Deed Transferring Real Property into Living Trust

This instrument prepared by:
[____________________________________]
[____________________________________]
[____________________________________]

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

Send subsequent tax statements to:
[____________________________________]
[____________________________________]

Municipality: [____________] County: [____________] County, Maine
Map/Lot (Parcel ID): [____________]

SPACE ABOVE THIS LINE RESERVED FOR REGISTRY OF DEEDS RECORDING STAMP

QUITCLAIM DEED WITH COVENANT — TRANSFER TO REVOCABLE LIVING TRUST

State of Maine

1. GRANTOR

[GRANTOR FULL LEGAL NAME], [a single person / a married person / married persons], 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 Maine Uniform Trust Code, 18-B M.R.S. § 101 et seq.

3. CONSIDERATION

This conveyance is made for estate-planning purposes only, with no change in beneficial ownership of the Property. The consideration is nominal — no monetary consideration; the Grantor being the settlor and a beneficiary of the Trust during the Grantor's lifetime. No sale, purchase, or exchange has occurred.

4. GRANTING CLAUSE

KNOW ALL PERSONS BY THESE PRESENTS, that the Grantor, in consideration as stated above, the receipt and sufficiency of which are acknowledged, does hereby GRANT, with QUITCLAIM COVENANT, unto the Grantee, as Trustee as aforesaid, and to the Grantee's successors in trust and assigns, all of the Grantor's right, title, and interest in and to the following described real property (the "Property"):

Property commonly known as: [STREET ADDRESS, CITY/TOWN, MAINE, ZIP]

Municipality and County: [____________], [____________] County, Maine

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

Being the same premises conveyed to the Grantor by deed dated [__/__/____] and recorded in the [____________] County Registry of Deeds in Book [____], Page [____].

TO HAVE AND TO HOLD the Property, together with all improvements, privileges, easements, and appurtenances belonging to it, unto the Grantee, as Trustee, and the Grantee's successors in trust and assigns forever.

And the Grantor does COVENANT with the Grantee, as Trustee, that the Grantor will WARRANT and FOREVER DEFEND the Property to the Grantee and the Grantee's successors against the lawful claims and demands of all persons claiming by, through, or under the Grantor, but against none other (quitclaim covenant under 33 M.R.S. § 765).

5. SUBJECT TO

This conveyance is made subject to:

(a) Ad valorem real property 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, shoreland-zoning, and environmental laws and regulations; and
(d) Any mortgage or other lien of record, which the Trustee takes subject to but does not assume except as separately agreed in writing.

6. PURPOSE; HOMESTEAD AND TAX-EXEMPTION CONTINUITY; TITLE INSURANCE

6.1 Estate-planning purpose. The sole purpose of this conveyance is to fund the Grantor's revocable living trust so that the Property may pass on the Grantor's death under the terms of the Trust without probate administration. The Grantor reserves all rights to amend or revoke the Trust and to direct the Trustee to reconvey the Property to the Grantor at any time.

6.2 Homestead / property-tax exemptions. The parties intend that any Maine homestead property tax exemption (36 M.R.S. § 681 et seq.), veteran exemption, or other classification applicable to the Property continue uninterrupted following this conveyance. Because the Grantor remains the beneficial owner and a beneficiary of the Trust, a transfer to a revocable trust does not by itself disqualify the homestead exemption; the Grantor should confirm continuity with the municipal assessor and re-file any required claim.

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

7. TRANSFER TAX AND GARN-ST GERMAIN RECITALS

7.1 Maine Real Estate Transfer Tax — EXEMPT (36 M.R.S. § 4641-C). The Maine Real Estate Transfer Tax is ordinarily imposed at $2.20 for each $500 (or fractional part of $500) of the value of the property transferred, half on the grantor and half on the grantee (36 M.R.S. §§ 4641-A, 4641(3)). This conveyance is EXEMPT because it is:

(a) A deed to a trustee for the grantor as beneficial owner — 36 M.R.S. § 4641-C(15)(A); and
(b) A transfer consisting of a mere change in identity or form of ownership with no change in beneficial ownership, which expressly includes trusts — 36 M.R.S. § 4641-C(19).

The exemption must be clearly stated on the face of this deed (above) and on the Real Estate Transfer Tax Declaration (RETTD) filed with the deed (36 M.R.S. § 4641-D). Although the deed is exempt from the transfer tax, the RETTD must still be completed and filed at recording.

