HOW DOES MARYLAND’S NEW
TRANSFER-ON-DEATH DEED WORK?
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TESSA HALL
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NICOLE LIVINGSTON
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About This Episode
Beginning October 1, 2026, Maryland homeowners will have a new estate-planning option for transferring real estate after death: the transfer-on-death deed.
In this episode of Healthy, Wealthy & Wise, Tessa Hall speaks with estate planning attorney Nicole Livingston about how Maryland’s new transfer-on-death deed works, how it may help homeowners avoid probate, and some of the complications homeowners should understand before using one. Nicole discusses multiple beneficiaries, conflicts between a deed and a will, Medicaid liens, and how transfer-on-death deeds compare with life estate deeds and revocable trusts.
The new option may appear straightforward, but decisions involving real estate and estate planning can have consequences that extend well beyond completing a form.
Explore how BWFA can help you plan for your financial future by visiting our Financial Planning page.
Frequently Asked Questions About Maryland Transfer-on-Death Deeds
What is a transfer-on-death deed in Maryland?
A transfer-on-death deed allows a Maryland homeowner to designate a beneficiary who will receive the property after the homeowner’s death without the property passing through probate. The new Maryland law takes effect on October 1, 2026. Nicole explains that estate planning attorneys have previously used tools such as life estate deeds and revocable trusts to accomplish similar probate-avoidance goals.
What happens if you name multiple beneficiaries?
Naming multiple beneficiaries may create complications for ownership and estate planning. Nicole explains that under the new Maryland statute, beneficiaries named without additional ownership language default to joint ownership with rights of survivorship. That distinction can affect what happens if one beneficiary dies before the homeowner and may produce a different result than the homeowner intended.
Does the deed override a will in Maryland?
Yes. According to Nicole, the deed controls the transfer of the property even when a will provides different instructions. For example, a will might divide an estate equally between two children while the deed names only one child as beneficiary of the home. In that situation, Nicole explains that the beneficiary named on the deed receives the property.
How could this new option affect Medicaid planning?
The new deed can interact with Medicaid and estate recovery rules, so homeowners should consider those consequences before using one. Nicole explains that the arrangement does not prevent Maryland from enforcing an applicable Medicaid estate recovery lien against the property. The appropriate strategy may depend on the homeowner’s circumstances, marital status, and long-term care planning.
Should you prepare the deed without an attorney?
Although Maryland’s new law is intended to make the process accessible to people without an attorney, mistakes can have significant consequences. Nicole identifies incorrectly describing the property and misunderstanding the effects of naming multiple beneficiaries as two potential problems. Because a home is often a substantial asset, she recommends seeking legal assistance before preparing the deed.