Deed Transferring Real Property into Living Trust

DEED — TO REVOCABLE LIVING TRUST (STATE OF DELAWARE)

Trust Funding Conveyance — Del. Code tit. 25, § 121; Realty Transfer Tax Exclusion Claimed Under 30 Del. C. § 5401(1)(j)

Table of Contents

1. Recording Header
2. Title and Statutory Authority
3. Grantor
4. Grantee / Trust Vesting
5. Consideration Recital
6. Granting Clause
7. Legal Description (Exhibit A)
8. Subject-To Clause
9. Garn-St Germain and Transfer-Tax Exemption Recital
10. Title Insurance and Property-Tax Continuity
11. Execution
12. Notary Acknowledgment
13. Recording and Tax-Form Instructions
14. Sources and References

1. Recording Header

PREPARED BY:
[________________________________]
[________________________________]

WHEN RECORDED, RETURN TO:
[________________________________]
[________________________________]
[________________________________]

SEND TAX BILLS TO (Grantee/Trustee):
[________________________________]
[________________________________]

Property Address (for indexing): [________________________________], Delaware [____]

County: ☐ New Castle ☐ Kent ☐ Sussex

Tax Parcel Number: [________________________________]

2. Title and Statutory Authority

DEED — CONVEYANCE TO REVOCABLE LIVING TRUST

This Deed ("Deed") is made and effective on [__/__/____] (the "Effective Date"), conveying the real property described herein from the Grantor identified in Section 3 to the Grantee/Trustee identified in Section 4, for the purpose of funding the Grantor's revocable living trust as part of the Grantor's estate plan.

This Deed is executed and acknowledged in accordance with Del. Code tit. 25, § 121, and is intended to be recorded in the office of the Recorder of Deeds for the county in which the Property lies.

3. Grantor

The Grantor is the record owner of the Property and conveys all of the Grantor's right, title, and interest therein.

4. Grantee / Trust Vesting

The Grantee is the trustee of the Grantor's revocable living trust, taking title in trust capacity:

[GRANTEE/TRUSTEE NAME], as Trustee of the [TRUST NAME] dated [__/__/____], and any successor trustee(s) (the "Trustee").

Vesting Language (insert verbatim on the deed):

[GRANTEE/TRUSTEE NAME], as Trustee of the [TRUST NAME] dated [__/__/____], and the Trustee's successors in trust and assigns.

5. Consideration Recital

This conveyance is made for no consideration / nominal consideration. The transfer is made solely for estate-planning purposes — to fund the Grantor's revocable living trust — and effects no change in beneficial ownership of the Property. The Grantor, as the grantor/settlor and beneficial owner of the revocable trust, retains full beneficial ownership and control of the Property.

6. Granting Clause

WARRANTY GRANTING CLAUSE (primary):

FOR THE CONSIDERATION recited in Section 5, the Grantor does hereby GRANT, BARGAIN, SELL, and CONVEY unto the Trustee identified in Section 4, and the Trustee's successors in trust and assigns forever, all of the Grantor's right, title, and interest in and to the Property described in Exhibit A, together with all improvements, rights, privileges, easements, and appurtenances thereunto belonging.

TO HAVE AND TO HOLD the Property unto the Trustee, in trust, and to the Trustee's successors in trust and assigns forever, to be held, administered, and distributed in accordance with the terms of the [TRUST NAME] dated [__/__/____], as amended. The Grantor, for the Grantor and the Grantor's heirs, covenants to WARRANT AND DEFEND the Property unto the Trustee against the lawful claims of all persons claiming by, through, or under the Grantor [special warranty] [/ against the lawful claims of all persons whomsoever (general warranty)].

7. Legal Description (Exhibit A)

The real property conveyed by this Deed (the "Property") is located in [________________________________] County, State of Delaware, and is more particularly described in Exhibit A attached hereto and incorporated by reference.

Street Address: [________________________________], Delaware [____]

Tax Parcel Number: [________________________________]

Prior Recording Reference (chain of title): Deed Book/Instrument [________________________________], Page [____], [________________________________] County Recorder of Deeds

EXHIBIT A — LEGAL DESCRIPTION

[Insert the full metes-and-bounds description, or the lot reference to a recorded subdivision plot, exactly as it appears in the Grantor's vesting deed. Do not paraphrase the legal description.]

[________________________________]
[________________________________]
[________________________________]

Being the same lands and premises conveyed to the Grantor by deed dated [__/__/____] and recorded in the office of the Recorder of Deeds in and for [________________________________] County, Delaware, in Deed Book/Instrument [________________________________], Page [____].

8. Subject-To Clause

This conveyance is made SUBJECT TO the following, to the extent valid and presently in effect:

1. Real property taxes, school taxes, and assessments not yet due and payable;
2. Building, zoning, subdivision, environmental, and other governmental laws, ordinances, and regulations;
3. Easements, covenants, conditions, restrictions, and rights-of-way of record;
4. Any existing mortgage or other lien of record, which the Trustee takes subject to and which is not extinguished or modified by this Deed;
5. [OTHER PERMITTED EXCEPTIONS, IF ANY].

9. Garn-St Germain and Transfer-Tax Exemption Recital

9.1 Due-on-Sale Exemption (Garn-St Germain Act)

This conveyance is a transfer "into an inter vivos trust in which the borrower is and remains a beneficiary and which does not relate to a transfer of rights of occupancy in the property" within the meaning of 12 U.S.C. § 1701j-3(d)(8). Accordingly, this transfer does not trigger any due-on-sale (acceleration) clause contained in any mortgage or note encumbering the Property. The Grantor remains personally liable on any such mortgage obligation, and this Deed does not assume, novate, or release that obligation.

