Showing posts from January, 2012

New in 2012 - Illinois' Residential Real Estate Transfer on Death Instrument Act

Now that the calendar has turned over to 2012, the new I llinois Residential Real Property Transfer on Death Instrument (TODI) Act , 755 ILCS 27/1 et. seq, (the "Act") has taken effect.  The Act gives Illinois residential property owners a new and useful estate planning tool. What is a TODI?  A TODI is similar to, but distinctive from a deed; it is recorded with the county in which the property is located while the property owner is alive, but that takes effect only upon the death of the owner , as long as certain statutory conditions are met. Why the Act Matters - In Illinois, real property personally owned by a decedent requires a probate action, regardless of the value of the estate.  The TODI gets the property out of probate.  Trust planning can accomplish the same goal but is not typically focused on a specific property.  The TODI is a simpler, more cost-effective mechanism, more tailor-made to accomplish the goal of transferring residential real property outside