Nevada’s Deed on Death statute provides for the transfer of your real property after you pass away using a special type of deed that is recorded in the county recorder’s office. Many people utilize this statute when they have a small estate and choose not to create a living trust along with their will. Recent amendments to the statute in 2021 have improved and streamlined the process. This is how it works:
The owner of real estate, as Grantor, prepares a Deed on Death and records it in the county recorder’s office where the property is located. The Deed provides that upon the death of the Grantor, the property passes to the beneficiary named in the Deed. There may be more than one beneficiary. The Grantor maintains full ownership and control during his or her lifetime and can revoke the Deed on Death at any time. Revocation must be in writing and recorded in the county recorder’s office. A Deed on Death does not encumber the Grantor’s property nor convey ownership to the beneficiary during Grantor’s lifetime.
When the Grantor passes away, an Affidavit of Death of Grantor is prepared and recorded, along with Grantor’s Death Certificate. Under the new law, no transfer tax is collected. The new law also requires a 90-day Notice to Creditors to be published in the local newspaper, and a copy of the Notice must be mailed to known creditors and the Department of Health and Human Services. If no creditors come forward during the 90-day period, their claims are forever barred, and the beneficiary is free to sell the property if they so desire. The Personal Representative is not required to file a petition for probate of the property and no court supervision is required.
If you are considering using a Deed on Death as opposed to creating a living trust in order to avoid probate, you should seek legal advice first. Using the new process is fairly simple and inexpensive, but a good lawyer can help you understand the differences between a Deed on Death and a living trust, the pros and cons of each, and then help you decide what works best for you based on your particular situation.
Interested in learning more? Give me a call at 775-392-4223 or email me at feedback@dterralaw.com.
NOTICE: Information pertains to Nevada law only. Review and/or written responses to content posted in this Law Blog does not create an attorney-client relationship with any attorney employed by D’terra Law, LLC. Copyright©️ 2022 D'terra Law, LLC.