9.2 Delaware Realty Transfer-Tax Exclusion / Exemption

The Delaware realty transfer tax (30 Del. C. § 5402) applies to a taxable "document" as defined in 30 Del. C. § 5401. The statutory definition of "document" expressly excludes the following relevant conveyances under 30 Del. C. § 5401(1)(j):

"Any conveyance: 1. To a trustee, nominee or straw party for the grantor as beneficial owner ... or 3. From a trustee, nominee or straw party to the beneficial owner."

Because this Deed conveys the Property to the Trustee for the Grantor as beneficial owner, it falls within 30 Del. C. § 5401(1)(j)(1) and is not subject to the realty transfer tax. The grantor and grantee should nonetheless prepare and submit the realty transfer tax return (Form 5402 / RTT-TAX) at recording, stating the basis for the exemption and citing § 5401(1)(j)(1).

10. Title Insurance and Property-Tax Continuity

• Title insurance: A transfer into a revocable living trust may affect existing owner's title-insurance coverage. Confirm with the title insurer whether the existing policy continues to insure the Trustee, or whether an endorsement (e.g., an ALTA Trust Endorsement) is required to extend coverage to the trustee and the trust.
• Property-tax / assessment continuity: Confirm with the county and any municipality that homeowner exemptions, senior/disabled tax relief, or school-tax credits continue after transfer to the trustee. A self-settled revocable trust generally does not disqualify an owner-occupant, but confirm locally.
• Tenancy by the entirety: Transferring entireties property to a single-settlor revocable trust severs the entireties protection against one spouse's individual creditors. Discuss a joint trust or alternative structure with counsel before transferring marital property.
• Insurance: Notify the property/casualty insurer and add the trustee as an additional insured so coverage is not impaired after the transfer.

11. Execution

IN WITNESS WHEREOF, the Grantor has executed and delivered this Deed as of the Effective Date.

GRANTOR:

_____________________________________________
Signature of Grantor
Printed Name: [________________________________]
Date: [__/__/____]

_____________________________________________
Signature of Grantor (if co-owner / spouse joining)
Printed Name: [________________________________]
Date: [__/__/____]

12. Notary Acknowledgment

STATE OF DELAWARE
COUNTY OF [________________________________]

BE IT REMEMBERED that on this [____] day of [________________________________], [____], personally came before me, the subscriber, a Notary Public for the State of Delaware, [GRANTOR NAME], party to this Deed, known to me (or satisfactorily proven) to be the person who executed the foregoing instrument, and acknowledged that [he/she/they] signed, sealed, and delivered the same as [his/her/their] voluntary act and deed, for the uses and purposes therein expressed.

GIVEN under my hand and seal of office the day and year aforesaid.

_____________________________________________
Notary Public
My Commission Expires: [__/__/____]

[NOTARY SEAL]

13. Recording and Tax-Form Instructions

1. Recording office (county-based system). Delaware records land instruments with the county Recorder of Deeds for the county where the Property lies:
   - New Castle County Recorder of Deeds (Wilmington)
   - Kent County Recorder of Deeds (Dover)
   - Sussex County Recorder of Deeds (Georgetown)

2. Realty transfer tax return (Form 5402 / RTT-TAX). Complete the State of Delaware Realty Transfer Tax Return, Form 5402 (RTT-TAX), for the conveyance and present it with the Deed. State the exemption basis and cite 30 Del. C. § 5401(1)(j)(1) (conveyance to a trustee for the grantor as beneficial owner). Form 5402 is required for all recorded conveyances even when the transfer is exempt.

3. County / municipal affidavits. Some counties and municipalities require their own realty-transfer-tax affidavits or exemption forms (e.g., New Castle County Realty Tax Affidavit; City of Wilmington Realty Transfer Tax Exemption Affidavit). Confirm and complete any required local form.

4. Recording fees. Pay the per-page recording fees per the county Recorder's current schedule.

5. After recording. The Recorder returns the recorded Deed to the address in Section 1. Retain the recorded Deed with the trust records and update the trust's schedule of assets / trust-funding checklist to reflect the Property.

6. Certification of trust. Consider delivering or recording a Certification of Trust (Del. Code tit. 12, § 3591) to evidence the trustee's authority without disclosing the full trust instrument.

14. Sources and References

• Del. Code tit. 25, § 121 — Acknowledgment and recording of deeds
• Del. Code tit. 9, §§ 9605, 9619, 9624 — Recorder of Deeds; recording of instruments
• 30 Del. C. § 5401(1)(j) — Realty Transfer Tax; "document" definition; conveyance to/from trustee for grantor as beneficial owner excluded
• 30 Del. C. § 5402 — Realty transfer tax; rate; when payable; apportionment between grantor and grantee
• 30 Del. C. § 5403 — Documentary requirements; realty transfer tax return
• State of Delaware Division of Revenue — Realty Transfer Tax Return, Form 5402 (RTT-TAX), and instructions
• Del. Code tit. 12, § 3591 — Certification of trust (Delaware)
• 12 U.S.C. § 1701j-3(d)(8) — Garn-St Germain Depository Institutions Act; inter vivos trust transfer exempt from due-on-sale enforcement
• New Castle County Recorder of Deeds — Transfer Tax forms and affidavits

This template is provided for informational and educational purposes only and does not constitute legal advice. Consult a licensed Delaware attorney before executing or recording any deed transferring real property into a living trust.