Special Warranty Deed

SPECIAL WARRANTY DEED

State of Vermont

Recording Requested By:
_____________________________________________

When Recorded Return To:
_____________________________________________
_____________________________________________
_____________________________________________

Property Address:
_____________________________________________

SPACE ABOVE THIS LINE FOR RECORDER'S USE

DOCUMENT INFORMATION

PROPERTY TRANSFER TAX DECLARATION

Form PTT-172 is attached and required to be filed with this deed.

Purchase Price/Consideration: $_______________

Property Transfer Tax Calculation (Effective August 1, 2024):

☐ Principal Residence:
| Component | Rate | Amount |
|-----------|------|--------|
| First $200,000 | 0.5% | $_____________ |
| Amount over $200,000 | 1.25% + 0.22% Clean Water = 1.47% | $_____________ |
| Total Tax Due | | $_____________ |

☐ Non-Principal Residence (fit for year-round habitation, non-long-term rental):
| Component | Rate | Amount |
|-----------|------|--------|
| Total Value | 3.40% + 0.22% Clean Water = 3.62% | $_____________ |
| Total Tax Due | | $_____________ |

☐ This transfer is EXEMPT from Property Transfer Tax. Exemption: _____________________________________________

SPECIAL WARRANTY DEED

KNOW ALL PERSONS BY THESE PRESENTS:

This Special Warranty Deed is made and entered into this _____ day of _________________, 20_____.

ARTICLE I: PARTIES

Section 1.1 Grantor(s)

Name(s): _____________________________________________

Mailing Address:
_____________________________________________
_____________________________________________

Marital Status:
☐ A single person
☐ A married person dealing with his/her sole and separate property
☐ Husband and wife
☐ An unmarried person
☐ A _________________ [entity type], a _________________ [state] _________________ [entity form]

Section 1.2 Grantee(s)

Name(s): _____________________________________________

Mailing Address:
_____________________________________________
_____________________________________________

Vesting:
☐ A single person
☐ A married person dealing with his/her sole and separate property
☐ Husband and wife, as joint tenants with right of survivorship
☐ Husband and wife, as tenants in common
☐ An unmarried person
☐ As joint tenants with right of survivorship, and not as tenants in common
☐ As tenants in common
☐ A _________________ [entity type], a _________________ [state] _________________ [entity form]

ARTICLE II: CONVEYANCE

Section 2.1 Granting Clause

For the consideration of $_____________________ (____________________ Dollars) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Grantor hereby GRANTS, BARGAINS, SELLS, AND CONVEYS with SPECIAL WARRANTY COVENANTS to Grantee, and Grantee's heirs and assigns forever, all the real property, together with any improvements thereon, situated in the Town/City of _________________, County of _________________, State of Vermont, described as follows:

Section 2.2 Legal Description

See Exhibit "A" attached hereto and incorporated herein by reference.

Prior Deed Reference (for chain of title):
Being the same premises conveyed to Grantor by deed of _________________________ dated _________________, 20_____, and recorded in the Land Records of the Town/City of _________________ in Book _______, Page _______.

also known by street and number as: _____________________________________________

Parcel ID/SPAN: _____________________________________________

ARTICLE III: LIMITED WARRANTY COVENANTS

Section 3.1 Special Warranty

Grantor hereby covenants with Grantee that:

(a) Grantor is lawfully seized of the premises in fee simple and has good right to convey the same;

(b) The premises are free from all encumbrances made or suffered by Grantor, except as noted herein;

(c) Grantor WARRANTS AND WILL FOREVER DEFEND the premises against the lawful claims and demands of all persons claiming by, through, or under the Grantor, but against none other.

Section 3.2 Limitation of Warranty

NOTICE: This is a SPECIAL WARRANTY DEED. The warranties contained herein are LIMITED to the period during which the Grantor owned the property. This deed does NOT contain full warranty covenants. The Grantor does NOT warrant against defects, liens, encumbrances, or claims arising prior to Grantor's ownership of the property.

Section 3.3 Statutory References

This conveyance is made pursuant to and in accordance with:

• 27 V.S.A. Chapter 5 (Conveyance of Real Estate)
• 27 V.S.A. Section 341(a) (Acknowledgment requirements)
• 32 V.S.A. Section 1671 (Recording fees)
• 32 V.S.A. Chapter 231 (Property Transfer Tax)

ARTICLE IV: EXCEPTIONS AND RESERVATIONS

Section 4.1 Subject To

This conveyance is made subject to:

(a) General taxes and assessments for the year 20_____ and subsequent years, not yet due and payable;

(b) All applicable zoning, building codes, and governmental regulations;

(c) All covenants, conditions, restrictions, reservations, rights-of-way, and easements of record;

(d) All matters disclosed by an accurate survey and physical inspection of the property;

(e) Rights of parties in possession;

(f) The following specific exceptions:

☐ None

☐ As set forth below:
_____________________________________________
_____________________________________________
_____________________________________________

ARTICLE V: ADDITIONAL PROVISIONS

Section 5.1 Property Transfer Tax Certification

The undersigned Grantee certifies that:

☐ The Property Transfer Tax has been paid as required by 32 V.S.A. Chapter 231.

