Advantages of a TOD Deedįollowing are a few benefits of the TOD deed compared with other methods of transferring property upon death:

If you designate two or more beneficiaries, indicate how they will take title - typically either “as joint tenants with rights of survivorship' or “as tenants in common.' You may also designate alternative or successor beneficiaries, in case the first beneficiary dies. The beneficiary will not acquire the property until the second spouse dies, but the surviving spouse can revoke the TOD deed before then.Ī beneficiary should be designated by name, never just by their relationship to you. A married couple may also create a TOD deed. If your property is not located in a state that allows TOD deeds, you may still be able to avoid probate by other means, such as transferring property to a living trust.ĭeeds held by married couples typically state that they own property “as joint tenants with rights of survivorship' or as “tenants by the entireties.' If one spouse dies, the surviving spouse automatically becomes sole owner. A few states, such as Michigan, have a similar but technically different document, commonly called a Lady Bird deed. With a trend toward permitting TOD deeds, more states may be added in the future. Ohio has replaced the TOD deed with a TOD affidavit, but the effect is the same.

In some states a TOD deed is referred to as a beneficiary deed, TOD instrument or deed upon death.Īs of September 2019, the District of Columbia and the following states allow some form of TOD deed: Alaska, Arizona, Arkansas, California, Colorado, Hawaii, Illinois, Indiana, Kansas, Maine, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Virginia, Washington, West Virginia, Wisconsin and Wyoming. A beneficiary can be an individual or an organization such as a charity. The beneficiary automatically becomes the owner of the property when the current owner dies. In a TOD deed, the current owner designates one or more persons as beneficiary. For real estate, one way is with a transfer on death deed (TOD deed). Probate can be expensive and time-consuming, but it may be avoidable.

Wis stat transfer by affidavit