Deed Transferring Real Property into Living Trust - Iowa

Prepared by (name, address, telephone):
[____________________________________]
[____________________________________]
[____________________________________]

After recording return to:
[____________________________________]
[____________________________________]
[____________________________________]

Address tax statement to (name, address, zip):
[____________________________________]
[____________________________________]

Property Tax Parcel / Parcel No.: [____________]

SPACE ABOVE THIS LINE RESERVED FOR COUNTY RECORDER

WARRANTY DEED — TO REVOCABLE LIVING TRUST

State of Iowa

1. GRANTOR

[GRANTOR FULL LEGAL NAME], [a single person / husband and wife / spouses], whose mailing address is [____________________________________] ("Grantor").

2. GRANTEE / VESTING IN TRUSTEE

[GRANTOR FULL LEGAL NAME], as Trustee of the [TRUST NAME] dated [__/__/____], and any successor trustee then serving under that trust instrument and any amendments to it, whose mailing address is [____________________________________] ("Grantee" or the "Trustee").

The Property is conveyed to the Trustee to be held, administered, and distributed according to the terms of the [TRUST NAME] dated [__/__/____] (the "Trust"). Title vests in the Trustee in trust and in any successor trustee without the necessity of any further conveyance, in accordance with the powers granted to the Trustee under the Trust and under the Iowa Trust Code, Iowa Code § 633A.1101 et seq.

3. CONSIDERATION

This conveyance is made for estate-planning purposes only, with no consideration and no change in beneficial ownership of the Property. The Grantor is the settlor and a beneficiary of the Trust during the Grantor's lifetime.

4. GROUNDWATER HAZARD STATEMENT (Iowa Code § 558.69)

There is no known private burial site, well, solid waste disposal site, underground storage tank, hazardous waste, or private sewage disposal system on the property as described in Iowa Code section 558.69, and therefore the transaction is exempt from the requirement to submit a groundwater hazard statement.

5. GRANTING CLAUSE

KNOW ALL PERSONS BY THESE PRESENTS, that the Grantor, for the consideration stated above, does hereby CONVEY and WARRANT [for a quitclaim: RELEASE, REMISE, and QUITCLAIM] unto the Grantee, as Trustee as aforesaid, and to the Grantee's successors in trust and assigns, the following described real property (the "Property") situated in [____________] County, Iowa:

Property commonly known as: [STREET ADDRESS, CITY, IOWA, ZIP]

Legal Description: See Exhibit A attached hereto and incorporated by reference.

The Grantor covenants with the Grantee that the Grantor holds the Property by title in fee simple; that the Grantor has good and lawful authority to sell and convey it; that the Property is free and clear of all liens and encumbrances except as stated in Section 6; and that the Grantor warrants and will defend the title against the lawful claims of all persons except as so stated. [Omit the covenants of warranty if a quitclaim deed is used.]

6. SUBJECT TO

This conveyance is made subject to:

(a) Real estate taxes and assessments for the current and subsequent years, not yet due and payable;
(b) Easements, covenants, conditions, restrictions, reservations, and rights-of-way of record;
(c) Applicable zoning, subdivision, building, land-use, and environmental laws; and
(d) Any mortgage, deed of trust, or other lien of record, which the Trustee takes subject to but does not assume except as separately agreed in writing.

7. TRANSFER-TAX EXEMPTION AND GARN-ST GERMAIN RECITALS

7.1 Iowa real estate transfer tax (Iowa Code ch. 428A) — exempt; no consideration. Iowa imposes a real estate transfer tax on conveyances for consideration (eighty cents for each $500, or fraction, of consideration in excess of $500). Under Iowa Code § 428A.1(1)(a)(1), when there is no consideration there is no tax. This conveyance funds the Grantor's own revocable living trust for no consideration; accordingly, no Iowa real estate transfer tax is due. Iowa Code § 428A.2 separately lists transfers excepted from the tax. Pursuant to Iowa Code § 428A.4, the recorder may accept the deed when a signed statement that the instrument is excepted from the tax is filed with or endorsed on it.

Place the following exemption statement on the face of the deed: "This conveyance is exempt from the Iowa real estate transfer tax because it is made for no consideration. Iowa Code §§ 428A.1(1)(a)(1), 428A.2."

7.2 Limited due-on-sale protection (Garn-St Germain Act). If the Property is residential real property containing fewer than five dwelling units and secures a real property loan, 12 U.S.C. § 1701j-3(d)(8) bars the lender from exercising a due-on-sale clause for a transfer into an inter vivos trust in which the borrower is and remains a beneficiary and that does not transfer occupancy rights. Confirm every element before relying on the exemption. The borrower remains personally liable on any existing note.

