Transfer Upon Death Deeds
Transfer Upon Death Deeds (TODDs) are a wonderful legal device to transfer ownership of real property after death, but recorded during life, without the Medicaid Look Back Period, which otherwise renders Grantor/Transferor ineligible for such federal benefits, typically applicable due to such a valuable transfer of assets.
The Grantor/Transferor can sign, acknowledge and record a TODD without the Grantee/Designated Beneficiary even being aware of such conveyance (unless of course they check the public record). The Designated Beneficiary has nine months from the date of death to disclaim such transfer. Transferor can change their mind during their lifetime, encumber, or fully use the land. Statutorily created in 2014, this is the first new type of deed created in decades, maybe even centuries.
Most personal property, such as bank accounts, IRAs, 401Ks, stocks, vehicles, or other things you can pick up and carry away, can accede to new ownership from Decedent to the life in being by operation of title. Land is the driving force in bringing a typical estate wherein Decedent’s sole, non-designated property, is real property. Probate is costly and problematic. Using a TODD can complete the succession, of all assets, real and personal. Of course a Will or Trust is appropriate to catch anything missed, but those do not always need to be probated or administered, when the careful planner uses the TODD. Please see RCW 64.80 and WAC 458-61A-202 (7).
Thank you, Washington State Legislature!