Transfer On Death Deeds

Denton | Dallas | Tarrant | Collin

Schedule Consultation

We Can Help You Plan For The Future Of Your Home

A Transfer on Death Deed, often referred to as a TODD, is a legal document that allows a person to name a beneficiary or beneficiaries who will receive their real property (a house or land) upon their death. If the legal requirements are met, the transfer occurs automatically and avoids the requirements of probate in Texas. This type of deed is created during the person’s life and is filed in the real property records in the county where the real property is located. It can be revoked or changed during the person’s life. After you die, the beneficiary should file an Affidavit of Death in the deed records to ensure clear title.

A Transfer on Death Deed can be a critical part of a person’s estate plan. It is not a substitute for a Last Will & Testament but can be part of a comprehensive streamlined plan to transfer a person’s estate at the time of their passing. Careful considerations need to be taken in deciding whether a Transfer on Death Deed should be part of your estate plan. The experienced estate planning attorneys at the Chenault Law Firm can help you evaluate whether a Transfer on Death Deed should be part of your estate plan and issues to consider when it is drafted.

Serving Denton | Dallas | Tarrant | Collin

Benefits of Transfer on Death Deeds

  • Avoid the Formal Probate Process. A TODD allows real property to be transferred automatically. The probate process which occurs in Court is not necessary. However, if there are other assets, probate may be necessary. It is important to consider how these other assets will be handled. For example, they can be handled by utilizing payable on death beneficiary transfer, your Will or a Trust.

  • You Can Change It. A TODD can be revoked or changed during your lifetime.  You retain complete control over the real property and retain complete ownership. You can later transfer, sell, lease or mortgage the property.

  • Streamlined Process. A relatively inexpensive and an easy process when you use an experienced estate planning attorney.

Potential Downsides of Transfer on Death Deeds and Issues to Consider

  • Complex Family Dynamics and Contingencies. A TODD is limited on how certain situations are dealt with such as the death of a listed beneficiary or if the beneficiary is a minor or otherwise incapacitated. It may be more beneficial to have the real property pass as part of a person’s Last Will and Testament or Trust.

  • May Not Avoid Potential Conflicts and Legal Challenges. A TODD is not a full proof method to avoid potential conflicts between a person’s heirs. It is important to consult with an experienced estate planning attorney to discuss any potential conflicts to ensure that a person’s wishes and transfer of property are done in the most streamlined and cost-effective manner.

  • Does Not Offer Medicaid Protection. If you are concerned with Medicaid eligibility, a TODD may not offer certain protections and there may be more appropriate tools to use as part of your estate plan.

  • Does Not Avoid Probate for Other Assets. A TODD only transfers real property. It does not transfer other assets such as financial accounts. It is important that you consider how these other assets will be transferred. For example, they can be handled by utilizing payable on death beneficiary transfer, your Will or a Trust.

  • Mortgage Liens and Debts. The real property that is transferred by a TODD is still subject to the mortgage liens that are attached to the property during the owner’s lifetime. The property may also be liable for estate debts. It is important to know how these issues relate to the person’s overall estate plan.

It is important to consult with an experienced estate planning attorney when considering utilizing a Transfer on Death Deed as part of your estate plan. The attorneys at the Chenault Law Firm can provide you legal guidance to ensure that a Transfer on Death Deed meets with your wishes and also adheres to the specific legal requirements.

IF you are considering the need for a Transfer on Death Deed for your property in Texas, reach out to the experts at the Chenault Law Firm.

Trusted Partners

Contact Our Office Today at 972-591-0099 To Schedule A Phone Or In Office Consultation With An Experienced North Texas Attorney

Contact Our Office

Receive A Response in Under 48 Hours

Contact Us Direct Via Phone: (972) 591-0099

Name(Required)
This field is for validation purposes and should be left unchanged.