7.2 No due-on-sale acceleration (Garn-St Germain Act). The Property may be encumbered by a mortgage. Under the federal Garn-St Germain Depository Institutions Act, 12 U.S.C. § 1701j-3(d)(8), a lender may not exercise a due-on-sale clause upon "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." This conveyance into the Grantor's own revocable living trust is such a transfer and does not accelerate or trigger any due-on-sale clause. The Grantor remains personally liable on any existing note.

8. EXECUTION

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

GRANTOR:

____________________________________
[GRANTOR FULL LEGAL NAME]

____________________________________
[SPOUSE FULL LEGAL NAME], joining solely to release any marital or homestead interest (if applicable)

9. NOTARY ACKNOWLEDGMENT (Maine)

On this ____ day of ______________, 20____, before me, the undersigned Notary Public, personally appeared [GRANTOR FULL LEGAL NAME] [and [SPOUSE FULL LEGAL NAME]], known to me (or proved to me through satisfactory evidence of identification, which was ______________) to be the person(s) whose name(s) is/are signed on the foregoing instrument, and acknowledged that he/she/they executed the same voluntarily for its stated purpose.

____________________________________
Notary Public, State of Maine
Printed Name: ______________________
My commission expires: ______________

(Affix notarial seal)

10. RECORDING AND TAX-FORM INSTRUCTIONS

1. Where to record. Record the original, signed, and acknowledged deed in the Registry of Deeds for [____________] County, Maine (or the appropriate registry district) — the registry for the area in which the Property is located (33 M.R.S. § 161).
2. RETTD (36 M.R.S. § 4641-D). Complete and file the Real Estate Transfer Tax Declaration (RETTD) with the deed. State the exemption (§ 4641-C(15)(A) and/or (19)) on the RETTD; the Registry forwards it to Maine Revenue Services. The RETTD is required even though the transfer is exempt from the tax.
3. State the exemption on the deed. The exemption citation appears in Section 7.1 above. The Registry will reject or assess a deed claiming an exemption that is not clearly stated.
4. Recording fees. Pay the per-page recording fee charged by the Registry.
5. Update collateral records. After recording, (a) notify the property/casualty insurer and add the Trustee as a named insured; (b) confirm the homestead exemption with the municipal assessor; (c) provide a recorded copy and a Certification of Trust (18-B M.R.S. § 1013) to the title company; and (d) record this deed before, not after, any closing on a sale or refinance.
6. Alternative non-probate tools. Maine recognizes a statutory transfer on death deed (18-C M.R.S. Art. 6, Pt. 4); a TOD deed is a separate, non-trust alternative and is not a substitute for funding an existing revocable trust by deed.

EXHIBIT A — LEGAL DESCRIPTION

[INSERT THE COMPLETE LEGAL DESCRIPTION EXACTLY AS IT APPEARS ON THE GRANTOR'S CURRENT VESTING DEED — metes-and-bounds, or lot/block with plan reference and book/page, together with the municipality, county, and map/lot. Attach surveys or additional pages as needed.]

____________________________________

____________________________________

____________________________________

Sources and References

• 33 M.R.S. § 651 — deeds of land must be in writing, signed, and acknowledged.
• 33 M.R.S. § 161 — recording of deeds in the Registry of Deeds of the county/district where the land lies; effect of recording.
• 33 M.R.S. §§ 762, 765, 766 — statutory short-form deeds; quitclaim deed with covenant; release deed.
• 33 M.R.S. § 203 — acknowledgment of deeds.
• 36 M.R.S. §§ 4641, 4641-A — Maine Real Estate Transfer Tax ($2.20 per $500 of value; split grantor/grantee); definition of "value."
• 36 M.R.S. § 4641-C(15)(A) — exemption: deeds to a trustee for the grantor as beneficial owner. (Maine Legislature)
• 36 M.R.S. § 4641-C(19) — exemption: mere change in identity or form of ownership; no change in beneficial ownership; includes trusts.
• 36 M.R.S. § 4641-D — Real Estate Transfer Tax Declaration (RETTD) required at recording. (MRS Property Tax Bulletin No. 31)
• 36 M.R.S. § 681 et seq. — Maine homestead property tax exemption.
• 18-B M.R.S. § 101 et seq. — Maine Uniform Trust Code; § 1013 (certification of trust).
• 12 U.S.C. § 1701j-3(d)(8) — Garn-St Germain Act; transfer into a borrower's inter vivos revocable trust does not trigger a due-on-sale clause.

This document is provided for informational purposes only and does not constitute legal advice. Confirm the transfer-tax exemption with the Registry of Deeds and consult a licensed Maine attorney before executing or recording this deed.