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Michigan Form Form 2705: Real Estate Transfer Tax Valuation Affidavit
What this form does, who files it, what it costs, and how to avoid the errors that get Michigan filings rejected.
Reviewed and updated by the Clear Path document team. Informational only — not legal advice.
Quick Answer
What is Michigan form Form 2705?
Michigan Form 2705 states the true cash value of transferred property when the transfer tax is calculated on value rather than on a stated sale price — common for gifts, family transfers, and deeds into a trust.
Who files it
The seller or grantor, typically filed together with the deed.
Where it goes
The county register of deeds where the deed is recorded.
Filing fee
None for the affidavit itself; transfer tax is $3.75 per $500 of value to the state and $0.55 to $0.75 per $500 to the county unless exempt.
What you need before you start
- The property's legal description and parcel number
- The true cash value at the time of transfer
- The names of the grantor and grantee
- The exemption claimed, if any
How to complete and file form Form 2705
- 1
Determine whether the transfer is exempt from transfer tax — many family and trust transfers are.
- 2
If value must be stated, complete Form 2705 with the true cash value.
- 3
Attach it to the deed presented for recording.
- 4
Pay any transfer tax due at the register of deeds.
- 5
Follow up with the L-4260 Property Transfer Affidavit to the local assessor within 45 days.
Mistakes that get Form 2705 rejected
- Leaving the consideration line blank on the deed with no valuation affidavit attached, which gets the deed rejected
- Claiming an exemption without citing the statutory subsection
- Confusing transfer tax with recording fees — they are separate charges