Transfer-on-Death Deed

TRANSFER-ON-DEATH DEED — SOUTH CAROLINA

!! IMPORTANT: TOD DEEDS FOR REAL PROPERTY ARE NOT AUTHORIZED IN SOUTH CAROLINA !!

TABLE OF CONTENTS

1. Notice Regarding TOD Deed Unavailability
2. Current South Carolina Law
3. Available Alternatives for Nonprobate Real Property Transfer
4. Comparison of Alternatives
5. Recommended Next Steps
6. Sources and References

1. NOTICE REGARDING TOD DEED UNAVAILABILITY {#1-notice}

2. CURRENT SOUTH CAROLINA LAW {#2-current-law}

2.1 Limited TOD Designations

South Carolina permits TOD designations only for the following asset types:

• Motor vehicles, boats, and mobile homes — Effective October 22, 2024, S.C. Code Ann. § 56-19-480 permits TOD designations on titled personal property through the South Carolina Department of Motor Vehicles.
• Securities and financial accounts — S.C. Code Ann. § 35-6-10 et seq. (Uniform TOD Security Registration Act) permits beneficiary designations on securities, brokerage accounts, and similar financial instruments.

2.2 Real Property Transfers at Death

Under South Carolina law, real property must transfer at death through one of the following mechanisms:

• Probate — Administration of the decedent's estate through the Probate Court
• Revocable living trust — Property held in trust passes per trust terms without probate
• Joint tenancy with right of survivorship — Property passes to surviving co-owner(s) by operation of law
• Life estate deed — Remainder interest vests in the named remainderman at the life tenant's death

3. AVAILABLE ALTERNATIVES FOR NONPROBATE REAL PROPERTY TRANSFER {#3-alternatives}

Alternative A: Revocable Living Trust

Key Features:

• ☐ Property is deeded to the trust during the grantor's lifetime
• ☐ Grantor serves as trustee and retains full control
• ☐ Trust terms dictate distribution at death — no probate required
• ☐ Fully revocable and amendable during the grantor's lifetime
• ☐ Provides privacy (trusts are not public record)

Statutory Basis: S.C. Code Ann. § 62-7-101 et seq. (South Carolina Trust Code)

Alternative B: Joint Tenancy with Right of Survivorship

Key Features:

• ☐ Property passes automatically to the surviving joint tenant at death
• ☐ No probate required for the transfer
• ☐ Co-owner acquires a present interest in the property immediately
• ☐ Cannot be revoked unilaterally without the co-owner's consent
• ☐ Potential gift tax consequences upon creation

Statutory Basis: S.C. Code Ann. § 27-7-40 (joint tenancy creation requirements)

Alternative C: Life Estate Deed with Remainder

Key Features:

• ☐ Grantor retains a life estate (right to use and occupy during life)
• ☐ Remainder interest vests in the named beneficiary at creation
• ☐ Property passes to the remainderman at death without probate
• ☐ Generally irrevocable — both parties must agree to sell or encumber
• ☐ Remainderman has a present property interest and potential creditor exposure

Alternative D: Simplified Probate (Small Estate Affidavit)

Key Features:

• ☐ South Carolina permits simplified probate for estates under certain thresholds
• ☐ May streamline the transfer process for modest estates
• ☐ Still requires court involvement
• ☐ Statutory framework: S.C. Code Ann. § 62-3-1201 et seq.

4. COMPARISON OF ALTERNATIVES {#4-comparison}

*Requires consent of co-owner or remainderman to modify.

5. RECOMMENDED NEXT STEPS {#5-next-steps}

If you are a South Carolina property owner seeking to transfer real property outside of probate, consider the following steps:

☐ Consult with a licensed South Carolina estate planning attorney
☐ Evaluate which alternative best fits your goals and family circumstances
☐ Consider the tax implications of each option (income tax, gift tax, property tax)
☐ Review the impact on Medicaid eligibility and asset protection
☐ Ensure any deed or trust instrument is properly drafted, executed, and recorded

6. SOURCES AND REFERENCES {#6-sources}

• S.C. Code Ann. § 56-19-480 (TOD for titled personal property)
• S.C. Code Ann. § 35-6-10 et seq. (Uniform TOD Security Registration Act)
• S.C. Code Ann. § 62-7-101 et seq. (South Carolina Trust Code)
• S.C. Code Ann. § 27-7-40 (Joint tenancy)
• S.C. Code Ann. § 62-3-1201 et seq. (Small estates)
• Uniform Real Property Transfer on Death Act (not adopted in South Carolina)

This template is provided for informational purposes only and does not constitute legal advice. South Carolina does not authorize transfer-on-death deeds for real property. Consult a licensed South Carolina attorney for guidance on nonprobate transfer alternatives.