Planning for the future means making wise choices today—especially when it comes to transferring property. Two popular tools in Texas estate planning are Lady Bird Deeds and Transfer on Death Deeds (TODDs). But which one is right for your situation?
🧾 What Are Lady Bird Deeds?
A Lady Bird Deed (Enhanced Life Estate Deed) allows you to:
- Keep control of your property during your lifetime
- Transfer the property automatically to your named beneficiaries upon death
- Avoid probate
- Retain the right to sell, mortgage, or revoke the deed at any time
It’s a powerful tool for seniors looking to simplify inheritance and avoid lengthy court processes.
📝 What Are Transfer on Death Deeds (TODDs)?
A Transfer on Death Deed is another way to pass real estate to loved ones without going through probate. Unlike a Lady Bird Deed, however:
- You can revoke it at any time during your life
- It doesn’t affect Medicaid eligibility the way some Lady Bird Deeds can
- It’s typically easier to prepare and file
Both options offer simplicity, but they serve slightly different purposes depending on your estate planning goals.
📌 Key Differences
| Feature | Lady Bird Deed | TODD |
|---|---|---|
| Probate Avoidance | ✅ | ✅ |
| Retain Full Control | ✅ | ✅ |
| Medicaid Impact | ✅ (some benefits) | ❌ |
| Simplicity | ❌ (slightly more complex) | ✅ |
🤔 Which One Should You Choose?
Choosing between the two depends on your specific goals, family situation, and estate planning needs. We’ll walk you through the pros and cons of each option and help you determine the best fit.
✅ Final Thoughts
Whether you want to transfer property to children, avoid probate, or protect assets, both deeds can be effective solutions. At the Law Office of Nancy P. Patterson, we specialize in helping clients create smart, simple estate plans that protect what matters most.
Have questions about deed planning?
Reach out today to schedule a consultation and explore your options.