8. HOMESTEAD CREDIT / TAX-EXEMPTION AND TITLE-INSURANCE CONTINUITY

8.1 Homestead and tax credits/exemptions. The parties intend that any homestead credit, military exemption, or other ad valorem credit or exemption applicable to the Property continue uninterrupted after this conveyance. Because the Grantor remains the beneficial owner and a beneficiary of the Trust, the Grantor should confirm with the county Assessor that the homestead credit (Iowa Code ch. 425) and any other credit/exemption are preserved after re-titling, and re-file any required claim.

8.2 Title insurance. Re-titling into a trust can affect an existing owner's title insurance. The Grantor should request an endorsement naming the Trustee as an insured, or confirm coverage continuity, with the title insurer (or Iowa Title Guaranty) before recording.

9. EXECUTION

IN WITNESS WHEREOF, the Grantor has executed this Warranty Deed on [__/__/____].

GRANTOR:

____________________________________
[GRANTOR FULL LEGAL NAME]

____________________________________
[SPOUSE FULL LEGAL NAME], joining solely to convey and release homestead and distributive-share rights (if applicable)

10. NOTARY ACKNOWLEDGMENT (Iowa)

This record was acknowledged before me on [__/__/____] by [GRANTOR FULL LEGAL NAME] [and [SPOUSE FULL LEGAL NAME]].

____________________________________
Notary Public in and for the State of Iowa
My commission expires: ______________

(Affix notarial seal/stamp)

11. RECORDING AND TAX-FORM INSTRUCTIONS

1. Where to record. Record the original signed and acknowledged deed with the County Recorder of [____________] County, Iowa — the county in which the Property is located (Iowa Code § 558.41).
2. Transfer tax (Iowa Code ch. 428A). This no-consideration trust-funding deed is exempt; place the exemption statement (Section 7.1) on the face of the deed. Do not affix transfer-tax stamps where no consideration is paid.
3. Declaration of Value. Confirm with the recorder whether a Declaration of Value is required for the applicable § 428A.2 exception; if required, submit a completed form noting the exempt basis.
4. Groundwater Hazard Statement. Include the § 558.69(8)(a) no-hazard language on the first page (Section 4) if no listed condition is known to be present. If a condition is present, delete that certification, complete the current required disclosure, and confirm the recorder's filing procedure.
5. Recording fees. Pay the per-page recording fee and any statutory surcharges charged by the county.
6. Update collateral records. After recording, (a) obtain written instructions from the property/casualty insurer on how the owner, Trustee, Trust, and lender should appear on the policy; (b) confirm the homestead credit and any other exemption with the Assessor; (c) provide a recorded copy and a Certification of Trust (Iowa Code § 633A.4604) to the title company; and (d) record the deed before, not after, any closing on a sale or refinance.

EXHIBIT A — LEGAL DESCRIPTION

[INSERT THE COMPLETE LEGAL DESCRIPTION EXACTLY AS IT APPEARS ON THE GRANTOR'S CURRENT VESTING DEED — lot/block/subdivision with plat/addition and city, or government survey (section, township, range). Include the parcel number. Attach surveys or additional pages as needed.]

____________________________________

____________________________________

____________________________________

Sources and References

• Iowa Code § 558.19 — forms of conveyance (warranty / quitclaim deeds).
• Iowa Code § 558.20; §§ 558.31–558.32 — acknowledgment of conveyances; contents of certificate.
• Iowa Code § 558.41 — recording of instruments affecting real estate in the county recorder's office; effect of recording.
• Iowa Code ch. 428A — real estate transfer tax; § 428A.1(1)(a)(1) (no tax where no consideration); § 428A.1(2) (declaration of value); § 428A.2 (exceptions); § 428A.4 (exemption statement in lieu of declaration).
• Iowa Code § 558.69 — groundwater hazard statement; § 558.69(8)(a) no-hazard exemption language (effective July 1, 2022; HF 2343).
• Iowa Code ch. 425 — homestead credit.
• Iowa Code §§ 561.13, 597.5 — homestead conveyance; spousal interests.
• Iowa Code § 633A.1101 et seq. — Iowa Trust Code; § 633A.4604 (certification of trust).
• 12 U.S.C. § 1701j-3(d)(8) — qualifying residential inter vivos trust transfer
• Iowa DNR Groundwater Hazard Statement (DNR Form 542-0960), iowadnr.gov.

This document is provided for informational purposes only and does not constitute legal advice. Confirm the transfer-tax exemption, declaration-of-value, and groundwater-hazard requirements with the county recorder and consult a licensed Iowa attorney before executing or recording this deed.