What is a Quitclaim Deed in the District of Columbia (D.C)?
In the District of Columbia, 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. Quitclaim deeds are a quick way to transfer property but they offer the lowest security among real estate deeds in D.C.
The most common use of quitclaim deeds is between parties with high levels of trust, such as family members or close friends.
What is the Difference Between a Quitclaim Deed and a Warranty Deed in the District of Columbia?
The main difference between quitclaim deeds and warranty deeds in D.C. 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. A quitclaim deed on the other hand only transfers the interest the Grantor has, if any, at the time of the transfer.
Warranty deeds are mostly used for real estate transactions in D.C. Quitclaim deeds, on the other hand, are used for transfers between family and friends.
How Do Quitclaim Deeds Work in the District of Columbia?
Laws surrounding quitclaim deeds are found under Chapter 4 of the District of Columbia Code, titled Deed Effective and Recordation Dates.
D.C. laws provide sample language for a generic “Fee Simple” deed, which is adapted as a quitclaim deed. The wording must clearly state that the Grantor intends to “release and forever quitclaim” the property to the Grantee, without any covenants. The term “grant” is avoided as it implies warranty.
Once prepared, the quitclaim deed must be filed within 30 days at the district’s Recorder of Deeds.
Can You Prepare Your Own Quitclaim Deed in the District of Columbia?
You can prepare your own quitclaim deed in the District of Columbia. A professional drafter is not legally required.
District of Columbia Quitclaim Deed Requirements
Washington, D.C., has minimal requirements in formatting and content, mostly following the local customs as listed below:
Formatting Requirements
Formatting requirements for quitclaim deeds in the District of Columbia include:
- Paper size: between 8.5 x 11 (letter) and 8.5x 14 (legal).
- Font size: 12-point.
- Text: color must be dark and clearly reproducible.
- Margins: 2-3 inch space of the last page (bottom) for the recorder’s stamp.
Content Requirements
Content requirements for quitclaim deeds in the District of Columbia include:
- The Grantor’s name and address.
- The Grantee’s name and address.
- Return name and address.
- The title “Quitclaim.”
- Name and address of preparer.
- The property address.
- Property Description:
- The property’s Assessment and Taxation (A & T) Lot number must be included.
- The descriptors must include the lot number, square number, subdivision and reference information, as per recorded with the Office of the Surveyor.
- If a secondary document (such as a map or plat) is referenced, information such as the date registered, the book, page, and registration numbers must be mentioned on the deed.
- Granting clause – a statement describing the transfer the parties have agreed to.
- Consideration clause – the value or the amount of money exchanged.
Who Signs a Quitclaim Deed in the District of Columbia?
For a quitclaim deed to be legally valid in the District of Columbia, it must be signed by the Grantor and Grantee. All signatures must be acknowledged by a notary public.
How to File a Quitclaim Deed in the District of Columbia
Here’s how to file a quitclaim deed in the District of Columbia:
- Prepare the quitclaim deed with the required information.
- Real Property Recordation and Transfer Tax Form.
- All quitclaim deeds submitted at the Recorder’s Office must be accompanied by a completed Tax Return – Form FP-7/C.
- Both the Grantor and the Grantee are required to sign the return.
- Documentation for Tax Exemption Eligibility.
- If the transfer qualifies for a tax exemption, documents serving as evidence to support the basis of the exemption will be required when submitting the quitclaim deed.
- The list of documentation required (ROD 4) for claiming an exemption from Recordation and/or Transfer Tax is provided by the district.
- Document Intake Form.
- All submitted quitclaim deeds must be accompanied by a cover sheet provided by the district – Form ROD 31.
- Once the quitclaim deed is executed, ensure all signatures are acknowledged before a notary public.
- Finally, ensure the quitclaim deed is filed within 30 days at the district’s Recorder of Deeds.
How Much Does it Cost to File a Quitclaim Deed in the District of Columbia?
In D.C., the minimum charges for filing a quitclaim deed are as follows:
- Fee per deed: $25.
- Surcharge: $6.50
What Taxes Are Owed on Quitclaim Deeds in the District of Columbia?
In the D.C, the transfer of property using a quitclaim deed triggers the following tax:
- D.C. Deed Recordation Tax:
- Recordation Tax is applicable to all transfers of real estate.
- The amount due is calculated based on the value of consideration given for the property.
- If no consideration is given, or if the amount is nominal, the amount due is calculated on the fair market value of the property.
- D.C. Deed Recordation Tax rates are as follows:
- Property base valued less than $400,000 – 1.1%
- Property base valued over $400,000 – 1.45%
- D.C. Deed Transfer Tax:
- Transfer Tax is paid at the time the deed is submitted for recordation.
- The amount due is calculated based on the value of consideration given for the property.
- If no consideration is given, or if the amount is nominal, the amount due is calculated on the fair market value of the property.
- D.C. Deed Transfer Tax rates are as follows:
- Property base valued less than $400,000 – 1.1%
- Property base valued over $400,000 – 1.45%
- Tax Exemptions:
- Many transfers that are generally filed under quitclaim deeds may be eligible for exemption from DC’s Transfer Tax and Recordation Tax requirements.
- If a transfer qualifies for an exemption, supporting documents must accompany the quitclaim deed at the time of recordation.
- Transfers eligible for exemption under both taxes include:
- Transfers to correct previous recordings.
- Family transfers without consideration.
- Changes in ownership form.
- Partnership formation transfers.
- Transfers under court judgments for divorce.
