Gift Deed

IMPORTANT LEGAL NOTICE
This is a Gift Deed — the Donor (Grantor) conveys real property to the Donee (Grantee) for natural love and affection and no monetary consideration. In Delaware, the words "grant and convey" operate as a special warranty against the grantor and the grantor's heirs (25 Del. C. § 121); a deed omitting those words may not be insurable. Delaware's realty transfer tax exclusion for gifts is relationship-based — transfers between spouses, parent and child, and siblings are excluded, but a gift to a non-family donee (e.g., a friend) is generally NOT excluded and transfer tax may apply. Obtain title insurance for complete protection.

GIFT DEED

State of Delaware

RECORDING INFORMATION

Prepared By and Return To:

Name: ________________________________________
Address: _____________________________________
         _____________________________________
Delaware Bar No. (if attorney): ______________

PROPERTY INFORMATION

DELAWARE REALTY TRANSFER TAX (GIFT)

Transfer-Tax Exclusion (30 Del. C. § 5401(1)) — RELATIONSHIP-BASED

A gift may be excluded from the realty transfer tax only if it fits one of the statutory exclusions from the defined term "document." Select the applicable exclusion:

☐ Conveyance between spouses — § 5401(1)(g)
☐ Conveyance between former spouses (after final divorce decree; property acquired before decree) — § 5401(1)(h)
☐ Conveyance between parent and child, or the spouse of such a child — § 5401(1)(i)
☐ Conveyance between siblings, half siblings, or step siblings — § 5401(1)(w)
☐ Conveyance without consideration to a § 501(c)(3) organization — § 5401(1)(t)
☐ None of the above — the Donee is NOT within an excluded relationship. Realty transfer tax is due (computed on the fair market value of the Property). See the highlighted notice below.

⚠ TRANSFER-TAX TRAP (DELAWARE): Unlike some states, Delaware does not have a blanket "all gifts" exemption. A gift to a friend or unrelated donee is generally subject to the full realty transfer tax measured by the property's fair market value, even though no money changes hands. Confirm the relationship and compute the tax accordingly.

Required Tax Forms

☐ Form RTT-TAX — Realty Transfer Tax Return and Affidavit of Gain and Value (state the relationship/exclusion)
☐ Form REW-EST — Estimated Withholding Tax (non-resident donors; if applicable)
☐ County-specific affidavits (Kent / New Castle / Sussex)

PARTIES AND RELATIONSHIP

DONOR (Grantor — Current Owner):

Name: [DONOR FULL LEGAL NAME]

Mailing Address: [FULL ADDRESS]

Marital Status:
☐ Single
☐ Married, spouse joining
☐ Married, separate property

Entity Type (if applicable):
☐ A Delaware limited liability company
☐ A Delaware corporation
☐ Trustee of [Trust Name]

DONEE (Grantee — New Owner):

Name: [DONEE FULL LEGAL NAME]

Mailing Address: [FULL ADDRESS]

Manner of Holding Title:
☐ Individually
☐ As tenants by the entirety (married couples)
☐ As joint tenants with right of survivorship
☐ As tenants in common (____% and ____%)
☐ As Trustee of [Trust Name]

Relationship of Donee to Donor (controls transfer-tax exclusion):
☐ Spouse ☐ Child / child's spouse ☐ Parent ☐ Sibling / half / step sibling ☐ Charity (501(c)(3)) ☐ Other (NOT excluded): _________________

CONSIDERATION AND GIFT

Consideration Recital

This conveyance is made for and in consideration of the natural love and affection that the Donor bears toward the Donee, and for no monetary consideration.

☐ No money or other valuable consideration passes from the Donee to the Donor; OR
☐ The nominal sum of ONE DOLLAR ($1.00) and natural love and affection, the receipt whereof is hereby acknowledged.

Gift Statement

The Donor declares that this conveyance is a present, voluntary, and irrevocable gift of the Property described below. The Donor presently divests himself, herself, or itself of all right, title, and interest in the Property and vests the same in the Donee, reserving no right to revoke or recall this gift. The Donee accepts the gift.

CONVEYANCE

Granting Clause

THIS GIFT DEED, made this _____ day of _________________, 20_____, by and between [DONOR NAME], of [CITY], [COUNTY] County, Delaware ("Donor"/"Grantor"), party of the first part, and [DONEE NAME], of [CITY], [STATE] ("Donee"/"Grantee"), party of the second part.

