Does Texas recognize transfer on death?

Texas state law allows real property owners to record a “Transfer on Death Deed” naming a beneficiary to own that real property after they die. With a properly recorded Transfer on Death Deed, you do not need to go through probate court to transfer real property.

What states recognize life estate deeds?

The only states that currently offer enhanced life estate deeds as an estate planning option include: Florida, Texas, Michigan, Vermont, and West Virginia.

How does life estate work in Texas?

The Basics of a Life Estate in Texas. A life estate is a present possessory estate that it limited in duration by a measuring life. Most commonly, a life estate is granted for the life of the grantee. In either case, the grantee receives a possessory interest in the estate until the death of the measuring life.

Can a life estate be transferred in Texas?

Most states, including Texas, allow for transfers of property that are less absolute. A common form of limited transfer is a life estate – an estate that is limited in duration by a life.

What can a retained life estate deed do?

Unlike a traditional life estate deed, a LBD’s retained life estate interest includes not only the right to occupy and use the property, but also includes the ability to sell, convey, lease, or mortgage the property without the consent of the remaindermen.

Can a life estate deed be used to transfer property?

A Life Estate Deed is not the only way to transfer property at death. Property will automatically transfer to the surviving owner at death if it is titled as tenancy by the entirety, joint tenants with rights of survivorship, or community property with rights of survivorship.

What happens with a transfer on Death Deed in Texas?

The grantor may also sell their property and keep the proceeds without the joinder of the grantee. Because of the increased flexibility this instrument affords, the Transfer on Death Deed should prove to be a very popular instrument in Texas, one that families should consider as part of their overall estate planning efforts.

Most states, including Texas, allow for transfers of property that are less absolute. A common form of limited transfer is a life estate – an estate that is limited in duration by a life.

What happens when a home is transferred with a retained life estate?

When a home is transferred with a retained life estate, the person making the transfer retains the right to live in the home during his or her lifetime. He or she continues to pay the taxes and maintain the property. Any tax exemptions thus remain with him or her as the life tenant. As…

A Life Estate Deed is not the only way to transfer property at death. Property will automatically transfer to the surviving owner at death if it is titled as tenancy by the entirety, joint tenants with rights of survivorship, or community property with rights of survivorship.

The grantor may also sell their property and keep the proceeds without the joinder of the grantee. Because of the increased flexibility this instrument affords, the Transfer on Death Deed should prove to be a very popular instrument in Texas, one that families should consider as part of their overall estate planning efforts.