The full explanation
While the owner is alive, they remain the owner: they can sell or mortgage the home and can revoke the deed. To be valid, it must be recorded with the county before the owner's death, and the beneficiary does not have to sign or be told. The beneficiary takes the home subject to its mortgages and liens. Each state has its own rules and name: Washington calls it a transfer on death deed, and Arizona a beneficiary deed.
An example
Ernesto lives in Arizona and wants his home to go to his two children. He signs a beneficiary deed naming both of them and records it with the county recorder's office.
You will see it in…
- The records of the county recorder's or auditor's office
- The homestead exemption application for an inherited home in Texas
- Your state's laws on inheritance and deeds