WITNESSETH, that the said Donor, for and in consideration of the natural love and affection that the Donor bears toward the Donee, and for no monetary consideration, has granted, bargained, sold, aliened, enfeoffed, released, conveyed, and confirmed, and by these presents does GRANT AND CONVEY unto the said Donee, the Donee's heirs and assigns, all that certain lot, piece, or parcel of land situated in [HUNDRED], [COUNTY] County, State of Delaware, and more particularly described in Exhibit A attached hereto (the "Property").

Statutory Effect of "Grant and Convey" (25 Del. C. § 121)

Pursuant to 25 Del. C. § 121, the words "grant and convey" in this deed, unless specifically restricted or limited, operate as a SPECIAL WARRANTY against the Donor and the Donor's heirs and all persons claiming under the Donor or them.

Property Conveyed

TOGETHER with all and singular the buildings, improvements, ways, waters, water-courses, rights, liberties, privileges, hereditaments, and appurtenances whatsoever thereunto belonging or in anywise appertaining, and the reversions and remainders, rents, issues, and profits thereof.

Habendum Clause

TO HAVE AND TO HOLD the said lot or piece of ground above described, with the buildings and improvements thereon erected, hereditaments and premises hereby granted, with the appurtenances, unto the said Donee, the Donee's heirs and assigns, to and for the only proper use and behoof of the said Donee, the Donee's heirs and assigns forever.

WARRANTY (SELECT ONE)

☐ SPECIAL WARRANTY ("grant and convey"). The Donor covenants that the Donor has not done or suffered any act whereby the Property is or may be encumbered in title, and will warrant and defend the same against all persons claiming by, through, or under the Donor, but against no other persons (25 Del. C. § 121). Recommended for insurability.

☐ WITHOUT WARRANTY (quitclaim — "release and quitclaim"). The Donor conveys only the Donor's present right, title, and interest, if any, in the Property, without any warranty, express or implied. May affect insurability.

NOTICE: This is a GIFT DEED. Except for the warranty (if any) selected above, the Donee takes the Property in its present condition, subject to all matters of record. Title insurance is strongly recommended.

EXCEPTIONS TO WARRANTY

This conveyance is made and accepted SUBJECT TO:

Standard Exceptions

☐ All taxes and assessments, general and special, not yet due and payable
☐ Building and zoning laws, ordinances, and regulations
☐ Restrictions, conditions, and easements of record
☐ Facts an accurate survey would disclose
☐ Rights of tenants in possession, if any

Existing Mortgage / Encumbrance

☐ The Property is conveyed FREE AND CLEAR of any mortgage or lien.
☐ The Property is ENCUMBERED by a mortgage recorded in Deed/Mortgage Book _____, Page _____, with an approximate balance of $_________________. The Donee takes the Property SUBJECT TO that encumbrance. The Donee ☐ assumes ☐ does not assume the underlying debt.

Specific Exceptions

1. [SPECIFIC EXCEPTION] — Recorded in Deed Book _____, Page _____, [COUNTY] County Records
2. [SPECIFIC EXCEPTION] — Recorded in Deed Book _____, Page _____, [COUNTY] County Records

☐ See Exhibit B for additional exceptions

DELIVERY, ACCEPTANCE, AND GIFT-TAX NOTE

Delivery and Acceptance

A gift of real property requires delivery of the deed by the Donor and acceptance by the Donee. The Donor's execution and delivery of this Gift Deed, and the Donee's acceptance below, complete the gift. Recording raises a presumption of delivery and acceptance.

Donee's Acceptance

The Donee accepts the gift of the Property described in this Gift Deed.

________________________________________
[DONEE NAME]
Date: _______________________

Federal Gift-Tax Note

This is a gift and may be a reportable transfer for federal gift-tax purposes.

• Form 709. A gift exceeding the annual exclusion ($19,000 per donee for 2025; indexed) generally requires the Donor to file IRS Form 709 (United States Gift Tax Return). 26 U.S.C. §§ 2501, 2502.
• Lifetime exemption. The gift is typically offset by the Donor's unified lifetime exemption ($13.99 million for 2025) before any tax is owed; filing is still required.
• Carryover basis. Under 26 U.S.C. § 1015, the Donee generally takes the Donor's adjusted cost basis, not a stepped-up basis.
• Delaware imposes no state gift tax and no state estate or inheritance tax.

EXECUTION

IN WITNESS WHEREOF, the said Donor has hereunto set the Donor's hand and seal the day and year first above written.

