What is a beneficiary deed in Arizona?

Question

Accepted Answer

A beneficiary deed in Arizona is a deed that conveys an interest in real property (including any debt secured by a lien on real property) to a grantee beneficiary designated by the owner and expressly states that it is effective on the owner's death; it transfers the interest to the designated beneficiary effective on the owner's death, subject to all conveyances, assignments, contracts, mortgages, deeds of trust, liens, security pledges and other encumbrances made by the owner, or to which the owner was subject, during the owner's lifetime . The deed is revocable at any time by the owner — or, if there is more than one owner, by any of the owners who executed it — and a revocation is effective only if executed and recorded in the office of the county recorder where the property is located before the death of the owner who executes it . A beneficiary deed is valid only if it is executed and recorded as provided by law in the office of the county recorder of the county in which the property is located before the death of the owner (or the last surviving owner) .

The statute also provides that:

- It may designate multiple grantees (as joint tenants with right of survivorship, tenants in common, community property, community property with right of survivorship, or any other valid tenancy), and unless the deed provides otherwise the conveyed interest is the grantee beneficiary's separate property, not community property .
- It may designate a successor grantee beneficiary, stating the condition on which the successor's interest would vest .
- The grantee beneficiary's signature, consent, agreement, or notice is not required during the owner's lifetime .
- A properly executed, acknowledged, and recorded beneficiary deed is not revoked by the provisions of a will .
- If more than one beneficiary deed is executed and recorded for the same property, the last beneficiary deed recorded before the owner's death controls .
- The statute provides a sufficient statutory form for both the beneficiary deed and the instrument of revocation .

The statute defines "beneficiary deed" simply as a deed authorized under A.R.S. § 33-405 and "owner" as any person who executes a beneficiary deed as provided in that section .