Why use a Lady Bird deed?
The primary purpose of a Lady Bird deed and a traditional life estate deed is to avoid having the property go through probate upon the death of the grantor. Additional benefits of a Lady Bird deed include: Being able to sell or mortgage the property, or outright cancel the deed.
What to do with Lady Bird deed after death?
Upon the death of the homeowner, the life estate ends, and the home is automatically transferred to the beneficiary, also called the grantee, remainderman, or the remainder beneficiary. With a standard life estate deed, the life tenant (the homeowner) no longer has full control over his or her home.
Does a lady Bird deed supercede a Will?
The phrase “Lady Bird Deed” is an informal designation that is being used rather loosely. 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.
How does a Lady Bird deed protect a home?
However, lady bird deeds protect one’s home from estate recovery. This is because they allow persons to automatically transfer property (in the case of a Medicaid recipient, their home) upon their death without it going through probate.
Is the Lady Bird deed recognized in five states?
When we say that lady bird deeds are recognized in five states, we are saying that—as a general rule—title insurance companies in those five states will insure title that passes through lady bird deed. Other states will not.
Can a Lady Bird deed be transferred without probate?
A “Lady Bird” deed offers a simple way to transfer real estate at your death, without probate. If you’re shopping around for a way to avoid probate for your house or other real estate, you may run across something called a “Lady Bird” deed. It offers a simple, inexpensive way to transfer real estate at your death, without probate.
Who was the lawyer who created the Lady Bird deed?
According to Texas Tech law professor Gerry Beyer, the Florida lawyer who created the deed in the 1980s used the names of the Johnson family in an example showing how the deed worked—and the name stuck. Need a lawyer? Start here. Please select…