LADY BIRD DEED

(Enhanced Life Estate Deed)

IMPORTANT STATE LIMITATIONS

A Lady Bird Deed (Enhanced Life Estate Deed) is ONLY recognized in the following states:

• Florida
• Texas
• Michigan
• Vermont
• West Virginia

If the property is located in ANY OTHER STATE, do NOT use this deed. A traditional life estate deed or trust may be more appropriate.

WHAT IS A LADY BIRD DEED?

A Lady Bird Deed (also known as an "Enhanced Life Estate Deed" or "Lady Bird Trust Deed") is a special type of deed that:

1. Transfers property upon death without probate
2. Retains full control for the grantor during lifetime, including the right to:
   - Sell the property
   - Mortgage the property
   - Lease the property
   - Revoke the deed and change beneficiaries
3. Avoids Medicaid estate recovery in most states that recognize it
4. May provide a stepped-up tax basis upon the grantor's death
5. Does NOT trigger Medicaid lookback penalties in most interpretations (because the grantor retains full control)

DEED FORM

Recording Information:

After Recording, Return To:
_______________________________________________
_______________________________________________
_______________________________________________

Property Tax Parcel Number: _______________________________________________

ENHANCED LIFE ESTATE DEED

(Lady Bird Deed)

THIS DEED is made and entered into as of the ___ day of _____________, 20___.

GRANTOR (LIFE TENANT):

Name(s): _______________________________________________

Address: _______________________________________________

Marital Status: _______________________________________________

GRANTEE (REMAINDERMAN):

Name(s): _______________________________________________

Address: _______________________________________________

Relationship to Grantor: _______________________________________________

GRANTING CLAUSE

FOR AND IN CONSIDERATION of Ten Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the undersigned GRANTOR does hereby GRANT, BARGAIN, SELL, CONVEY, AND CONFIRM unto:

GRANTOR, as to an enhanced life estate, with full power and authority in the Grantor to sell, convey, mortgage, lease, or otherwise manage and dispose of the property described herein, in fee simple, without joinder of the remainderman and without joinder of any other person, with the remainder to:

[REMAINDERMAN NAME(S)]

upon the death of the Grantor, in fee simple absolute.

LEGAL DESCRIPTION

Street Address: _______________________________________________

County: _______________________________________________

State: _______________________________________________

Legal Description:

_______________________________________________
_______________________________________________
_______________________________________________
_______________________________________________
_______________________________________________
_______________________________________________

Property Identification Number / Tax Parcel ID: _______________________________________________

ENHANCED LIFE ESTATE PROVISIONS

Retained Powers of Grantor

The Grantor expressly reserves and retains the following powers during the Grantor's lifetime, which may be exercised without the joinder, consent, or agreement of the Remainderman:

1. Power to Sell: The Grantor may sell, convey, or transfer the Property to any person for any consideration, and to retain all proceeds from such sale.

2. Power to Mortgage: The Grantor may mortgage, encumber, or pledge the Property as security for any debt or obligation.

3. Power to Lease: The Grantor may lease the Property for any term, including a term extending beyond the Grantor's lifetime.

4. Power to Revoke: The Grantor may revoke, modify, or amend this deed at any time, including the right to change the designated Remainderman.

5. Power to Manage: The Grantor may manage, control, and make all decisions regarding the Property.

6. Right to Proceeds: The Grantor is entitled to receive all rents, profits, and income from the Property, and all proceeds from any sale, mortgage, or lease.

7. Right to Possession: The Grantor has the exclusive right to possess, occupy, and use the Property.

Effect of Reserved Powers

The reservation of these powers is intended to and shall:

1. Make this a revocable transfer that does not take effect until the Grantor's death;
2. Preserve the Property as the Grantor's homestead (if applicable);
3. Allow the Grantor to retain full control of the Property during lifetime;
4. Avoid the need for any consent or joinder of the Remainderman for any transaction;
5. Comply with state law regarding enhanced life estate deeds.

REMAINDER INTEREST

Nature of Remainder

The remainder interest granted to the Remainderman is subject to divestment by the Grantor's exercise of any of the reserved powers set forth above. The Remainderman's interest shall vest in possession only upon the death of the Grantor, if not previously divested.

Multiple Remaindermen

[If multiple remaindermen, select one:]

☐ The Remaindermen shall hold as tenants in common, in the following shares:
- [Name]: _____%
- [Name]: _____%
- [Name]: _____%

☐ The Remaindermen shall hold as joint tenants with rights of survivorship.

Predeceased Remainderman

If any Remainderman predeceases the Grantor:

☐ Such Remainderman's share shall pass to such Remainderman's then-living descendants, per stirpes.

☐ Such Remainderman's share shall pass to the surviving Remaindermen in equal shares.

☐ Such Remainderman's share shall lapse and revert to the Grantor's estate.

STATE-SPECIFIC PROVISIONS

For Florida:

This deed is made pursuant to Florida Statute Section 689.01 and the common law of Florida recognizing enhanced life estate deeds. The Grantor reserves the right to divest the remainder interest completely, such that if the Grantor sells the Property or revokes this deed, the Remainderman shall have no interest whatsoever.

For Texas:

This deed creates an enhanced life estate under Texas common law, with the Grantor reserving the right to revoke the remainder interest, sell, mortgage, or otherwise deal with the property without the consent of the remainderman.