Moreover, federal taxes such as Gift Tax and Capital Gains Tax may also be applicable.
How Long Does a Quitclaim Deed Take to be Recorded in the District of Columbia?
Once a quitclaim deed is filed at the D.C. Recorder’s Office, the processing time is typically 4-6 weeks before the document is mailed back.
What Happens After a Quitclaim Deed is Recorded in the District of Columbia?
When a quitclaim deed is submitted at the District Recorder’s Office, it undergoes an initial verification check. Once verified, the deed is endorsed, indexed, and scanned for storage in the Real Property Tax Database, DC’s online property record archive.
After all processing is complete, the original document is returned to the requesting party.
How Long Are Quitclaim Deeds Valid For in the District of Columbia?
There is no expiration for quitclaim deeds in the District of Columbia. However, the time period to recover property in the District of Columbia is 15 years.
Sources
- 1 D.C. Code § 42–604
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General warranty. A covenant by the grantor, in a deed conveying real estate, “that he will warrant generally the property hereby conveyed,” or a grant of real estate in which the granting words are followed by the words “with general warranty,” shall have the same effect ..
- 2 Clark v. Clark, 644 A.2d 449
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Clark v. Clark, 644 A.2d 449(D.C. Ct. Apps., 1994).
Mr. Clark prepared, executed, and delivered to Mrs. Clark a quitclaim deed which said that he was conveying to Mrs. Clark “all of [his] right, title, and interest” in the house they had purchased… consequently, he had no interest remaining in the property to convey.. - 3 D.C. Code § 47–1431
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Within 30 days after the execution of a deed or other document by which legal title to real property… shall record a fully acknowledged copy of the deed or other document, … with the Recorder of Deeds of the District of Columbia.
- 4 Formatting Requirements
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Recorder of Deeds – FAQs
All documents or attachments must be completely legible for recording….. For recordation purposes, the Office of Recorder of Deeds accepts documents and forms on paper size 8 ½ x 14 and 8 ½ x 11, and double-sided. - 5 Content Requirements
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Fee Simple Deed. This deed, made this .. day of… in the year.. by me.. of.. witnesseth, that in consideration of (here insert consideration), I, the said.. do grant unto..
II. Recorder of Deeds – General Requirements
“Return to” mailing address must be legibly printed on every document brought in for recording… A complete legal description is required … includes the lot number, square number… Assessment and Taxation (A & T) Lot number is required as part of legal description for all properties that are assigned such a number.
- 6 Signing
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I. D.C. Code § § 42–407 (1)
Instrument not properly executed or acknowledged not recordable. The Recorder of Deeds shall not ….Accept for recordation any instrument unless the instrument is executed and acknowledged according to law by the person granting or contracting his or her right, title, or interest in the real property;
II. Recorder of Deeds – General Requirements
Names and/or signatures of all grantors (party giving title) and/or grantees (party receiving title) must be listed in the document and names must be in print. All signatures must be acknowledged and notarized.
- 7 D.C. Code § 47–903 (b)(1)
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Each such deed shall be accompanied by a return in such form as the Mayor may prescribe, executed by all parties to the deed… return shall be an integral part of the deed when prescribed and as required by regulation.
- 8 Tax Exemption Eligibility
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Presumption; burden of proof. … it shall be presumed that all transfers of real property are taxable and the burden shall be upon the taxpayer to show that a transfer is exempt from tax.
Burden on taxpayer to prove deed exempt.. shall be presumed that all deeds are taxable and the burden shall be upon the taxpayer to show that a deed is exempt from tax.
- 9 Fees
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Fees of Recorder of Deeds.. The legal fees for the services of the Recorder shall be as follows.. For filing, recording, and indexing, or for making certified copy of any instrument containing 200 words or less..
Surcharges… Notwithstanding any other provision of law, a surcharge of $5 per document shall be paid before any document is accepted for recordation at the Recorder of Deeds.
III. Recorder of Deeds – Fee Charges
Effective January 1, 2012, exclusive of any surcharge applicable pursuant to D.C. Official Code 42-1211 …Twenty-five dollars ($25) for the recordation of all other documents.. The surcharge fee ($6.50 per document) remains in effect and is an additional fee..
- 10 D.C. Code § 42–1103 (a)(i)(A)
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A deed that conveys title to real property in the District shall be taxed at a rate of 1.1% (to complete the calculation of total recordation tax due at time of recording, … provided, that if there is no consideration for a transfer or if the consideration for the transfer is nominal..
- 11 D.C. Code § 47–903 (a)(1)
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There is imposed on the transferor for each transfer at the time the deed is submitted to the Mayor for recordation a tax at the rate of 1.1% of the consideration paid for the transfer; provided, that..
- 12 Tax Exemptions
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Deeds exempt from tax. Deeds between spouses, parent and child, grandparent and grandchild, or domestic partners…without actual consideration therefor.. Deeds executed pursuant to a decree of divorce or of separate maintenance or pursuant to a written instrument incident to such divorce or separation;
Enumeration of transfers exempt from tax…Transfers between spouses, parent and child, grandparent and grandchild,.. Transfers pursuant to a decree of divorce or of separate maintenance or pursuant to a written instrument incident to such divorce or separation;
- 13 D.C. Code § 12–301.
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Limitation of time for bringing actions. Except as otherwise specifically provided by law, actions for the following purposes may not be brought after the expiration of the period specified below from the time the right to maintain the action accrues…. for the recovery of lands, tenements, or hereditaments— 15 years..