Vermont gift deed
Here is what Vermont actually requires on a gift deed. The witness rules, the notary block, the margins, the forms that have to travel with it, and where to record it, plus what the deed does and does not do.
- Recording office
- Town Clerk
- Witnesses
- Notary only
- Transfer tax
- 1.25% generally
- First-page margin
- 3″ top
- Recording fee
- ~$15 first page
- E-recording
- Usually not
What a gift deed does in Vermont
A gift deed transfers property with no money changing hands, and it says so on its face. Stating the donative intent matters: it supports a transfer-tax exemption in most states and it documents that the recipient paid nothing, which is exactly what a recorder, an assessor, and later the IRS will want to see. Mechanically it operates like a quitclaim. Immediate, and without title warranties.
A gift deed operates like a quitclaim deed but recites donative intent, which supports a transfer-tax exemption.
Less common in Vermont
Gift deeds are valid here but used less often than in other states. Read the limitations below carefully before choosing one.
When Vermont property owners use a gift deed
- Give a house or land to a child or grandchild
- Transfer property to a sibling or parent for no payment
- Document donative intent for a transfer-tax exemption
- Make a charitable gift of real estate
What Vermont requires on the deed
These are the execution and formatting rules town clerks enforce. Getting any of them wrong is the usual reason a deed comes back in the mail.
| Requirement | What Vermont says |
|---|---|
| Recording office | Town Clerk |
| Notarization | Required. Every signature must be made in the notary's presence. |
| Witnesses | None required. A notarial acknowledgment is enough. |
| Legal description | Required, copied exactly from the prior recorded deed. A street address is not sufficient. |
| Grantee's address | Must appear on the face of the deed. |
| Return address | A 'when recorded, return to' block is required. |
| Preparer statement | Not required, but customary. |
| Prior deed reference | Not required, though it keeps the chain of title clean. |
| Page setup | 8.5 × 11 in, 3-inch top margin on the first page, 1-inch elsewhere, 10pt minimum type. |
| Accompanying form | Vermont Property Transfer Tax Return (filed electronically through myVTax) |
How to complete and record it in Vermont
- Find your current deedYou need the legal description from it, word for word. If you can't find your copy, the Town Clerk can provide one, usually for a few dollars.
- Identify everyone by full legal nameNames must match the current deed and government ID exactly, middle names included. A mismatch creates a gap in the chain of title that shows up years later at closing.
- Complete the deedDeedly builds it with Vermont's statutory language, the correct notary block, and the 3-inch first-page margin town clerks expect.
- Sign in front of a notaryBring photo ID. Do not sign in advance. The signature has to be made in the notary's presence.
- Complete Vermont Property Transfer Tax Return (filed electronically through myVTax)Vermont requires this alongside the deed, including for exempt transfers. Your filing packet explains which boxes apply to your situation.
- Record it with the Town ClerkFile in the town where the property is located and pay the recording fee. Keep the stamped receipt. It fixes your priority date.
- Update insurance and tax recordsA change of ownership can affect your homeowner's policy, your homestead or senior exemption, and in some states the assessed value. Do this within a few weeks.
What it costs in Vermont
| Cost | Typical amount |
|---|---|
| Recording fee | About $15 for the first page plus about $15 per additional page |
| Transfer tax | Property transfer tax: 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25% |
| Notary | Typically $5–$25 per signature; often free at your bank |
| Deedly | $39, one time |
| Attorney (for comparison) | $300–$1,200 for the same statutory document |
Vermont charges a property transfer tax of 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25%. It is customarily paid by the grantee.
Exemptions that commonly apply to a transfer like this: transfers between spouses, gifts with no consideration, and transfers to or from a revocable trust. You have to claim the exemption. The recorder won't apply it for you.
Where to record it in Vermont
Vermont deeds are recorded with the Town Clerk in the town where the property sits, not where you live. There are 246 towns in Vermont.
Most Vermont town clerks do not offer e-recording. Expect to record in person or by mail.
Recording offices we cover in Vermont: Burlington, Essex, South Burlington, Colchester, Rutland, Bennington. See all Vermont recording offices.
What a gift deed does NOT do
Being honest about the limits is more useful than a sales pitch. Every one of these catches somebody out.
- The recipient takes your original cost basis, not the current market value. A later sale can produce a large capital-gains bill that inheriting the property would have avoided.
- A gift over the annual exclusion requires you to file IRS Form 709, even if no tax is due.
- It is irrevocable once delivered and recorded. You can't take the property back if the relationship changes.
- Gifting a property within Medicaid's look-back period can create a penalty period for long-term-care eligibility.
Quirks of Vermont law that catch people out
- Vermont records deeds with the TOWN clerk. There are 246 separate offices, one per municipality, and no county recorders at all.
- Most Vermont towns do not accept e-recording, so plan on mail or an in-person trip.
- A Vermont Property Transfer Tax Return must be filed electronically through myVTax before recording, even for exempt transfers.
- Vermont eliminated the witness requirement in 2004. A notary alone is sufficient today.
- Vermont is one of the five states generally listed as recognizing lady bird deeds, but they are uncommon here in practice.
How to hold title in Vermont
When two or more people take title in Vermont and the deed says nothing more, the law presumes a tenancy in common, which means no automatic survivorship. If you want the survivor to take the whole property, the words have to be on the deed. Forms of co-ownership available in Vermont: tenancy by the entirety (married couples only), joint tenancy with right of survivorship, and tenancy in common.
$39, one time. Your finished deed appears in full before you pay, with Vermont's witness rules, margins, and recording instructions already applied.
Common questions
No. Vermont has no requirement that an attorney prepare a deed. What matters is the correct statutory language, an accurate legal description, proper notarization, and recording with the Town Clerk. Deedly produces all of that for $39, versus roughly $300–$1,200 for an attorney to draft the same document. If ownership is disputed, the current owner has died without probate, or the transfer is tax-sensitive, use an attorney.
Expect around $15 for the first page and about $15 per additional page. Vermont also charges property transfer tax of 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25%, though gifts and family transfers are often exempt. Vermont town clerks charge per page.
No. Vermont requires only that the grantor's signature be acknowledged before a notary public. Vermont eliminated the witness requirement for deeds in 2004. An acknowledgment before a notary or other authorized officer is what 27 V.S.A. § 341 requires today.
With the Town Clerk in the town where the property is located, not where you live, and not where the buyer lives. Vermont has 246 towns. Most Vermont town clerks do not offer e-recording. Expect to record in person or by mail.
No, and this is the single most common misunderstanding about deeds. A deed changes who owns the property. The mortgage is a separate contract with the lender, and only a refinance or a written release from the lender removes a borrower. Someone can be off the deed and still fully liable on the loan.
Keep reading
- Vermont quitclaim deedTransfers whatever interest you have in a property, with no promises about the title.
- Vermont general warranty deedTransfers ownership with the strongest title guarantees the law allows.
- Vermont special warranty deedTransfers ownership, but only guarantees the title for the period you owned it.
- Vermont lady bird deedAn enhanced life estate deed: you keep total control for life, and the property passes automatically at death.
- All deed rules for VermontRecording offices, transfer tax, witness rules, and fees.
- Vermont recording officesWhere to file in each town.
Deedly is not a law firm
We provide self-help software and state-specific statutory forms; you make your own decisions about your property. Using Deedly does not create an attorney-client relationship, and nothing here is legal advice. If your situation is complex or contested, talk to a licensed attorney in your state.