MBE Rules · Real Property
Transfer-on-Death Deeds
TOD deeds
The rule
Revocable TOD deeds pass title at death without probate or present interest; recording within statutory windows is required, and the deed yields to later conveyances and remains reachable by creditors.
In plain English
Transfer-on-Death (TOD) deeds allow a property owner to pass their property to a designated beneficiary upon their death without going through probate. These deeds can be revoked at any time before death, must be recorded within a specific timeframe, and will not affect the property if the owner conveys it to someone else or if creditors make claims against the estate.
Worked example
Alice creates a TOD deed naming her son Bob as the beneficiary. She records the deed properly, but later decides to sell the property to Carol and does so before her death. Upon Alice's death, Bob does not receive the property because the sale to Carol took precedence over the TOD deed.
Memory hook
TOD deeds transfer property at death, not before—keep it revocable and record it right!
The trap
Exams may present scenarios where students overlook the effect of a subsequent conveyance or fail to recognize the revocability of the TOD deed before death.
How examiners test it
Questions often involve multiple transfers of property and require candidates to determine the rightful owner upon the original owner's death, testing knowledge of the TOD deed's limitations.
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