To change a property title, you prepare a new deed identifying the current and new owners, have the current owner sign it in front of a notary, and record it with the county recorder’s office in the county where the property sits. That is the whole legal mechanism. What makes the job harder than it looks is choosing the right kind of deed, protecting yourself from mortgage and tax fallout, and getting the paperwork clean enough that the recorder accepts it the first time.
Pick the Right Type of Deed
The deed you use signals how much the person transferring the property stands behind the title. Using the wrong one can leave the new owner with no recourse if problems surface later.
A quitclaim deed transfers whatever ownership interest the current holder has, with no promises about whether that interest is any good. The signer is not guaranteeing they own the property, that no one else has a claim, or that there are no outstanding liens. If a title defect turns up, the new owner has no legal recourse against the signer. That is why quitclaim deeds are common between spouses, among family members, and in divorce settlements, where both sides already know the state of the title. They are a poor choice when you don’t fully trust the other side or haven’t checked the property’s history.
A general warranty deed sits at the opposite end. The signer guarantees they own the property, have the right to transfer it, and that no undisclosed liens or claims exist, going all the way back through the property’s history. If a defect surfaces later, the new owner can hold the previous owner responsible. This is the standard deed in most purchase transactions.
A special warranty deed is the middle ground. The signer guarantees only that no title problems arose during their own period of ownership. Anything earlier is the new owner’s risk. Commercial deals and bank sales often use this form.
Prepare the Deed and Supporting Paperwork
A deed is only as good as the information on it. One wrong detail can get the document rejected or, worse, put a cloud on the title that takes time and money to clear.
Every deed needs the full legal names and addresses of the grantor (the person transferring) and the grantee (the person receiving). It also needs the property’s legal description, which is not the street address. The legal description uses metes and bounds, lot and block numbers, or a government survey reference to identify the exact parcel. You can find it on your existing deed, your title insurance policy, or your county assessor’s records. Copy it exactly.
If more than one person is taking title, the deed must state how they hold it. Joint tenancy with right of survivorship means each owner has an equal share, and when one dies, their share passes automatically to the survivor. Tenancy in common means each owner holds a separate share they can sell, gift, or leave to anyone in their will. Getting this wrong can derail an estate plan.
Run a Title Search First
Before you record a new deed, confirm the title is actually clean. A title search examines public records to verify legal ownership and turn up any liens, judgments, easements, or other claims against the property. Unpaid property taxes, contractor liens from old renovations, or an ex-spouse’s unresolved interest can follow the property to the new owner. A professional title search typically costs $75 to $200 and can save you from inheriting someone else’s obligations.
Ancillary Forms
Most jurisdictions want documents beyond the deed itself. Transfer tax declarations, change-of-ownership reports, and affidavits about the nature of the transfer (gift, sale, divorce, trust funding) are common. Your county recorder’s website lists exactly what it needs. Fill every field precisely. Recorders routinely reject filings for small errors like a misspelled name or a missing checkbox.
Sign, Notarize, and Record
The grantor must sign the deed. In virtually every state, the signature has to be notarized, meaning a licensed notary public verifies the signer’s identity and watches them sign. Some states also require one or two witnesses in addition to the notary. The grantee generally does not sign.
Once signed and notarized, take the deed to the county recorder or county clerk in the county where the property sits. Recording puts the transfer into the public record, giving the world notice that ownership has changed. Most offices accept filings in person, by mail, or through electronic recording platforms.
Recording fees vary by county and typically run from under $10 to over $100, depending on page count and local schedules. Many jurisdictions also charge a transfer tax calculated as a percentage of the property’s value. Rates vary widely: some states charge a fraction of a percent, others exceed 2%, and roughly a dozen impose no transfer tax at all. Certain transfers, such as those between spouses in a divorce or into a revocable trust, are often exempt even in states that otherwise tax transfers. Check with your recorder for the exact fees and exemptions. After recording, the original deed is typically mailed back to the new owner, and the transfer is official.
How the Change Affects Your Mortgage
This is where people get hurt. Changing the name on a deed does not change who owes the mortgage. Transfer your home to a family member, a trust, or an ex-spouse and you are still on the hook for the loan unless the lender agrees to release you. The new owner holds the title. The original borrower holds the debt.
There is a bigger risk. Most mortgages include a due-on-sale clause letting the lender demand full repayment of the remaining balance when the property changes hands. Transfer the title without understanding this and you can get a letter demanding six figures.
