New York Transfer on Death Deed Guide

New York now has a statutory Transfer on Death Deed, often called a TOD deed. It lets a property owner name a beneficiary who will receive their real estate when they die, without that property passing through probate. Enacted as Part O of Chapter 56 of the Laws of 2024 (signed April 20, 2024), the law took effect July 19, 2024 and is codified at N.Y. Real Property Law § 424.

This is a new tool in New York. If you have been looking for a simple way to pass a home to a loved one outside of probate, the TOD deed is worth understanding. Here is how it works, how to record it, how to revoke it, and where it fits in your plan.

What Is a Transfer on Death Deed?

A Transfer on Death Deed is a deed you sign and record during your lifetime that names a beneficiary, or more than one beneficiary, to receive your real property when you die. Under N.Y. Real Property Law § 424(10)(a), the deed has no effect on your interest in the property while you are alive. You keep full ownership. You can live in the property, rent it, sell it, mortgage it, or change your mind, all without the beneficiary's consent or knowledge.

At your death, title passes to the named beneficiary outside of probate. The beneficiary does not need to open an estate or wait for a court process for that specific property. The statute calls this a non-testamentary transfer, which means it works like a beneficiary designation rather than a gift made through your will.

Who Can Make a TOD Deed?

New York sets a clear capacity standard. Under § 424(6), the capacity required to make or revoke a Transfer on Death Deed is the same as the capacity required to make a will. If you are competent to sign a will, you are competent to sign a TOD deed.

How to Execute a New York TOD Deed

A New York TOD deed has strict execution rules. All of them come straight from the statute, and missing any one of them can void the deed. Here is what § 424 requires.

Two points deserve extra attention.

The two-witness rule is unusual for a deed. A standard New York property deed does not require witnesses. The TOD deed does. Both witnesses must be present at the same time and must watch you sign. This mirrors the witnessing rules for a New York will, which makes sense because the TOD deed acts like a beneficiary designation that takes effect at death.

Recording before death is mandatory. Under § 424, the deed must be recorded in the county clerk's office before you die. A TOD deed that you sign but never record has no effect. If you pass away before it is recorded, the property will not transfer under the deed and may instead pass through probate or under your will.

How to Record the Deed

You record a TOD deed the same way you record any other deed in New York. You bring or mail the signed, witnessed, and notarized deed to the county clerk's office in the county where the property sits. Recording fees vary by county, so confirm the current fee with your county clerk before you file.

Do not wait. Because recording before death is a hard requirement, sign and record the deed promptly once it is prepared.

The Owner Keeps Full Control

A TOD deed does not tie your hands. Under § 424(10)(a), the deed does not affect your interest or rights in the property during your life. You can:

• Sell the property to someone else (which ends the TOD deed's effect on it)
• Take out a mortgage or home equity loan
• Lease the property
• Record a new TOD deed naming a different beneficiary
• Revoke the deed entirely

The beneficiary has no legal interest in the property while you are alive. Under § 424(11)(a)(2), the beneficiary's interest only takes effect if they survive you. They cannot block a sale, force a refinance, or claim any rights before your death.

How to Revoke a TOD Deed

New York gives you a clear path to revoke. Under § 424(4), the deed is revocable even if it contains language saying otherwise. You cannot waive that right.

Section 424(9) sets out exactly how a revocation works. You revoke a recorded TOD deed by recording one of these documents, signed and acknowledged the same way the original deed was, before your death:

1. A later TOD deed that revokes the earlier one by express statement or that is inconsistent with it
2. A separate revocation instrument that expressly revokes the TOD deed
3. A regular lifetime deed that expressly revokes the TOD deed

One important warning. Under § 424(9), you cannot revoke a TOD deed by physically destroying or marking up the recorded deed. Tearing up your copy does nothing. The revocation must be recorded with the county clerk before death, just like the original.

You also cannot revoke a TOD deed through your will. A later will that leaves the property to someone else does not override a properly recorded TOD deed.

What the Beneficiary Receives

The beneficiary does not get a clean slate. They take the property in whatever condition it is in at your death. Under § 424(11)(b), the beneficiary receives the property subject to all mortgages, liens, encumbrances, and other interests in place when you die. If there is a mortgage on the home, that mortgage stays with the property and the beneficiary must deal with it.

The TOD deed also does not shield the property from your debts. Under § 424(14)(a), if your probate estate does not have enough assets to pay valid creditor claims or statutory family allowances, your estate can reach property that passed by TOD deed to help cover those claims. The deed avoids the probate process for transferring title, but it does not erase what you owe.

Creditors and Medicaid Estate Recovery

Two creditor questions come up most often. Here is what the law says.

Your creditors during life. While you are alive, the property is still yours, so your creditors can pursue it just as they could any property you own. The TOD deed does not protect the property from judgments or liens during your lifetime.

