How a Transfer on Death Deed Works in Ohio

Ohio no longer recognizes transfer on death deeds, having replaced them in 2009 with a transfer on death designation affidavit. This change in state law allows property owners to pass real estate directly to beneficiaries without probate, as long as the affidavit is properly recorded during the owner’s lifetime. The document remains fully revocable and does not affect ownership rights while the owner is living.

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How the Transfer on Death Process Works in Ohio

In Ohio, the transfer on death process begins with the property owner completing a transfer on death designation affidavit. This legal document names one or more beneficiaries who will receive the property upon the owner’s death. The affidavit must include a proper legal description of the real estate and be signed, notarized and filed with the county recorder in the county where the property is located.

Until the owner’s death, the beneficiary has no legal interest in the property. The owner retains full control and may revoke or amend the affidavit at any time by recording a new one. The designation does not limit the owner’s ability to sell or mortgage the property.

After the owner’s death, the named beneficiary must submit a certified copy of the death certificate to the county recorder. Once recorded, the property passes to the beneficiary without going through probate. However, the beneficiary may still be responsible for any debts or liens attached to the property.

The process provides a way to transfer real estate efficiently while allowing the owner to retain full rights during life. It’s commonly used as part of a broader estate planning strategy to simplify property transfers.

Eliminating Transfer on Death Deeds (TODDs)

Before 2009, Ohio used transfer on death deeds (TODDs) to pass real estate directly to beneficiaries outside of probate. These deeds allowed property owners to name a beneficiary in the deed itself, with the transfer taking effect upon the owner’s death.

While TOODs served a similar purpose compared to affidavits, they often caused confusion because they appeared to grant an immediate interest in the property. This led to legal ambiguity about the beneficiary’s rights and whether the deed could be revoked. To address these issues, Ohio replaced the process with the transfer on death designation affidavit, which more clearly separates lifetime ownership from post-death transfer.

Benefits of Filing a Transfer on Death Designation Affidavit in Ohio

A transfer on death deed in Ohio can help avoid probate.

In Ohio, a transfer on death designation affidavit offers a potential advantage: avoidance of the probate process. Traditionally, when a property owner passes away, their estate undergoes probate — a judicial procedure where assets are allocated as per the will or state law. Ohio’s transfer on death designation affidavit, when executed correctly, enables the immediate transfer of property to a designated beneficiary when the owner dies, bypassing this often protracted and expensive legal process.

Moreover, these affidavits confer substantial control and flexibility to property owners in Ohio. The document is revocable, allowing it to be amended at any time during the owner’s life, provided they possess the mental capacity to do so.

Circumstances and intentions are subject to change, and a transfer on death designation affidavit can be altered to reflect these changes. Additionally, because the transfer of ownership is deferred until death, the owner retains the ability to use, lease or dispose of the property freely during their lifetime.

Requirements for a Valid Affidavit in Ohio

A transfer on death designation affidavit must contain several key elements to be effective. First, it must clearly identify the property by providing a legal description of it. The document must name one or more beneficiaries who will inherit the property after the owner’s death. It also requires the owner’s signature, along with notarization to confirm its authenticity.

Once signed and notarized, the affidavit must be recorded in the office of the county recorder where the property is located. Recording while the owner is alive is necessary; an unrecorded affidavit holds no legal effect. Recording creates a public record of the intended transfer, ensuring transparency and preventing competing claims.

Beneficiaries have no ownership interest until after the owner’s death, preserving the owner’s full control. Finally, after the owner’s death, a certified copy of the death certificate must be submitted to the county recorder to complete the transfer.

While following these steps is essential, it’s important to note that it does not guarantee the absence of legal challenges or other estate issues. You may want to consult with an attorney to make sure that your affidavit is valid.

Bottom Line

A senior couple reviewing a transfer on death deed (TODD).

Ohio’s current approach to transferring real estate at death offers a way to keep property out of probate while giving owners the freedom to manage or update their plans. By using a recorded affidavit, individuals can name beneficiaries without giving up control during their lifetime. The process is straightforward, but accuracy and proper filing are key.

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