Indiana Transfer-on-Death Deed

At a glance

How the deed works

Indiana authorizes a transfer on death deed for real property under the Transfer on Death Property Act, Ind. Code § 32-17-14. A TOD deed transfers the owner's interest to the designated beneficiary at the owner's death and, under IC § 32-17-14-11, transfers that interest only if it is executed by the owner (or the owner's legal representative) and recorded, in the county where the real property is located, before the owner's death.

The statute is emphatic that a transfer on death deed is void if it is not recorded before the owner's death (IC § 32-17-14-11). A beneficiary designation must be in writing, signed and dated by the owner, and — for a TOD deed — must satisfy the requirements for recording deeds (IC § 32-17-14-4). No consideration is required and the deed need not be delivered to the beneficiary. The beneficiary has no interest until the owner dies, so the owner may sell, mortgage, or otherwise deal with the property freely during life.

A recording note: the endorsement of the county auditor (per IC 36-2-11-14 and IC 36-2-9-18) is needed to record a TOD deed under this section. This should be confirmed with the county recorder/auditor and, ideally, an attorney licensed in Indiana, because recording requirements have been updated over time.

Recording & execution requirements

A transfer-on-death deed only works if it is executed and recorded correctly. In Indiana:

• Recording before death: Must be recorded before the owner's death (void otherwise).
• Governing statute: Ind. Code § 32-17-14 Ind. Code ch. 32-17-14 — Transfer on Death Property Act · Transfer on Death Property Act, IC 32-17-14.

Changing or revoking the deed

A TOD deed is revocable during the owner's life. Under IC § 32-17-14-16, the owner may change or revoke a beneficiary designation; a subsequent beneficiary designation revokes a prior one unless it expressly provides otherwise, and any change is effective only through a properly executed and recorded instrument during life.

Where the property is owned by joint owners with right of survivorship, a revocation or change of the beneficiary designation must be made with the agreement of each living owner (IC § 32-17-14-16). A TOD deed cannot be revoked by will.

Mortgages, Medicaid & community property

Existing mortgages and liens

A beneficiary who receives Indiana real property through a TOD deed takes it subject to any mortgages, liens, and other encumbrances existing at the owner's death. The deed passes only the owner's interest and does not discharge secured debts.

Medicaid estate recovery

An Indiana TOD deed keeps the owner as full owner during life, so creating one is generally not a disqualifying transfer, but Medicaid estate recovery after the owner's death is a serious, fact-specific concern. Confirm any plan with the Indiana Family and Social services Administration (which administers Medicaid) and an attorney or elder-law professional licensed in Indiana; this record does not assert a specific post-death recovery scope.

Community property

Indiana is a common-law (separate-property) state. Indiana is a common-law (non-community-property) state, so there is no community-property survivorship regime to reconcile. For jointly owned property, note that Indiana's statute requires each living joint owner's agreement to change the beneficiary designation, and a surviving joint tenant's right of survivorship generally takes precedence over a TOD beneficiary — so title form and the TOD deed should be coordinated.

State-specific quirks

Where to read next

• Indiana estate & inheritance tax — whether Indiana taxes what you leave behind, and the small-estate probate ceiling, each figure cited to the statute.
• The Executor & Heir’s Guide — the probate deadlines for Indiana, cited to the controlling statute.
• Funding a revocable trust — a common way to keep many kinds of property out of probate.
• ← Back to the transfer-on-death deed comparison

Sources & methodology