Medicaid estate recovery. New York runs a Medicaid Estate Recovery Program that can seek repayment for long-term care benefits paid to a recipient who was age 55 or older. The authority for that program is N.Y. Social Services Law § 369. The key detail is how New York defines the recoverable "estate." Under § 369(6), "estate" means real and personal property and other assets included in the individual's estate "passing under the terms of a valid will or by intestacy." That is the probate estate. New York has not expanded that definition to reach assets that pass outside of probate.

Because a TOD deed transfers the property outside of probate, the property does not pass by will or by intestacy. Based on the current text of § 369(6), property that transfers under a recorded TOD deed appears to fall outside New York's Medicaid estate recovery reach. One caution keeps this from being airtight: under RPL § 424(14), a TOD-deed property can be reached to satisfy allowed claims against the probate estate for up to 18 months after death when the probate estate runs short, a path a creditor or the State could use. Because the statute is new and largely untested, this is a fact to confirm with an elder law attorney before you rely on it, and Medicaid rules are detailed and can change. If you are receiving or expect to need Medicaid long-term care coverage, talk to an elder law attorney before recording a TOD deed.

Multiple Beneficiaries and What If a Beneficiary Dies First

A TOD deed can name more than one beneficiary. It can also state how they share the property. Spell this out clearly in the deed so there is no confusion later.

Survivorship matters. Under § 424(11)(a)(2), a beneficiary only takes the property if they survive you. If a named beneficiary dies before you do and you have not named an alternate, that person's share does not pass under the deed. To plan for that, name alternate beneficiaries in the deed itself. The deed can say the property goes to your daughter, but if she does not survive you, to your son.

How This Fits Into Your Estate Plan

A TOD deed is a single-purpose tool. It moves one piece of real estate to a named beneficiary outside of probate. It does not handle your bank accounts, your personal property, guardianship of minor children, or who manages your affairs if you become incapacitated.

For most people, the TOD deed works best as one part of a broader plan, not the whole plan. Here is how it connects to the rest:

• You still need a valid New York will to direct everything the deed does not cover and to name an executor and guardians.
• A revocable living trust can hold multiple properties and other assets, give you more control over timing and conditions, and avoid probate more broadly than a single deed.
• If you want to compare the two main probate-avoidance routes, read our guide on wills versus trusts.
• To understand what probate would otherwise involve in New York, see our New York probate guide.
• If you are just getting started, our New York estate planning basics guide walks through the core documents in order.

Who Should Consider a TOD Deed

A New York TOD deed is a good fit for an owner who:

• Holds real estate in their own name and wants one specific person to receive it at death
• Wants a simple, revocable way to keep that property out of probate
• Is comfortable that the beneficiary takes the property subject to any mortgage or liens
• Wants to keep full control of the property during life

It may not be the right tool for an owner who:

• Owns several properties or wants conditions on how property is received (a trust offers more control)
• Has a complex family situation or potential disputes among heirs
• Wants one plan that covers real estate, accounts, and personal property together

The Bottom Line

New York's Transfer on Death Deed, effective July 19, 2024 under N.Y. Real Property Law § 424, gives property owners a clean way to pass a home to a chosen beneficiary outside of probate. To work, the deed must be signed, witnessed by two people present at the same time, acknowledged before a notary, and recorded with the county clerk before you die. You keep full control during your life, and you can revoke the deed at any time by recording a proper revocation. The beneficiary takes the property subject to existing mortgages and liens, and the deed does not protect against your creditors. Because the law is recent, have a New York attorney prepare or review your deed so it meets every requirement.

Official Sources

• "N.Y. Real Property Law § 424, Transfer on Death Deed," New York State Legislature, https://www.nysenate.gov/legislation/laws/RPP/424
• "N.Y. Social Services Law § 369, Recovery and Adjustment of Medical Assistance," New York State Legislature, https://www.nysenate.gov/legislation/laws/SOS/369
• "Chapter 56 of the Laws of 2024 (S8306-C / A8806), Part O, enacting the Transfer on Death Deed," New York State Senate, https://www.nysenate.gov/legislation/bills/2023/S8306

Sources

• "N.Y. Real Property Law § 424, Transfer on Death Deed," New York State Legislature, https://www.nysenate.gov/legislation/laws/RPP/424
• "N.Y. Social Services Law § 369, Recovery and Adjustment of Medical Assistance," New York State Legislature, https://www.nysenate.gov/legislation/laws/SOS/369
• "Chapter 56 of the Laws of 2024 (S8306-C / A8806), Part O, enacting the Transfer on Death Deed," New York State Senate, https://www.nysenate.gov/legislation/bills/2023/S8306

This guide is general information, not legal advice. Consult a qualified attorney about your situation. It is not legal advice.