DONOR (GRANTOR) SIGNATURE(S)

SIGNED, SEALED, AND DELIVERED
in the presence of:

Individual Donor:

________________________________________  (SEAL)
[DONOR NAME]

Spouse of Donor (if applicable):

________________________________________  (SEAL)
[SPOUSE NAME]

Entity Donor:

[ENTITY NAME]

By: ____________________________________  (SEAL)
Name: __________________________________
Title: _________________________________

ACKNOWLEDGMENT

Acknowledgment Within Delaware (25 Del. C. § 122)

STATE OF DELAWARE    )
                     ) ss.
[COUNTY] COUNTY      )

BE IT REMEMBERED, that on this _____ day of _________________, 20_____,
personally came before me, the subscriber, a Notary Public for the State
of Delaware, ____________________________________________, party to this
Deed, known to me personally to be such, and acknowledged this Deed to
be his/her/their act and deed.

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

________________________________________
Notary Public
My Commission Expires: _________________

[NOTARY SEAL]

Acknowledgment Outside Delaware (25 Del. C. § 129)

STATE OF _____________ )
                       ) ss.
COUNTY OF ____________ )

On this _____ day of _________________, 20_____, before me, a Notary
Public, personally appeared ____________________________________________,
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 in his/her/their
authorized capacity(ies).

WITNESS my hand and official seal.

________________________________________
Notary Public
My Commission Expires: _________________

[NOTARY SEAL]

Entity Acknowledgment

STATE OF DELAWARE    )
                     ) ss.
[COUNTY] COUNTY      )

BE IT REMEMBERED, that on this _____ day of _________________, 20_____,
personally came before me, the subscriber, a Notary Public for the State
of Delaware, ____________________________________________, the
_________________________ [title] of _________________________________
[entity name], party to this Deed, known to me personally to be such,
and acknowledged this Deed to be the act and deed of said entity.

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

________________________________________
Notary Public
My Commission Expires: _________________

[NOTARY SEAL]

EXHIBIT A - LEGAL DESCRIPTION

Property Address:
[STREET ADDRESS]
[CITY], Delaware [ZIP]

County: [COUNTY]
Hundred: [HUNDRED NAME]
Tax Parcel ID: [NUMBER]

Legal Description:

[INSERT COMPLETE LEGAL DESCRIPTION]

Example:
ALL that certain lot, piece, or parcel of land and premises situated in [HUNDRED], [COUNTY] County, State of Delaware, bounded and described as follows:

[METES AND BOUNDS DESCRIPTION]

BEING the same lands and premises conveyed to the Donor by deed of [PRIOR GRANTOR] dated [DATE] and recorded in the Office of the Recorder of Deeds in and for [COUNTY] County, Delaware, in Deed Book _____, Page _____.

EXHIBIT B - SPECIFIC EXCEPTIONS (If Applicable)

1. ________________________________________________________________
   (Deed Book _____, Page _____)

2. ________________________________________________________________
   (Deed Book _____, Page _____)

DELAWARE RECORDING REQUIREMENTS

Recording Offices

Record at the Recorder of Deeds for the county where the property is located:

• Kent County — Recorder of Deeds, Dover
• New Castle County — Recorder of Deeds, Wilmington
• Sussex County — Recorder of Deeds, Georgetown

Realty Transfer Tax (30 Del. C. Chapter 54)

• State Rate: 2.5% of consideration (or fair market value for a non-excluded gift)
• County Rate: Varies by county (typically 1.5%)
• Gift exclusions are relationship-based (§ 5401(1)(g), (h), (i), (t), (w)); a gift to an unrelated donee is generally taxable on fair market value.

Document Requirements

☐ Words "grant and convey" REQUIRED for insurability (25 Del. C. § 121)
☐ Proper acknowledgment (25 Del. C. § 122, § 129)
☐ Form RTT-TAX — Realty Transfer Tax Return and Affidavit (state relationship/exclusion)
☐ County-specific affidavits and forms
☐ Recording fee
☐ Legible document meeting county formatting standards

Statutory References

• 25 Del. C. § 121 — Statutory deed form; effect of "grant and convey"
• 25 Del. C. § 122, § 129 — Acknowledgment within / outside Delaware
• 30 Del. C. § 5401 et seq. — Realty Transfer Tax (§ 5401(1) exclusions)

TITLE INSURANCE NOTICE

IMPORTANT: A gift conveyance — especially without warranty — provides the Donee limited protection. The Donee is STRONGLY ADVISED to obtain an owner's policy of title insurance.

☐ Donee acknowledges receipt of this recommendation

END OF GIFT DEED

Delaware Code Title 25, Chapter 1; Title 30, Chapter 54