Lady Bird Deeds in Florida: How the House Passes, and Who Can Sell It

How a Florida lady bird (enhanced life estate) deed passes a house without probate, the homestead and property tax catches, and what heirs and buyers check.

Updated October 15, 2026 · 7 min read

Lady bird deed vs. a regular life estate deed

Both deeds split ownership in two: a life estate for the owner, and a remainder for the people who inherit. The difference is what the owner keeps.

• Regular life estate deed. The remainder is given away the day the deed is signed. The owner cannot sell or mortgage the whole property unless every remainderman signs too, and cannot take the gift back.
• Lady bird deed. The owner reserves the power to sell, mortgage or give the property away during their life without the remaindermen. The remaindermen receive whatever the owner still holds at death.

What happens when the owner dies

The life estate ends and the remaindermen own the house outright, with no probate case and no personal representative. In practice they record a certified copy of the death certificate in the county Official Records, usually with an affidavit identifying them, which is what a title company looks for before it insures a sale. Until something is recorded, the county roll can go on showing the late owner’s name.

Several remaindermen own the house together, so a sale needs every one of them to sign.

The homestead catch: a spouse or a minor child

Florida’s constitution limits who can inherit a homestead. Under F.S. 732.4015, if the owner is survived by a spouse or a minor child, the homestead cannot be devised, except to the spouse when there is no minor child.

F.S. 732.4017 protects a lifetime transfer of a homestead from that rule when the owner keeps no power to revoke the transfer or take the property back. A lady bird deed keeps exactly that power, so the protection does not cover it. Florida practitioners disagree about what follows. If the remainder fails as a devise, the house descends under F.S. 732.401 instead: a surviving spouse takes a life estate with the remainder to the descendants, or can elect within six months to take a one-half share as a tenant in common.

For anyone buying, that is the first question about a lady bird deed on a homestead: was the owner married, or did they leave a child under 18? If so, settle the title question before you make an offer.

Taxes: what changes and what doesn’t

• The owner keeps the homestead exemption. F.S. 196.041(2) treats a beneficial interest for life as equitable title for homestead purposes.
• The tax base resets after the owner dies. Under F.S. 193.155(3) a transfer of title is a change of ownership, so the house is assessed at full just value on January 1 of the following year, unless an exception applies, such as a transfer to a surviving spouse. For the median Hillsborough parcel held under a life estate, the assessed value today is about 52% of market value, so the reset roughly doubles the value the tax is based on.
• The heirs get a stepped-up basis. Because the owner kept a life estate, the house counts in their estate for federal tax purposes (26 U.S.C. 2036(a)), so the remaindermen’s basis is generally its value at the date of death (26 U.S.C. 1014). Sold soon after the death, there is usually little gain to tax.

Medicaid estate recovery

Florida’s Medicaid Estate Recovery Act collects by filing a claim against a deceased recipient’s estate in probate (F.S. 409.9101(2)), and the probate code defines the estate as the property that is subject to administration (F.S. 731.201(14)). A house that passes by lady bird deed is not administered in probate, which is why elder-law attorneys use these deeds. The debt is not enforced at all when the recipient leaves a spouse, a child under 21, or a blind or disabled child (F.S. 409.9101(6)).

How to spot one in Hillsborough County

The Property Appraiser’s roll marks a life estate in the owner name, usually as “LIFE ESTATE” after the owner’s name. It does not say whether the life estate is enhanced; only the deed does. Pull the deed from the Clerk’s Official Records and look for the owner’s reserved power to sell, convey or mortgage without the remaindermen joining in. That language is what makes it a lady bird deed.

Buying from the owner or from the heirs

1. Read the deed. With enhanced powers, the living owner can sell alone. A regular life estate needs every remainderman to sign as well.
2. If the owner has died, check that the death certificate is recorded, and get every remainderman to sign.
3. If it was the owner’s homestead, ask whether they left a spouse or a child under 18. If they did, the deed may not decide who owns the house, so get a title opinion before you make an offer.
4. Check what stays with the house. A mortgage, unpaid property tax and recorded liens survive the change of owner. The deed changes who owns the house, not what is owed on it.
5. Approach heirs with care. Many are dealing with a recent death. Start with what they need, not with a price.

Related reading: How Probate Works in Florida, Selling an Inherited House in Hillsborough County and How to Search Hillsborough County Probate Records.

This guide is general information for real estate investors and property owners, not legal, tax, or financial advice. Court procedures, fees, and statutes change — verify current details with the Hillsborough County Clerk of Circuit Court or a licensed Florida attorney before acting.