This bill introduces the Uniform Real Property Transfer on Death Act in Iowa, which allows individuals to create a transfer on death (TOD) deed for the transfer of real property to designated beneficiaries upon the transferor's death, thereby avoiding the probate process. Key definitions are provided, including "beneficiary," "designated beneficiary," and "transferor." The bill stipulates that a TOD deed must be recorded before the transferor's death to be valid, and it is revocable, ensuring that the transferor retains full rights to the property during their lifetime. The legislation clarifies that the TOD deed is nontestamentary, meaning it does not function as a will, and requires the same legal capacity for creation or revocation as a will.

Furthermore, the bill establishes that a TOD deed is irrevocable unless an inconsistent deed or explicit revocation is recorded. It ensures that the deed does not create any legal interest for the beneficiary until the transferor's death and protects the property from the beneficiary's creditors during the transferor's lifetime. Upon the transferor's death, the property is transferred to the designated beneficiary if they are alive, with provisions for disclaimers of interest and enforcement of claims against the property if necessary. The bill also includes optional forms for creating and revoking TOD deeds and makes conforming changes to existing laws to ensure consistency with these new provisions.

Statutes affected:
Introduced: 633.238