A family home is often worth far more than its market price. For many Texans, it represents years of memories and a legacy intended for particular loved ones. Without proper legal documents in place, Texas law determines who inherits the property, and those default rules often do not align with the homeowner’s true wishes. At Murray | Lobb Attorneys, our estate planning lawyers help families put the right documents in place.
Use a Transfer on Death Deed (TODD)
A Transfer on Death Deed lets you name who will receive your home when you pass, without the home going through probate. Texas formally adopted the TODD under Texas Estates Code Chapter 114. The deed has to be signed, notarized, and recorded with the county clerk in the county where the property sits before your death. Skipping the recording step makes the deed invalid, no matter how carefully it was drafted.
File a Lady Bird Deed
A Lady Bird Deed, also called an enhanced life estate deed, works similarly to a TODD but gives the owner even more flexibility during their lifetime. You keep the right to sell, mortgage, or change your mind about the beneficiary without that person’s permission. When you die, the property passes automatically to the named beneficiary, avoiding probate and preserving eligibility for certain Medicaid benefits.
Draft a Clear Will
A will remains one of the most reliable methods to make sure your home actually goes to who you want when you die. Writing your will in plain terms, using specific language about the property, reduces the risk of family disputes. A well-drafted will addresses several points:
- Full legal description of the property
- Named beneficiary with clear identification
- Alternate beneficiaries if the primary one predeceases you
- Executor authorized to transfer the deed
- Instructions about mortgage payoff or assumption
- Statement about furnishings and personal property in the home
- Provisions for minor beneficiaries
A will still has to go through probate, which takes time and costs money even when the document is clear. Independent administration, allowed under Texas law, can streamline the process when a will specifically authorizes it.
Use Joint Ownership with Right of Survivorship (JTWROS)
Adding a co-owner with a right of survivorship means the home passes to that person automatically upon your death. Texas does not recognize this form of ownership by default, so the deed has to spell it out clearly:
- Deed language stating “joint tenants with right of survivorship”
- Both owners signing a survivorship agreement
- Recording the deed or agreement with the county clerk
- Equal ownership interests between co-owners
- Coordination with any existing mortgage
- Consideration of gift tax implications
Adding someone to a deed gives them immediate ownership rights, which can backfire if the relationship changes or the co-owner has financial problems. Creditors of the co-owner can sometimes reach the property, so this option works best when the intended beneficiary is a trusted spouse or long-term partner.
Create a Revocable Living Trust
A revocable living trust holds title to the home while you remain in control during your lifetime. At death, the successor trustee transfers the property to the named beneficiary without probate, saving time, preserving privacy, and keeping the transaction out of the public court record.
Maintain Records
Even the best-drafted documents cannot help if no one can find them. Keeping organized records and letting a trusted person know where to look makes a real difference when the time comes to settle an estate:
- Original signed and recorded deeds
- Will and any codicils
- Trust documents and amendments
- Life insurance policies naming the home or beneficiaries
- Mortgage statements and loan documents
- Property tax records
- Homestead exemption paperwork
- Contact information for our attorney and executor
Storing the originals in a fireproof safe or a safe deposit box and giving copies to your chosen beneficiary prevents last-minute scrambling. Reviewing these documents every few years with our estate planning attorneys, or after major life events, keeps everything up to date when it matters most.
Texas Intestacy Laws
If you die without a will or other transfer document, the Texas Estates Code, Chapter 201, determines who inherits the home. Community property passes to a surviving spouse only in specific situations, and separate property can be divided among spouses, children, parents, and siblings in ways most people would never choose for themselves.
Tax and Medicaid Implications
The way you transfer your home can have significant tax consequences and may affect Medicaid eligibility. Gifting property during your lifetime can create federal gift tax reporting requirements and may eliminate the step-up in basis your heirs would otherwise receive at death.
In addition, transfers made within five years of applying for Medicaid may result in a penalty period that delays eligibility. Tools such as Lady Bird Deeds and Transfer on Death Deeds are often used to avoid these issues.
Estate and Inheritance Taxes in Texas
Texas does not impose a state estate tax or an inheritance tax, so heirs receive property free of any state-level death tax. The federal estate tax applies only to estates above $15 million for individuals and $30 million for married couples (2026).
How Our Estate Planning Attorney Can Help
Our lawyers are experienced in Texas real estate and probate law and can translate your intentions into legally effective documents. Careful legal review helps identify issues early, before they turn into costly problems:
- Reviewing your current ownership documents
- Recommending the best transfer method for your situation
- Drafting and notarizing deeds
- Filing paperwork with county clerks
- Coordinating with mortgage lenders
- Updating existing wills and trusts
- Advising on tax and Medicaid implications
- Preparing powers of attorney and related documents
Our firm works with people and families throughout Galveston, Harris, and Fort Bend Counties, and each county has its own filing procedures that can trip up a do-it-yourself plan. Getting the paperwork right the first time saves heirs from years of cleanup later.
Next Steps: Consulting with Our Estate Planning Lawyer
The best time to put your home transfer plan in place is before timing becomes urgent. Life does not always give a warning before change arrives, and unfinished paperwork becomes your family’s problem.
Contact Murray | Lobb Attorneys today. For more than 37 years, we’ve helped Texans put clear plans in writing so homes go where they are meant to go.