Lady Bird Deeds Are Lighter On Their Feet Than The Average Life Estate Deed
If you have a blended family and are capable of thinking about anyone other than yourself, then you probably find the stories of probate “stepparent wars” disturbing, the ones where the decedent’s spouse spends years in court fighting with the decedent’s children from a previous marriage. Estate planning lawyers tell their clients early and often that it is neither possible nor advisable to attempt to micromanage your family from beyond the grave; you know that there is nothing you can do to ensure family togetherness after you die. When you are gone, your children are free to hate each other and to exclude their stepparent from their affections. You don’t want to set them up for a fight, though. In fact, one of the purposes of your estate plan is to engineer solutions to the conflicts that might arise over the distribution of your property. Life estate deeds are a popular solution to the problem of wanting your children to inherit your house but also wanting their stepparent to have a place to live after you are gone. Fortunately, it is possible to achieve this more elegantly in Florida than it is in most states. To find out more about life estate deeds and their Floridian cousin the lady bird deed, contact a Tampa estate planning lawyer.
A Lady Bird Deed Can Protect the Person Who Lives in Your House After You Die From Bullying by the Person Who Will Eventually Inherit It
When you execute a life estate deed, you turn your house into a non-probate asset. The deed is an agreement between you and the person who will inherit it, known as the remainder beneficiary. It also designates a life tenant, someone other than you and other than the remainder beneficiary who has the right to live in the house for the rest of his or her life, even if you predecease the life tenant. It is a cost-effective solution where your surviving spouse, who moved into your family home after you got married, will always have a place to live, but the house will pass ultimately to your children, so that the house becomes generational wealth for your descendants, not for your spouse’s side of the family.
The only problem with a life estate deed is that you cannot sell the property, refinance its mortgage, or borrow against it without the remainder beneficiary’s consent. In other words, it is an invitation for stepchildren to meddle, and if they do it while you are alive, imagine what they will do after you are gone. The good news is that in Florida, as in only a few other states, you have the option of an enhanced life estate deed, also known as a lady bird deed, where you can make these changes unilaterally, without the remainder beneficiary’s consent.
Contact David Toback About Enhanced Life Estate Deeds
A Central Florida estate planning lawyer can help you keep the peace in your family by drafting an enhanced life estate deed. Contact David Toback in Tampa, Florida to set up a consultation.
Source:
trustandwill.com/learn/enhanced-life-estate-deed
