Lady Bird Deed Form

A lady bird deed, also known as an “enhanced life estate deed,” is a document used for transferring ownership in real estate to a beneficiary/grantee upon the owner’s death. One of the primary features of this deed is that the owner retains all ownership rights over the property, allowing them to sell, mortgage, or lease the property as they see fit. For the five (5) states that permit Lady Bird Deeds (see below), they can be a useful and straightforward means of ensuring property is handled appropriately after death.

Transfer on Death Deed: An alternative to a Lady Bird Deed that is offered in twenty-nine (29) states.

By State (5)

Contents

What is a Lady Bird Deed?

A ladybird deed is a legal document used for passing down property without requiring the beneficiary (grantee) to go through probate. As a type of estate planning tool, it is commonly used in conjunction with wills, revocable trusts, and other forms.

It can also be referred to as an “enhanced life estate deed,” where the “life estate” portion refers to the fact that the deed doesn’t alter the owner’s possession of the property in any manner while they are alive.

Advantages

• Circumvents probate . Because the property is transferred immediately after the owner’s death, the property effectively “skips” the probate process. While there may still be a probate process to distribute other assets of the owner’s estate, they can rest easy knowing the real estate indicated in the lady bird deed won’t be involved.
• Owner retains power over theproperty. Should the owner want to sell or rent out the property, they can do so freely. The owner does not need to receive permission from the beneficiary named in the deed.
• Avoids Medicaid estate recovery. Because a lady bird deed skips the probate process, it also avoids any claims made by the state to attempt to collect money owed for Medicaid treatment the owner may have received.

Disadvantages

• Only covers real property. The convenience provided by the form only applies to real estate. Any other assets owned by the grantor must be passed down by using traditional tools such as a will or trust.
• Can cause issues for multiplebeneficiaries. Once the property has been conveyed to the beneficiaries, all would need to be in agreement in order to dispose of the property. If the beneficiaries get along well, this issue is negligible.

Sample

Prepared By:
Name: [PREPARER NAME]
Address: [PREPARER ADDRESS]

After Recording Return To:
Name: [RECIPIENT NAME]
Address: [RECIPIENT ADDRESS]

Space above this line for recorder’s use only

LADY BIRD DEED

STATE OF [STATE NAME]
COUNTY OF [COUNTY NAME]

This Lady Bird Deed, made this [MM/DD/YYYY] is by and between

[GRANTOR NAME(S)] , whose address is
[GRANTOR ADDRESS] (hereinafter known as the “Grantor(s)”), and

[GRANTEE NAME(S)] , whose address is
[GRANTEE ADDRESS] (hereinafter called the “Grantee(s)”).

For good and valuable consideration paid by the Grantee(s), the receipt of which is hereby acknowledged, the Grantor(s) does transfer and convey the following described property to the Grantee(s) effective upon the death of the Grantor(s), situated in [STATE NAME] County, [COUNTY NAME] , to-wit:

[ENTER THE PROPERTY’S LEGAL DESCRIPTION HERE, OR ATTACH EXHIBIT A] .

The Grantor(s) reserves a life estate for himself/herself/themselves during the Grantor(s) lifetime, coupled with an unrestricted power to convey during the Grantor(s) lifetime, which includes the power to sell, gift, mortgage, lease and otherwise dispose of the property and to retain the proceeds from the conveyance.

IN WITNESS WHEREOF, the Grantor(s) has executed and delivered this Lady Bird Deed under seal as of the day and year first above written.

Grantor’s Signature: _____________________________
Grantor’s Name: [GRANTOR NAME]
Street Address: [GRANTOR STREET ADDRESS]
City, State, & ZIP: [GRANTOR CITY, STATE, ZIP]

Grantor’s Signature: _____________________________
Grantor’s Name: [GRANTOR NAME]
Street Address: [GRANTOR STREET ADDRESS]
City, State, & ZIP: [GRANTOR CITY, STATE, ZIP]

Witness’s Signature: _____________________________
Witness’s Name: [WITNESS NAME]
Street Address: [WITNESS STREET ADDRESS]
City, State & ZIP: [WITNESS CITY, STATE, ZIP]

Witness’s Signature: _____________________________
Witness’s Name: [WITNESS NAME]
Street Address: [WITNESS STREET ADDRESS]
City, State & ZIP: [WITNESS CITY, STATE, ZIP]

STATE OF [NOTARY: STATE]
COUNTY OF [NOTARY: COUNTY]

I, the undersigned, a Notary Public in and for said County, in said State, hereby certify that [NOTARY: GRANTOR(S)] whose names are signed to the foregoing instrument, and who is known to me, acknowledged before me on this day that, being informed of the contents of the instrument, they, executed the same voluntarily on the day the same bears date.

Given under my hand this [MM/DD/YYYY] .

_____________________________
Notary Public

My Commission Expires: ________________