Lady Bird Deed

This right to rescind is what distinguishes a Lady Bird Deed from a standard Life Estate Deed.A properly written, signed and filed Enhanced Life Estate Deed does supersede the terms of the owner's Will, so long as the grantor has not exercised the retained right to reclaim ownership while living.

While you can draft a Ladybird Deed on your own, it is always best to have something like this done by an experienced attorney. These are documents that need to be done correctly, or it can create additional issues for your loved ones.

Warranties.A ladybird deed may transfer title with warranties in the deed whereby the grantor warrants that he has full ownership of the property at the time of the conveyance. Quitclaim language, however, could also be used in a ladybird deed, with the seller deeding whatever interest he has to pass at his death.

States That Allow a Lady Bird Deed Lady Bird deeds are currently only authorized in Florida, Michigan, Texas, Vermont, and West Virginia. Approximately half of the U.S. states have what is called a transfer on death (TOD) or beneficiary deed, which is similar to, and may be preferable to, a Lady Bird deed.

In a Florida lady bird deed, a person retains an enhanced life estate in the property while transferring the remainder interest to someone else. In other words, the current owner has the right to stay in the property, while the recipient will own the property upon the owner's death.

A Lady Bird deed avoids probate, so the home is not part of the probate estate and Medicaid cannot go after it.

The date the deed was made; The name of the party granting the life estate and their address; The name of the grantee and their address; The address and a legal description of the property that is subject to the life estate;

A person owns property in a life estate only throughout their lifetime. Beneficiaries cannot sell property in a life estate before the beneficiary's death. One benefit of a life estate is that property can pass when the life tenant dies without being part of the tenant's estate.