By Mark B. Zinman | Zona Law
Question: What is a beneficiary deed?
Answer: A beneficiary deed is a deed that transfers title to a recipient upon the death of a grantor, without the need to go through probate court. As soon as the grantor passes away, the beneficiary deed becomes effective, and the grantee becomes the owner of the property. It’s important to note that for a beneficiary deed to be valid, it must be recorded before the grantor dies. Further, a beneficiary deed is revocable at any time by the grantor. Some people use such a document to avoid real property going through probate, but we can’t advise on that as we don’t practice in estate planning or taxes. Therefore, make sure you speak to an estate-planning attorney and a CPA before making any estate planning decisions.