Lady Bird Deed in Florida: Complete Guide

Florida is one of the few states that officially recognizes and allows the use of Lady Bird Deeds, also known as enhanced life estate deeds. This powerful estate planning tool lets you keep complete control of your home during your lifetime while ensuring it automatically transfers to your chosen beneficiaries when you pass away — without the delays and expenses of probate court.

If you own property in Florida, a Lady Bird Deed can be one of the most cost-effective ways to pass it to your loved ones. Unlike a traditional life estate deed, this document allows you to sell, mortgage, lease, or even revoke the deed entirely during your life without needing your beneficiaries’ consent. The property only transfers after your death, making it a flexible and efficient option for estate planning.

Índice

Is a Lady Bird Deed Legal in Florida?
Why It Matters for Florida Homeowners
Who Can Use a Lady Bird Deed in Florida
Legal Requirements for a Valid Lady Bird Deed in Florida
Benefits and Drawbacks of a Lady Bird Deed in Florida
Cost, Process, and Next Steps for a Florida Lady Bird Deed
Cost, Process, and Next Steps for a Florida Lady Bird Deed

Is a Lady Bird Deed Legal in Florida?

Yes — Florida is one of only five states where Lady Bird Deeds are recognized under state law. In fact, they are especially popular in Florida because they work well with the state’s homestead protections, which safeguard your primary residence from certain creditors and provide valuable property tax benefits.

Using a Lady Bird Deed in Florida allows homeowners to:

Avoid probate entirely for the property
Preserve homestead protections and tax exemptions
Name multiple beneficiaries or even a trust as the remainder owner
Keep full ownership rights while alive, with no need to get beneficiary approval for decisions about the property

Why It Matters for Florida Homeowners

Florida residents often face unique estate planning challenges, including protecting the family home from Medicaid estate recovery and ensuring heirs receive the property quickly. Because Florida does not have a state estate tax, using a Lady Bird Deed can be a simple, low-cost way to pass real estate while taking advantage of a federal step-up in basis for capital gains tax purposes.

Example:
Imagine you bought your Florida home for $150,000 and it is worth $400,000 at the time of your death. By using a Lady Bird Deed, your beneficiaries inherit the property at its current fair market value ($400,000), significantly reducing or eliminating capital gains tax if they sell later.

Who Can Use a Lady Bird Deed in Florida

Any property owner with legal capacity can create a Lady Bird Deed in Florida, whether the property is a primary residence, vacation home, or rental property. The key is making sure the deed is drafted with the correct enhanced life estate language and properly recorded with the county clerk where the property is located.

In the next section, we’ll cover the legal requirements for a valid Lady Bird Deed in Florida, including what language must be included, witness and notarization rules, and the steps to record it correctly.

Legal Requirements for a Valid Lady Bird Deed in Florida

Creating a Lady Bird Deed in Florida is straightforward, but it must meet certain legal requirements to be valid and enforceable. Missing any of these elements could make the deed ineffective and force the property through probate — exactly what most homeowners want to avoid.

Essential Elements of a Florida Lady Bird Deed

A valid Lady Bird Deed in Florida must include:

Legal Capacity of the Grantor: The person creating the deed must be of sound mind and legally able to convey property.
Accurate Legal Description: The full legal description of the property, as shown in the most recent deed or title record, must be included. A mailing address alone is not sufficient.
Enhanced Life Estate Language: This is what distinguishes a Lady Bird Deed from a standard life estate deed. It must clearly reserve:
- A life estate for the grantor
- The right to sell, mortgage, lease, or otherwise dispose of the property without the consent of the remainder beneficiaries
- Automatic transfer to the remainder beneficiaries upon death
Named Beneficiaries: All beneficiaries should be listed by their full legal names. You can name one or more individuals, a trust, or even a legal entity.
Proper Execution: In Florida, the deed must be signed by the grantor, witnessed by two individuals, and notarized.

Witness and Notarization Requirements

Florida law is very strict about witness and notary rules. If the deed is not properly witnessed and notarized, it may be considered invalid. Best practice is to sign in the presence of a notary and two unrelated witnesses, all at the same time.

Homestead Considerations

Florida’s homestead protections are a major reason Lady Bird Deeds are so popular in the state. A properly drafted Lady Bird Deed:

Preserves your homestead property tax exemption
Protects the property from certain creditor claims while you are alive
Ensures the property passes outside of probate to your chosen heirs

However, if you are married, Florida law gives your spouse certain rights in the homestead property. If you want to name someone other than your spouse as a beneficiary, you may need your spouse’s consent or to take additional legal steps to ensure the deed is valid.

Recording the Deed

After the deed is signed and notarized, it must be recorded with the clerk of the circuit court in the county where the property is located. Recording the deed:

Makes it part of the public record
Protects against future title disputes
Ensures the transfer will be recognized automatically upon your death

Failing to record the deed before your death could result in the property being treated as if no deed existed — meaning it could be forced through probate.

In the next section, we’ll explore the benefits and potential drawbacks of using a Lady Bird Deed in Florida, so you can decide whether it’s the right estate planning tool for your situation.

