House of Representatives

HB 2280

deed effective on owner's death

Sponsors: Representatives Voss, Brotherton, Senator Richardson: et al

DPA	Committee on Judiciary
DPA	Caucus and COW
X	As Transmitted to Governor

HB 2280 adds a provision to Arizona property law that allows a deed to become effective upon the death of the grantor.

History

Current law provides for two methods of conveyance of a property interest upon a person’s death. One is joint tenancy with right of survivorship, which grants the surviving tenant sole interest in the property upon the other tenant’s death. The other is conveyance of property to a beneficiary through a decedent’s will.

Provisions

· Exempts beneficiary deeds from the requirement of filing an affidavit of value with the county recorder.

· States that a deed that expressly states that it is not to take effect until the death of the owner transfers the interest to the designated grantee upon the death of the owner.

· Specifies that the beneficiary may be more than one person, or a successor grantee to whom the original beneficiary’s interest would transfer if the beneficiary were unable to assume ownership. Requires that a grant to a successor specify the condition on which the interest of the successor would vest.

· Allows all surviving joint tenant owners of real property to convey an interest in the real property if the deed expressly states that it is not effective until the death of the last surviving owner.

· Clarifies that a beneficiary deed will be valid, even if executed by fewer than all of the owners, if the last surviving owner is one who executed the beneficiary deed.

· Sets forth requirements for the beneficiary deed to be valid. Specifies that the deed may be used to transfer an interest in real property to a trust estate even if the trust is revocable.

· Provides that the beneficiary deed is revocable at any time by the owner or any of the owners and sets out procedure to revoke the deed. The revocation is not effective if the last surviving owner executed the beneficiary deed but did not revoke the beneficiary deed.

· If an owner executes and records more than one beneficiary deed, the last one recorded is the effective deed.

· Specifies that this section does not prohibit other methods of property conveyance upon the owner’s death, nor does it invalidate any deed otherwise effective by law to convey title.

· Defines beneficiary deed.

· Provides formats for the beneficiary deed and revocation.

· Specifies that until the county assessor receives notice of the owner’s death and the beneficiary’s address, mailing an annual notice of full cash value to the owner’s address is sufficient notice to the beneficiary of the deed.

·

·

· ---------- DOCUMENT FOOTER ---------

· 44th Legislature

· Second Regular Session 2 April 9, 2001

·

· ---------- DOCUMENT FOOTER ---------