Is a quitclaim deed the same as a lady bird deed in Florida?

The Florida lady bird deed (also called an enhanced life estate deed) is not the same thing as a quitclaim deed. However, it is possible for a single deed to be both a lady bird deed and a quitclaim deed.

The term “quitclaim” means that the grantor makes no representations as to the grantor’s ownership of the interest being transferred. In other words, a person transferring property by quitclaim deed promises nothing about their ownership of the property. For example, imagine that Joe uses a quitclaim deed to transfer his house to Dennis. This means that Dennis now has the same ownership of the house that Joe had before the transfer. Also, it means that the deed does not guarantee that there was not some problem or defect in Joe’s ownership of the house that also got transferred to Dennis. These problems might include liens, easements, or other encumbrances. Thus, a quitclaim deed is a deed in which the grantor makes no guarantees to the grantee that the grantor owns the property free and clear of encumbrances.

A lady bird deed is a life estate deed that gives the grantor complete control of the property until the grantor’s death. This is a most commonly used as an estate planning tool. Typically, the grantor will keep a life estate in the property while giving someone else (such as one of the grantor’s adult children) the remainder interest. When executed properly, this arrangement allows the grantor to live in the property until death and even sell the property to a third party if the grantor so chooses.

A lady bird deed can be quitclaim or it can make some sort of guarantee to the grantee. However, most deeds are not quitclaim. Title insurance companies, which are required in some transactions, will likely offer no coverage when a quitclaim deed is used. Thus, it is often preferable to use a warranty deed.

If you are considering using a lady bird deed in your estate plan, you should contact a Florida estate planning attorney.