Deed & Real Estate Transfers - Having a new deed made up and recorded - - -
Deed transfers have become quite common in recent years, particularly among family members. Some examples of when people have a new deed made up and recorded include:
1. Adding a spouse to the title of the property
2. Removing a spouse from a property after a divorce or death
3. Adding children, grandchildren or other family members to the deed to a property or doing a family transfer
4. Changing or correcting the deed to reflect a name change as a result of a marriage, a divorce, a name change, etc.
5. Engaging in a private sale or other transfer of property
Why it is important to have legal assistance with a deed or real estate transfer - -
1. Typically with real estate, the value of what is being conveyed is significant and it is important especially with legal, title and ownership descriptions “to dot the i’s and cross the t’s” (i.e. no mistakes at all).
2. While a transfer by deed may seem straightforward, there are typically additional factors that come into play:
(a) Pennsylvania has a real estate transfer tax (usually 2%), however, with family transfers (in many cases) there are exemptions and it is important to be able to take advantage of the applicable tax exemptions (i.e. to not have to pay any transfer tax);
b) If the property has a mortgage or financing on it, a transfer may trigger a “due on sale” clause in the financing documents, which may have unintended, adverse consequences. The good news is many transfers can be set up in a manner to avoid this consequence;
c) In rare cases, there can be issues with the transfer relating to potential tax or other liens for such things as inheritance tax, income tax, etc. and while these items may not stop a transfer from happening, it is important that all parties understand the status of the title they are transferring or receiving.
Our firm is regularly engaged to do deeds and real estate transfers for clients. In most cases, a simple deed for a family-type transfer is done on a fixed fee basis. We regularly do deed transfers for the following counties: Bucks County, PA, Montgomery County, PA, Northampton County, PA, and Lehigh County, PA.
If you need help having a new deed properly made up and recorded please call us at (215) 345-4181.
Whitley Law Office
199 North Broad Street
Doylestown, Bucks County, PA 18901
Deeds and Real Estate Transfers
power of attorney lawyer in Doylestown