Deeds previously recorded in the same or another county.
                • No-cost transfers between parent and subsidiary businesses.
                • Transfers from a business closing to original owners, close relatives, or those gifted the interest.
                • Transfers from a dissolving entity to an LLC with the same members and profit/loss allocation.

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                How Long Does a Quitclaim Deed Take to be Recorded in Maryland?

                The length of time to record a quitclaim deed in Maryland can vary based on county-specific processes. Typically, it can take one month from the settlement date to receive the recorded deed.

                What Happens After a Quitclaim Deed is Recorded in Maryland?

                In Maryland, once the quitclaim deed is signed and filed, the county will process the document. If the deed is clear of any previous filings, a public record of the transfer of the property’s ownership will be made official.

                How Long Are Quitclaim Deeds Valid For in Maryland?

                There is no expiration for quitclaim deeds in Maryland. However, the statute of limitations to challenge a written agreement is 3 years.

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