Transfer On Death (TOD) Deeds for Real Estate

[Tracer]

A few years ago I converted my General Warranty Deed of my condo to an Enhanced Life Estate (or Ladybird) Deed for grand total of $20 DIY.. $10 to download the Florida state specific form and another $10 to file it with the county. An estate attorney could probably do all the legwork and filing for you for around $200-300. It's not that hard to do it all yourself if you follow all the instructions perfectly.

With both deeds your beneficiary will inherit the property directly without going through probate. The drawback to the regular Life Estate is you give up total control to sell or mortgage your property without your beneficiary signing off on it. With the Enhanced (Ladybird), you can change your mind without their approval. As was mentioned though, the Enhanced version is only available in a few states.

 

[ChrisC]

A little knowledge about TODs in Virginia (or Life Estates in NY) can be dangerous to the misinformed.

Consider this thread in the BH forum a number of years ago: https://www.bogleheads.org/forum/viewtopic.php?t=223449.

As to NY Medicaid rules on Life Estates, I'm pretty sure NY Medicaid takes into account the value of a Life Estate interest w/r/t the assets to be taken into account for Medicaid eligibility, though NY Medicaid does not seek recovery (or establish a Medicaid lien) on the remainderman's interest on the real estate.

Consult competent Virginia and NY lawyers for these issues.