A Transfer on Death Deed is a powerful estate planning tool that allows property owners to pass real estate directly to beneficiaries without the need for probate. In this blog post, I’ll explore what a TOD deed is, how it works, when it’s helpful, and — most importantly — why you are probably better off using the probate process in Washington State
The estate planning process is more complicated if you own real estate in different states because each state’s probate court only has authority over property located in their own state. Thus, if you are a Washington State resident and own a home here, a Washington State probate court can oversee that property’s transfer to your heirs, but it can’t do anything about your timeshare in Hawaii or your mountain vacation home in Colorado. The properties in those states will have to go through an ancillary probate process in the states where they are located. Your personal representative may have to travel there, and you’ll probably need a lawyer in each state.
Real estate is more than just your primary residence. It can include other real estate such as a vacation home or a rental property. Depending upon the type of real estate you own, the ideal form of ownership can vary. Below, we take a look at the different types of real estate and make suggestions about the best form of ownership for each.