☐ This transfer is exempt from Property Transfer Tax because:
_____________________________________________

Section 5.2 Vermont Housing Finance Agency/USDA Exemption

☐ The first $250,000 of value is exempt because the buyer obtained a mortgage loan made by the U.S. Department of Agriculture and Rural Development or purchased by the Vermont Housing and Finance Agency.

Section 5.3 Landlord Certificate Requirement

If this property is or has been used as rental property:

☐ Not applicable - property has not been used as a rental
☐ Landlord Certificate has been filed with the Vermont Department of Taxes

ARTICLE VI: EXECUTION

Section 6.1 Grantor's Signature

IN WITNESS WHEREOF, the Grantor(s) have executed this Special Warranty Deed on the date first written above.

GRANTOR(S):

_____________________________________________
Signature

_____________________________________________
Printed Name

Date: _____________________________________________

_____________________________________________
Signature

_____________________________________________
Printed Name

Date: _____________________________________________

ARTICLE VII: WITNESS (Customary but not required)

_____________________________________________
Witness Signature

_____________________________________________
Witness Printed Name

ARTICLE VIII: ACKNOWLEDGMENT

Section 8.1 Vermont Acknowledgment (Individual)

STATE OF VERMONT
COUNTY OF _________________

At _________________ [town/city], in said County, this _____ day of _________________, 20_____, personally appeared _____________________________________________, and he/she/they acknowledged this instrument, by him/her/them signed, to be his/her/their free act and deed.

Before me,

_____________________________________________
Notary Public

My Commission Expires: _____________________________________________

[NOTARIAL SEAL]

Section 8.2 Vermont Acknowledgment (Entity)

STATE OF VERMONT
COUNTY OF _________________

At _________________ [town/city], in said County, this _____ day of _________________, 20_____, personally appeared _________________________, the _________________________ [title] of _________________________ [entity name], and he/she acknowledged this instrument, by him/her signed and sealed, to be the free act and deed of said entity.

Before me,

_____________________________________________
Notary Public

My Commission Expires: _____________________________________________

[NOTARIAL SEAL]

Section 8.3 Out-of-State Acknowledgment

STATE OF _________________
COUNTY OF _________________

On this _____ day of _________________, 20_____, before me, a Notary Public, personally appeared:

_____________________________________________

and acknowledged this instrument to be his/her/their free act and deed.

_____________________________________________
Notary Public

My Commission Expires: _____________________________________________

[NOTARIAL SEAL]

EXHIBITS

EXHIBIT A - LEGAL DESCRIPTION

Legal Description of Property:

_____________________________________________
_____________________________________________
_____________________________________________
_____________________________________________
_____________________________________________
_____________________________________________
_____________________________________________
_____________________________________________

Town/City of _________________, County of _________________, State of Vermont

VERMONT RECORDING REQUIREMENTS AND INFORMATION

Recording Requirements

IMPORTANT: Unlike most states, Vermont does NOT have a county recording system. All land records are maintained at the town or city level. Record the deed at the town or city clerk's office where the property is located.

Recording Fees (32 V.S.A. Section 1671)

Property Transfer Tax (32 V.S.A. Chapter 231) - Effective August 1, 2024

Principal Residence:
| Value | Tax Rate |
|-------|----------|
| First $200,000 | 0.5% (exempt from Clean Water Surcharge) |
| Over $200,000 | 1.25% General + 0.22% Clean Water = 1.47% |

Non-Principal Residence (fit for year-round habitation, non-long-term rental):
| Value | Tax Rate |
|-------|----------|
| Total Value | 3.40% General + 0.22% Clean Water = 3.62% |

Who Pays Property Transfer Tax

• Buyer/Grantee is liable for the transfer tax when transfer is made by deed
• Parties can negotiate who bears the responsibility
• Seller may agree to pay some or all of purchaser's transfer tax

Exemptions from Property Transfer Tax

• First $250,000 exempt if buyer obtains USDA or VHFA mortgage
• Other statutory exemptions

Required Forms

1. Form PTT-172 (Vermont Property Transfer Tax Return) - Required with all deeds
2. Landlord Certificate - Required by January 31 annually for rental properties used for 30+ consecutive days

Important Legal Notes

1. Town/City Recording: Vermont records at the municipal level, not county level.

2. Property Transfer Tax: Must be paid before deed can be recorded. Town clerk looks for evidence of payment or exemption.

3. Buyer Pays Tax: Unlike many states, Vermont places the transfer tax liability on the buyer, though parties can negotiate.

4. Deed Types: Vermont recognizes several deed types (warranty, quitclaim, etc.) with different levels of protection.

5. Title Insurance: Grantees should consider obtaining title insurance, especially given the limited warranty nature of this deed.

6. Legal Counsel: Consultation with a licensed Vermont attorney is recommended.

7. Landlord Certificates: Required for rental properties; filed annually by January 31.

PREPARED BY:

_____________________________________________
Name

_____________________________________________
Address

_____________________________________________
Phone/Email

This template is provided for informational purposes only and does not constitute legal advice. Consult with a licensed Vermont attorney before using this form.