Deed Transferring Real Property into Living Trust

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

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

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

Property Tax Parcel No.: [____________]

County: [____________] County, South Dakota

EXEMPT FROM TRANSFER FEE — S.D.C.L. § 43-4-22 ( ___ )

SPACE ABOVE THIS LINE RESERVED FOR THE REGISTER OF DEEDS

QUITCLAIM DEED — TRANSFER TO REVOCABLE LIVING TRUST

State of South Dakota

1. GRANTOR

[GRANTOR FULL LEGAL NAME], [an unmarried person / a married person / husband and wife], of [____________] County, South Dakota, 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 (the "Trustee"), whose mailing address is [____________________________________] ("Grantee").

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 South Dakota trust law.

3. CONSIDERATION

This conveyance is made for estate-planning purposes only, with no change in beneficial ownership of the Property. No consideration is given for this transfer — it is an absolute gift by the Grantor, as settlor, to the Grantor's own revocable living trust, of which the Grantor is a beneficiary during the Grantor's lifetime.

4. GRANTING CLAUSE

KNOW ALL PERSONS BY THESE PRESENTS, that the Grantor, for the consideration stated above, does hereby GRANT, QUITCLAIM, and CONVEY 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, SOUTH DAKOTA, ZIP]

County: [____________] County, South Dakota

Tax Parcel No.: [____________]

Title reference: Being the same property conveyed to the Grantor by deed dated [__/__/____] and recorded in the Office of the Register of Deeds of [____________] County in Book [____] at Page [____] (Document No. [____________]).

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

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

5. SUBJECT TO

This conveyance is made subject to:

(a) 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, land-use, 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 OWNER-OCCUPIED CLASSIFICATION; TITLE INSURANCE

6.1 Estate-planning purpose. The sole purpose of this conveyance is to fund the Grantor's revocable living trust so 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; owner-occupied classification. The parties intend that any homestead protection (S.D.C.L. § 43-31-1 et seq.) and the owner-occupied single-family dwelling classification for property tax (S.D.C.L. § 10-13-39 et seq.) continue uninterrupted following this conveyance. Because the Grantor remains the beneficial owner and a beneficiary of the Trust, the Grantor should confirm with the County Director of Equalization that the owner-occupied classification is preserved after re-titling, and re-file the owner-occupied certification if required.

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-FEE EXEMPTION AND GARN-ST GERMAIN RECITALS

7.1 South Dakota Real Estate Transfer Fee (S.D.C.L. § 43-4-21). South Dakota imposes a real estate transfer fee of $0.50 for each $500 (or fractional part) of value, payable by the grantor. The fee does not apply to the transfers exempted by S.D.C.L. § 43-4-22.

EXEMPTION — S.D.C.L. § 43-4-22. This conveyance into the Grantor's own revocable living trust is exempt because it is:
- § 43-4-22(16) — a transfer "between individuals, regardless of the relationship, if the conveyance is an absolute gift without consideration of any kind in return for the conveyance"; and/or
- § 43-4-22(18) — a transfer "for which no consideration was given"; and/or
- § 43-4-22(15) — a transfer "between a fiduciary and a beneficiary of the fiduciary … if the transfer or conveyance is to accommodate the fiduciary relationship."

Mark the exemption on the face of the deed. Under S.D.C.L. § 43-4-23, an exempt deed must bear, typed or printed legibly on its face, the statement: "Exempt from transfer fee pursuant to S.D.C.L. § 43-4-22 ( ___ )" with the applicable subdivision number inserted (see recording header). Confirm the correct subdivision with the Register of Deeds.

7.2 Certificate of Real Estate Value (PT-56). A Certificate of Real Estate Value (Form PT-56) must be filed with the deed; no Register of Deeds may accept a deed not accompanied by the certificate. Complete the certificate to reflect that the transfer is a gift to the grantor's revocable living trust for which no consideration was given, and state the basis for the transfer-fee exemption.

7.3 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 on [__/__/____].

GRANTOR:

____________________________________
[GRANTOR FULL LEGAL NAME]

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

9. NOTARY ACKNOWLEDGMENT (South Dakota — S.D.C.L. § 18-4-1 et seq.)

On this ____ day of ______________, 20____, before me, the undersigned notary public, personally appeared [GRANTOR FULL LEGAL NAME] [and [SPOUSE FULL LEGAL NAME]], personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument, and acknowledged to me that he/she/they executed the same for the purposes therein contained.

IN WITNESS WHEREOF, I hereunto set my hand and official seal.

____________________________________
Notary Public — South Dakota
My commission expires: ______________

(Affix notarial seal)

10. RECORDING, CERTIFICATE OF VALUE, AND TRANSFER-FEE INSTRUCTIONS

1. Where to record. Record the original, signed, and acknowledged deed in the Office of the Register of Deeds of [____________] County, South Dakota — the county in which the Property is located (S.D.C.L. § 43-28-1).
2. Mark the exemption (§ 43-4-23). Confirm the deed bears, on its face, "Exempt from transfer fee pursuant to S.D.C.L. § 43-4-22 ( ___ )" with the applicable subdivision number inserted (see Section 7.1 / recording header).
3. Certificate of Real Estate Value (PT-56). File the completed PT-56 with the deed; the Register of Deeds will not accept the deed without it.
4. Transfer fee (§ 43-4-21). No transfer fee is due for this exempt gift transfer; confirm the exemption with the Register of Deeds.
5. Recording fees. Pay the per-page recording fee charged by the county.
6. Update collateral records. After recording, (a) notify the property/casualty insurer and add the Trustee as a named insured; (b) confirm the owner-occupied classification with the County Director of Equalization; (c) provide a recorded copy and a Certification of Trust (S.D.C.L. § 55-4-51) to the title company; and (d) record this 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 reference, or government survey (section, township, range). Include the parcel number and the title reference (Book/Page or Document No.). Attach surveys or additional pages as needed.]

____________________________________

____________________________________

____________________________________

Sources and References

• S.D.C.L. § 43-25-1 et seq. — form of conveyances (warranty, quitclaim, grant deeds).
• S.D.C.L. § 43-28-1 — recording of conveyances with the Register of Deeds of the county where the land lies; constructive notice.
• S.D.C.L. § 18-4-1 et seq. — acknowledgment of instruments before a notary or other authorized officer.
• S.D.C.L. § 43-31-1 et seq. — homestead; § 43-31-17 — conveyance of homestead by a married person requires both spouses' signatures.
• S.D.C.L. § 43-4-21 — real estate transfer fee ($0.50 per $500 of value; paid by grantor).
• S.D.C.L. § 43-4-22 — exemptions from the transfer fee; § 43-4-22(15) (fiduciary/beneficiary, to accommodate fiduciary relationship), (16) (absolute gift without consideration), (18) (no consideration given).
• S.D.C.L. § 43-4-23 — exempt deeds must be marked on the face with the exemption statute and subdivision.
• S.D.C.L. § 7-9-7 and S.D. Dept. of Revenue — Certificate of Real Estate Value (Form PT-56) must be filed with the deed.
• S.D.C.L. § 10-13-39 et seq. — owner-occupied single-family dwelling classification.
• S.D.C.L. § 55-4-51 — 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.
• South Dakota Department of Revenue — Register of Deeds / Certificate of Real Estate Value (dor.sd.gov/government/register-of-deeds/).

This document is provided for informational purposes only and does not constitute legal advice. Confirm the transfer-fee exemption, the face-of-deed exemption marking, and the PT-56 certificate requirement with the Register of Deeds and consult a licensed South Dakota attorney before executing or recording this deed.