<html>
<head>
<meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1">
<style type="text/css" style="display:none;"> P {margin-top:0;margin-bottom:0;} </style>
</head>
<body dir="ltr">
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
Hello listmates,</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
I have a client wishing to clear the names of her parents off the title of her King County home. The parents were added as co-owners when they co-signed her mortgage for the purchase money. They also helped her with the down payment. My client made all the
mortgage payments herself and the home is now paid off. Dad is deceased, left his estate to Mom, and Mom has signed a Quitclaim Deed.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
I am looking at the exemptions in the WAC and it appears that the standard exemption to clear co-owner names in these circumstances is 458-61A-215(2)(E). It's all very straightforward, and the language of the WAC directly corresponds to my client's situation.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
BUT the DOR form for use to claim this exemption, "Real Estate Excise Tax Certification Co-Signor Exemption", requires that the co-signors answer "NO" to each of a series of questions including "Did the "co-signor" contribute funds towards any down payment,
earnest money, or closing costs related to the initial purchase [...]?" And, because my client's parents gifted her money to help with the down payment, the answer to this question is yes and the form (though not the WAC) states that the co-signor exemption
is not applicable to the transfer.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
My clients' parents had no intention of retaining an ownership interest in the property. According to my client they assisted all of their children with down payment money for home purchases, and the money was intended as a gift.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
Any hints on how to work around this issue? Can my client's mother sign a separate declaration stating the down payment was a gift and get back inside the exemption?</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
I believe my alternative would be a two-step process of recording a Lack of Probate Affidavit to pass Dad's interest to Mom, and then recording Mom's Quitclaim Deed to pass her interest to Client. This is do-able, but I would much rather save the expense of
the second recording fee and the additional drafting time.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
Thanks in advance for any tips or advice you can offer.</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
Sara</div>
<div class="elementToProof" style="margin: 0px; font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" style="font-family: Aptos, Aptos_EmbeddedFont, Aptos_MSFontService, Calibri, Helvetica, sans-serif; font-size: 12pt; color: rgb(0, 0, 0);">
<br>
</div>
<div class="elementToProof" id="Signature">
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: Calibri, sans-serif; font-size: 12pt; color: rgb(31, 73, 125);"><img alt="cid:image001.png@01DB0E74.D67AAA40" id="x_Picture_x0020_2" width="288" height="86" style="width: 288px; height: 86px; max-width: 776px; min-width: auto; min-height: auto; margin: 0px;" data-outlook-trace="F:1|T:1" src="cid:b5404805-0b90-4b29-b6cc-7ec424f6e9b8"></span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(59, 56, 56);">Sara D. Longley, Attorney</span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(59, 56, 56);">(Main) 360.378.4450 ext. 107</span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(59, 56, 56);">(Direct) 360.468.7230</span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(5, 99, 193);"><u><a href="mailto:Slongley@pnwtaxlaw.com" id="OWAd86b74de-2c2f-3a1d-176c-cde3c325959d" class="OWAAutoLink" data-linkindex="0" style="color: rgb(5, 99, 193); margin: 0px;">Slongley@pnwtaxlaw.com</a></u></span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(5, 99, 193);"><u><a href="http://www.pnwtaxlaw.com/" target="_blank" id="OWA434e6011-f643-88fd-1ffe-bd7c399233cd" class="OWAAutoLink" rel="noopener noreferrer" data-auth="NotApplicable" data-linkindex="1" style="color: rgb(5, 99, 193); margin: 0px;">www.pnwtaxlaw.com</a></u></span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: rgb(59, 56, 56);"> </span></p>
<p style="text-align: left; text-indent: 0px; background-color: rgb(255, 255, 255); margin: 0in 0in 0.0001pt;">
<span style="font-family: "Segoe UI", sans-serif; font-size: 11pt; color: black;"><b>This email and any attachments may contain confidential and/or attorney-client privileged information. If you are not the intended recipient please immediately delete the email
and notify the sender.</b></span></p>
</div>
</body>
</html>