For Michigan:

This deed is made pursuant to Michigan's recognition of enhanced life estate deeds as set forth in In re Estate of Lillian L. Waite and subsequent case law. The Grantor reserves a life estate coupled with an unrestricted power to convey during lifetime.

For Vermont:

This deed is made pursuant to Vermont Title 27, Section 353, which recognizes enhanced life estate deeds.

For West Virginia:

This deed is made pursuant to West Virginia Code Section 36-1-20a, which recognizes enhanced life estate deeds.

HOMESTEAD PROVISIONS

Florida Homestead:

☐ This Property is the Grantor's homestead as defined in Article X, Section 4 of the Florida Constitution.

☐ The Grantor's spouse, if any, consents to this conveyance:

Spouse Name: _______________________________________________

☐ The Grantor is unmarried.

Texas Homestead:

☐ This Property is the Grantor's homestead under Texas Property Code.

☐ Both spouses are executing this deed (required for homestead property).

MEDICAID AND TAX ACKNOWLEDGMENTS

Medicaid Notice

The Grantor acknowledges and understands that:

1. Lady Bird Deeds are generally NOT considered a transfer of assets for Medicaid eligibility purposes because the Grantor retains full control over the property.

2. In most states recognizing Lady Bird Deeds, the property is NOT subject to Medicaid estate recovery because it passes outside of probate.

3. Medicaid rules vary by state and are subject to change. The Grantor should consult with an elder law attorney regarding current Medicaid implications.

4. The property remains the Grantor's homestead and is exempt from the Medicaid asset limit during the Grantor's lifetime.

Tax Notice

The Grantor acknowledges and understands that:

1. Because the Grantor retains full control, this deed should not constitute a completed gift for gift tax purposes.

2. Upon the Grantor's death, the Remainderman should receive a stepped-up basis equal to the fair market value at the date of death (consult a tax professional to confirm).

3. Property tax exemptions (such as homestead exemption) should continue to apply (verify with county assessor).

WARRANTY OF TITLE

[SELECT ONE:]

☐ Covenant of Warranty: The Grantor covenants that the Grantor is lawfully seized of said Property in fee simple; that the Grantor has good right and lawful authority to sell and convey the same; that the Property is free from all encumbrances except as stated herein; and that the Grantor will warrant and forever defend the title to the Property against all lawful claims.

☐ Special Warranty: The Grantor warrants title only against claims arising by, through, or under the Grantor.

☐ Quitclaim: The Grantor conveys only such interest as the Grantor may have, without warranty.

Subject to:
- Taxes for the current year and subsequent years
- Easements, restrictions, and conditions of record
- Zoning ordinances and governmental regulations
- [Other]: _______________________________________________

EXECUTION

IN WITNESS WHEREOF, the Grantor has executed this Enhanced Life Estate Deed (Lady Bird Deed) as of the date first written above.

GRANTOR:

Signature: _________________________________

Printed Name: _________________________________

Date: _________________________________

GRANTOR'S SPOUSE (if applicable for homestead):

Signature: _________________________________

Printed Name: _________________________________

Date: _________________________________

NOTARY ACKNOWLEDGMENT

Florida Acknowledgment:

STATE OF FLORIDA
COUNTY OF _______________

The foregoing instrument was acknowledged before me by means of ☐ physical presence or ☐ online notarization this ___ day of _____________, 20___, by _______________________________________________, who is personally known to me or who has produced _______________________________________________ as identification.

_________________________________
Notary Public, State of Florida

Print Name: _________________________________

My Commission Expires: _________________________________

[NOTARY SEAL]

Texas Acknowledgment:

STATE OF TEXAS
COUNTY OF _______________

This instrument was acknowledged before me on the ___ day of _____________, 20___, by _______________________________________________.

_________________________________
Notary Public, State of Texas

Print Name: _________________________________

My Commission Expires: _________________________________

[NOTARY SEAL]

WITNESS SIGNATURES (Required in some states)

Witness 1:

Signature: _________________________________

Printed Name: _________________________________

Address: _________________________________

Witness 2:

Signature: _________________________________

Printed Name: _________________________________

Address: _________________________________

RECORDING INSTRUCTIONS

1. Verify this deed complies with all state and county recording requirements
2. Ensure all signatures are properly notarized
3. Record the deed in the county where the property is located
4. Pay all required recording fees and documentary stamp taxes
5. Obtain and retain a certified copy of the recorded deed
6. Provide copies to the Remainderman(s)
7. Notify property tax assessor if required

REVOCATION

If the Grantor wishes to revoke this Lady Bird Deed in the future, the Grantor may do so by:

1. Recording a new deed conveying the property to a different person;
2. Recording a new deed conveying the property back to the Grantor;
3. Recording an instrument expressly revoking this deed;
4. Selling the property; or
5. Any other act inconsistent with the terms of this deed.

No consent or signature of the Remainderman is required to revoke.

EXHIBIT A: ADVANTAGES AND DISADVANTAGES

Advantages of Lady Bird Deed

Disadvantages of Lady Bird Deed

This template is provided for informational purposes only and does not constitute legal advice. Lady Bird Deeds are only valid in Florida, Texas, Michigan, Vermont, and West Virginia. Requirements vary by state. Always consult with a qualified real estate or elder law attorney in your jurisdiction before creating or recording any deed.