What is a Beneficiary Deed?

“Possibly the simplest and most cost effective estate planning tool you’ve never heard of.”


What is a Beneficiary Deed?  A Beneficiary Deed, also known as a Revocable Transfer-On-Death Deed, conveys your ownership interest in real property, such as your home, investment property, vacation home, etc, to your children, family, significant other, etc., without any requirement of probate.  The Beneficiary Deed is prepared and recorded while you are living, but the transfer is not effective until you (and your spouse, if applicable) have passed away.


Some Advantages of using a Beneficiary Deed include: 
•  Avoids the cost and delay of probate. 
• Less expensive than a living trust.   
• The owners retain total control over the property.    
• Signing and recording a Beneficiary Deed has no gift tax liability because it is not a present transfer of property. 
• The owner is free to change a Beneficiary Deed at any time.  

At least 12 states have laws which provide for use of a beneficiary deed, including Arizona, Arkansas, Colorado, Kansas, Missouri, Nevada, New Mexico, Ohio, Wisconsin, Minnesota, Montana, and Oklahoma.


Contact Legal Resource Center at (602) 955-4005 or visit their website at legalresourceonline.com for more information about Beneficiary Deeds.