Federal law provides critical protection. Under the Garn-St. Germain Act, lenders cannot enforce a due-on-sale clause for several common transfers on residential properties with fewer than five units:1Office of the Law Revision Counsel. 12 U.S. Code 1701j-3 – Preemption of Due-on-Sale Prohibitions
- A transfer where the borrower’s spouse or children become an owner.
- A transfer resulting from a divorce decree, legal separation, or property settlement.
- A transfer into a living trust where the borrower remains a beneficiary and continues to occupy the property.
- A transfer that happens automatically when a joint tenant or tenant by the entirety dies.
- A transfer to a relative after the borrower’s death.
Transfers outside this list, such as adding a non-spouse partner or moving the property into an LLC for liability protection, have no federal protection and can trigger the clause. Before recording any deed on a mortgaged property, know which category your transfer falls into.
Even when the clause does not apply, the mortgage debt stays with whoever signed the promissory note. If you deed a property to your ex-spouse in a divorce and they stop paying, the lender comes after you. The only way off the loan is refinancing into the new owner’s name alone or paying it off entirely.
Tax Consequences You Need to Know About
A title change can trigger tax obligations that dwarf the recording fees. The rules differ sharply depending on whether you are gifting property, moving it into a trust, or letting it pass at death.
Gift Tax and Form 709
When you transfer property to someone without getting fair market value in return, the IRS treats it as a gift. In 2026, you can give up to $19,000 per recipient per year with no reporting requirement.2Internal Revenue Service. What’s New – Estate and Gift Tax Since most real estate is worth far more than that, gifting a property almost always requires filing IRS Form 709, a gift tax return.3Internal Revenue Service. Instructions for Form 709
Filing does not necessarily mean you owe tax. Your lifetime gift and estate tax exemption is $15,000,000 in 2026, so the gift reduces your available exemption rather than generating an immediate bill.2Internal Revenue Service. What’s New – Estate and Gift Tax But skipping the return when it is required creates problems with the IRS later. Transfers between spouses are generally unlimited and tax-free. Moving property into a revocable trust where you remain the beneficiary is not treated as a gift, since you have not actually given up control.
The Basis Trap: Lifetime Gift Versus Inheritance
This is where the real money is. When you give someone property during your life, the recipient inherits your original cost basis. If you bought a house for $100,000 and gift it to your child when it is worth $500,000, your child’s basis is still $100,000. When they sell, they owe capital gains tax on up to $400,000 of gain.4GovInfo. 26 U.S. Code 1015 – Basis of Property Acquired by Gifts and Transfers in Trust
When someone inherits property after the owner dies, the basis resets to the fair market value at the date of death. Same example: if your child inherits that $500,000 house instead of receiving it as a gift, their basis is $500,000. If they sell for $500,000, they owe zero capital gains tax.5Office of the Law Revision Counsel. 26 U.S. Code 1014 – Basis of Property Acquired From a Decedent
The gap between the two scenarios can easily be tens of thousands of dollars in tax. This is the single biggest reason to think carefully before deeding an appreciated property to a child or other family member during your lifetime. In many cases, keeping the property in your name and letting it pass through your estate produces a far better result for the person receiving it. Talk to a tax professional before gifting appreciated real estate.
Don’t Void Your Title Insurance
If you carry an owner’s title insurance policy and transfer the property to a trust, an LLC, or any other entity, your existing coverage may end. Many policies only protect the named insured for as long as they hold title. Once ownership moves to a different legal entity, even one you control entirely, coverage can lapse.
Older policy forms are especially vulnerable. Several widely used ALTA and CLTA policy versions issued before the mid-2000s do not automatically cover transfers to revocable trusts. Newer forms have expanded the list of covered successors, but you can’t assume yours does without reading it.
Before transferring title to a trust or LLC, call your title insurer and ask whether the transfer affects coverage. In many cases you can buy an endorsement for a modest fee that extends coverage to the new entity. That is far cheaper than finding out your policy is void when you actually need it.
When to Hire a Professional
Simple transfers between spouses, into a trust you already have, or after a divorce with a clear settlement can often be handled without an attorney using your county’s standard deed forms. The recording process itself is designed for self-filers.
When real money is on the line, skipping legal help is a false economy. If the property has an existing mortgage, has appreciated significantly, carries a complicated ownership history, or involves multiple heirs, an experienced real estate attorney can catch problems that forms alone will not. An hour of legal advice costs far less than unwinding a defective deed or absorbing an unexpected tax bill.