In Maryland, a life estate deed is a type of legal agreement that allows a person (known as the life tenant) to own and use a property during their lifetime, while also designating one or more other individuals (known as remaindermen) to receive ownership of the property upon the life tenant’s death.

Under a life estate deed, the life tenant retains the right to use and occupy the property for the rest of their life, but they cannot sell or transfer ownership of the property without the consent of the remaindermen. Once the life tenant passes away, the remaindermen automatically become the owners of the property, without the need for probate.

Life estate deeds can be used for various purposes, such as to transfer ownership of property to family members while also allowing the original owner to retain use of the property during their lifetime. They can also be used to avoid the costs and delays of probate, as ownership of the property passes directly to the remaindermen upon the life tenant’s death. These types of deeds may also be used in Medicaid planning and asset protection planning.

To create a life estate deed in Maryland, the property owner must execute and record a deed that designates themselves as the life tenant and one or more individuals or entities as the remaindermen. It’s important to note that once a life estate deed is created, it can be difficult to change or undo, so it’s important to consult with a qualified attorney before proceeding with this type of legal agreement.

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