As a real estate owner, it’s important to consider what will happen to your property (or properties) upon your death. With the right approach, you can ensure that it doesn’t go through probate, which saves your beneficiary both time and money.
A Lady Bird deed is one of the most efficient and inexpensive ways to transfer real estate at your death, without probate.
With this, you name a beneficiary to receive your home when you die. However, you retain full control over the real estate during your lifetime.
Isn’t this the same as a basic life estate deed? While it appears identical, there’s one key difference. With a Lady Bird deed, you retain the power to alter or revoke your deed at any point.
Other reasons to consider this type of deed include:
- Maintain the right to sell your property at any time
- Avoid jeopardizing your eligibility for Medicaid
- Avoid making a gift that could be subject to federal tax
As you learn more about adding a Lady Bird deed to your estate plan, it’s important to compare it to similar options. These include but are not necessarily limited to a life estate deed and quitclaim deed.
Is Your Lady Bird Deed Valid?
With so many benefits, you may want to consider creating a Lady Bird deed. But don’t get ahead of yourself. It’s critical that you take steps to ensure that it’s legal. It must include:
- Enhanced life estate
- Remainder beneficiary
- Legal description
- Homestead provision
For many people, this kind of deed is the perfect addition to their estate plan. If you own any type of real estate, now’s the time to consider this option. Contact our law firm online or via phone at (817) 899-3286 for more information and to schedule a consultation with one of our estate planning attorneys.
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