Is a Lady Bird Deed Worth It in Aventura?

If you are beginning to research estate planning options in Aventura, you may have stumbled across the concept of a “Lady Bird Deed.” This is a popular estate planning strategy in Florida that many homeowners choose. Is it the right option for you? To answer this question, you may need to discuss your specific family and financial circumstances with an Aventura estate planning lawyer.

Lady Bird Deeds Address Issues With the Right of Survivorship

Lady Bird Deeds rely on something called the right of survivorship. Under this principle, a joint owner of an asset automatically inherits that asset when the other joint owner passes away. As one might expect, this is incredibly useful for married spouses. The key thing to remember about the right of survivorship is that it bypasses probate. Since probate avoidance is a common priority for families in Florida, many spouses rely on the right of survivorship.

However, many spouses want to transfer wealth to their descendants after passing (and not just each other). This makes sense, as spouses often pass away within a few years of each other. What happens if you want to leave your home to your children? In this situation, you might assume that you can simply add your children to the title of your home to give them the “right of survivorship” as well.

However, there are problems with this approach. When you add other people to your title, those beneficiaries gain control over the property. They can decide whether you are allowed to sell the property or not while you are alive. They also become a potential liability, and the property could be seized by creditors if your adult child accumulates debt. They can even force you to sell your home.

Another potential issue is the loss of homestead protections. If you add someone to your title and they do not live in the property full-time, you may lose the generous homestead exemptions offered by Florida. Finally, your property could be threatened by a potential divorce of your adult child and their spouse.

Lady Bird Deeds Give You the Best of Both Worlds

With a Lady Bird Deed, you can leave your primary residence to your adult child (or children) without worrying about losing control of your home. A Lady Bird Deed gives you the right to own, use, and control your property while you are alive. When you pass away, the property will pass to your chosen beneficiaries in the same way it would via the right of survivorship. A Lady Bird Deed also avoids probate while ensuring your beneficiaries do not encounter any unnecessary capital gains taxes when inheriting your property.

Can an Estate Planning Lawyer in Aventura Help Me?

A Lady Bird Deed in Aventura offers numerous benefits, including probate avoidance and control over the underlying property while you are alive. However, it makes sense to speak with an Aventura estate planning attorney to determine whether this strategy truly makes sense for your family. Continue this conversation by contacting 411 Probate today.

Source;

 floridabar.org/the-florida-bar-journal/lady-bird-deeds/