Transfer on Death Deeds in Texas

As of September 1, 2015, Texas will begin permitting Transfer on Death (“TOD”) deeds which allow the owner of real estate to transfer property to his or her heirs outside of probate. Upon the owner’s death, title automatically passes to the named beneficiary(ies) as a matter of law. The theory is the same as a beneficiary designation on a life insurance policy or IRA. The owner names a primary beneficiary and contingent beneficiary that will inherit the real property upon the owner’s death. Probate law does not control the disposition of a TOD deed so a probate proceeding regarding that particular property is unnecessary (absent an important exception). Continue reading Transfer on Death Deeds in Texas