Detailed Answer: Determining When a Transferred Vehicle Is Estate Property in Maryland
Under Maryland law, whether a vehicle transfers as estate property depends on how the title is held at the time of death and applicable statutory procedures. Below are key factors and relevant statutes.
1. Title Ownership Type
Review the vehicle’s title. Common title types include:
- Sole Ownership: If the decedent is the sole named owner without a beneficiary, the vehicle becomes part of the probate estate.
- Joint Tenancy with Right of Survivorship: If co-owned with survivorship rights, the vehicle automatically passes to the surviving co-owner and does not enter probate.
- Tenancy in Common: Each owner holds a separate share. The decedent’s share enters probate.
2. Transfer on Death (TOD) Beneficiary Designation
Maryland allows a “Transfer on Death” designation on the vehicle title. If a beneficiary is named:
- The beneficiary succeeds to the vehicle outside probate.
- To retitle, the beneficiary must file the original title certificate, a certified death certificate, and an affidavit with the MVA under Transportation § 13-611.
3. Probate Administration vs. Small Estate Procedure
If no joint owner or TOD beneficiary exists, the vehicle is estate property and must pass through probate or a small estate process:
- Small Estate Affidavit: For personal property under $50,000 (including vehicles), use the small estate affidavit under Estates & Trusts § 7-401. Submit the affidavit, title, and death certificate to the MVA.
- Formal Administration: Estates over $50,000 require letters of administration or testamentary from the register of wills before retitling.
4. Retitling Steps
- Obtain a certified death certificate from the register of deaths.
- Determine if a small estate affidavit or letters of administration are needed.
- Complete the MVA form for ownership transfer.
- Submit required documents (title, death certificate, affidavits or letters).
- Pay title transfer and registration fees.
Helpful Hints
- Keep the original vehicle title safe and accessible.
- Check for a TOD designation before initiating probate.
- Review the decedent’s will for specific vehicle bequests.
- Consult the MVA’s customer service for updated forms and fees.
- When in doubt, seek guidance from a Maryland probate attorney.