Benefits and Drawbacks of a Lady Bird Deed in Florida

Florida homeowners choose Lady Bird Deeds because they offer unique advantages that simplify estate planning. Still, like any legal tool, they are not perfect. Understanding both sides will help you decide if this option meets your goals.

Key Benefits

Avoids Probate Completely
The property transfers automatically to your beneficiaries when you die, bypassing the lengthy and expensive probate process. This means your heirs get immediate access to the property, and there are no court delays.
Retains Full Control During Life
Unlike a standard life estate deed, you keep the right to sell, refinance, lease, or even revoke the deed at any time — without beneficiary consent. This flexibility is crucial if your circumstances change.
Preserves Homestead Benefits
A properly drafted Lady Bird Deed does not affect your homestead exemption. You continue to enjoy Florida’s property tax savings and creditor protections during your lifetime.
Protects Against Medicaid Estate Recovery
Florida does not currently seek estate recovery against property transferred outside of probate. Using a Lady Bird Deed can help keep your home safe for your heirs if you receive Medicaid benefits.
Step-Up in Basis for Taxes
Your beneficiaries inherit the property at its fair market value on the date of your death. This “step-up” significantly reduces or eliminates capital gains tax if they later sell the property.
Low Cost Alternative to a Trust
Setting up a trust can cost thousands of dollars. A Lady Bird Deed is relatively inexpensive, especially when your main concern is transferring one property.

Potential Drawbacks

Limited to Real Estate
A Lady Bird Deed only transfers real property. Other assets — such as bank accounts, vehicles, or investments — must be handled separately.
Possible Title Company or Lender Confusion
While Lady Bird Deeds are common in Florida, some title companies or lenders may require additional documentation before refinancing or selling the property.
Risk of Errors in Drafting
A poorly drafted deed that lacks the correct enhanced life estate language or is not recorded properly can create title issues and force your heirs into probate anyway.
No Asset Protection After Death
Once the property transfers to your beneficiaries, it becomes subject to their creditors, divorces, or lawsuits. If this is a concern, a trust may offer better protection.

Tax Considerations in Florida

Florida does not have a state estate tax or inheritance tax, making Lady Bird Deeds especially attractive. However:

The property is still included in your taxable estate for federal estate tax purposes (rarely an issue unless your estate exceeds federal exemption limits).
If the property produces rental income, your beneficiaries must report that income after inheriting it.

In the next section, we’ll go over the cost, process, and step-by-step guide to creating a Lady Bird Deed in Florida, so you can move forward with confidence.

Cost, Process, and Next Steps for a Florida Lady Bird Deed

Once you’ve decided that a Lady Bird Deed is right for you, the next step is understanding the cost, the process to create one, and when to seek professional help. This ensures your deed is legally valid and provides the protection you expect.

How Much Does a Lady Bird Deed Cost in Florida

The cost of a Lady Bird Deed in Florida can vary based on how you choose to prepare it:

DIY Templates: Some websites offer state-specific templates for $30–$50. While affordable, these carry risk if you miss state-specific requirements or use outdated language.
Online Legal Services: Document preparation services typically charge $150–$300. These can be helpful for straightforward cases but still lack personalized legal advice.
Attorney Drafted Deed: Hiring a Florida estate planning attorney typically costs $300–$600, depending on complexity. This is the most reliable option, especially if you have multiple beneficiaries, want per stirpes language, or need to coordinate with a trust or Medicaid planning.

Step-by-Step Process

Gather Information
Collect your current deed, legal description of the property, and list of beneficiaries (with full legal names).
Draft the Deed
Use correct enhanced life estate language, name the beneficiaries, and include revocation rights.
Sign, Witness, and Notarize
Florida requires your signature, two witnesses, and notarization. Make sure all signatures are on the same page or properly referenced to avoid rejection.
Record with the County Clerk
Submit the signed and notarized deed to the clerk of court or county recorder where the property is located. Expect to pay a small recording fee (usually $10–$20 per page, plus documentary stamp tax if applicable).
Keep Certified Copies
Store copies in a secure place and inform your beneficiaries so they know where to find the document when the time comes.

When to Consult an Attorney

It’s strongly recommended to consult a Florida attorney if:

You are married and want to name someone other than your spouse as a beneficiary.
You have multiple beneficiaries with unequal shares.
Your property is part of a Medicaid planning strategy.
There are existing title issues, liens, or disputes.

An attorney ensures compliance with Florida’s strict homestead rules, uses precise language to protect your intentions, and prevents costly mistakes.

Next Steps

After recording your Lady Bird Deed:

Review your entire estate plan to ensure consistency (will, trust, powers of attorney).
Update beneficiary designations on other assets like retirement accounts or life insurance policies.
Revisit your plan periodically, especially after major life events like marriage, divorce, or the birth of a child.

Bottom Line

A Lady Bird Deed in Florida is a cost-effective and powerful way to transfer your home outside of probate while keeping full control during your lifetime. By following the proper steps and ensuring the deed is drafted and recorded correctly, you can protect your family’s future and give them a smooth transition of ownership.