Beneficiary Deeds

Beneficiary deeds transfer property directly, avoiding the often costly and time-consuming probate process. When a property owner passes on, homes and other real estate can be transferred quickly and cleanly to beneficiaries.

Here’s what you need to know about beneficiary deeds

If there are multiple grantors (property owners), the deed becomes effective upon the passing of the final surviving grantor. Within families, the beneficiary deed passes real estate from one generation to the next.

Avoid probate

How it works

If you own real estate in Tucson or anywhere in Arizona, and the property is in your sole name (without any co-owner), you have options for transferring property. If you want to leave your real estate to a loved one or other beneficiary, you could place the assets into a living trust. However, a beneficiary deed is a simpler and more economical option for many people.

Peace of mind

This beneficiary deed can prevent difficult family conflicts over your real estate after you are gone. You can create the document and sign it now for your peace of mind.

The beneficiary deed will not take effect until after your passing (or after the subsequent death of your spouse). In the meantime, you can get a home mortgage, sell the property, or whatever you wish. Your designated beneficiary has no control over the property until the deed becomes effective.

Manage taxes and ease the succession

An important advantage of a beneficiary deed is that you are not giving the property to anyone during your lifetime and these deeds typically do not incur a gift tax. However, your property is still legally considered an asset for purposes of the estate tax. Eventually taxes will be paid, but not right now.

Beneficiary deeds are popular because they offer the simplest way of avoiding the expense and emotional turmoil of court-ordered probate and immediate estate tax payments.

Beneficiary deeds in AZ

Have a question about beneficiary deeds? Contact us now!