The 10-second answer
Lady bird deed = one Florida home → adult beneficiaries; lowest cost, full lifetime control, avoids probate and Medicaid estate recovery on that house. Revocable living trust = everything else: multiple or out-of-state assets, incapacity management, minors/special-needs/blended family, staggered gifts, privacy. Many complete Florida plans use a trust as the backbone and a lady bird deed on the homestead.
What Each Tool Actually Is
A lady bird deed (enhanced life estate deed) is a single deed on one Florida property. You keep a life estate with enhanced powers (sell, mortgage, revoke) and name who receives the home at your death. It rests on Florida common law and the Bar’s Uniform Title Standards 6.10 to 6.12; there is no lady bird deed statute. See the full lady bird deed guide →
A revocable living trust is a container built under Florida’s Trust Code (Ch. 736). You fund it by re-titling assets into it during life, you’re usually your own trustee, and it’s fully revocable. When you die or become incapacitated, your successor trustee manages and distributes everything in it, without court.
The Side-by-Side Comparison
| Factor | Lady Bird Deed | Revocable Living Trust |
|---|---|---|
| What it covers | One Florida property | Any asset you re-title in (FL + out-of-state realty, accounts, business) |
| Cost (this firm) | $399 / $449 + recording | $3,200 individual / $4,500 couple (incl. will, POA, directives, one deed) |
| Multi-state property | No (FL real estate only) | Yes (avoids a second, ancillary, probate) |
| Incapacity management | No | Yes (successor trustee steps in) |
| Minors / special needs | Poor fit | Best fit (sub-trusts, staggered gifts) |
| Blended family / timing | No (outright at death) | Yes (life estate then over, conditions) |
| Step-up in basis | Yes (§1014) | Yes (§1014) |
| Medicaid estate recovery | Avoids it on the home | No shield by itself |
| Creditor protection (yours, in life) | None (homestead’s own protection) | None (assets reachable, §736.0505) |
| Main failure mode | A later refi can silently override it | Not funding it |
Where They Agree
Set expectations honestly: both avoid probate on what they cover, both are revocable and keep you in full control, and both preserve the step-up in basis at death (IRC §1014). Neither protects assets from your own creditors during life, and neither by itself qualifies you for Medicaid or saves estate tax. Both still need the rest of an incapacity plan: a durable power of attorney and health-care directives.
Where the Choice Actually Turns
The multi-state problem. A lady bird deed touches only Florida real estate. Own a cottage up north, and that property still triggers a separate “ancillary” probate in that state. A funded revocable trust holds title to all of it and skips the second probate, often the single fact that decides it.
Incapacity. A deed does nothing if you can’t manage your affairs. A trust’s successor trustee can step in immediately with a certification of trust (§736.1017); banks resist powers of attorney far more than they resist a trustee.
Cost, in real numbers. A lady bird deed is $399 / $449 + recording; a trust-based plan is $3,200 / $4,500. The counterweight is what probate costs on assets a deed doesn’t cover: Florida’s statutory fee schedule (§733.6171 attorney + §733.617 PR) runs around 6% of the estate combined. As a rough illustration, a trust often pays for itself once the probate estate it avoids climbs past a few hundred thousand dollars: context, not a promise. Estimate the probate it would avoid →
Homestead: does it survive the transfer? Both keep the homestead tax exemption and Save Our Homes cap: a lady bird deed is no present transfer, and for a trust the beneficiary’s equitable title qualifies (§196.041(2)). The constitutional creditor protection also survives inside a revocable trust (Engelke v. Estate of Engelke, 921 So. 2d 693 (Fla. 4th DCA 2006); §736.0505), though that authority is at the appellate-court level, not the Florida Supreme Court. The rule that you can’t disinherit a spouse or minor child from homestead, and that a spouse must join, applies to both (Art. X §4(c); §732.4015; §732.7025).
Choose a lady bird deed when…
One Florida home, adult beneficiaries who get along, lowest-cost probate avoidance, full lifetime control, and your other assets already pass by beneficiary/POD. Strongest for Medicaid estate-recovery protection on the homestead.
Choose a trust when…
Property in more than one state, several asset types, you want a successor trustee for incapacity, minors / special-needs / blended family, staggered or conditional gifts, or privacy across the whole plan.
Use both when…
A lady bird deed on the homestead (cheap, locks in estate-recovery protection) plus a trust for everything else. Many complete Florida plans look exactly like this.
Deed, trust, or both?
We sort out the right mix at your free 30-minute consult, and quote a flat fee either way.
Book your free consultFrequently Asked Questions
Is a Lady Bird Deed Better Than a Living Trust in Florida?
Neither is “better”; they do different jobs. A lady bird deed is the lowest-cost way to keep one Florida home out of probate while you keep full control. A revocable living trust covers your whole estate, manages things if you become incapacitated, and handles minors, special needs, blended families, out-of-state property, and privacy. For many families the right plan uses both.
Can I Have Both a Lady Bird Deed and a Revocable Trust?
Yes, and it’s common: a lady bird deed on the homestead plus a trust for everything else. We make sure they don’t conflict. For example, the deed shouldn’t name the trust as remainderman unless that’s intended.
Which Is Cheaper, a Lady Bird Deed or a Living Trust?
A lady bird deed is far cheaper upfront: at this firm $399 (individual) / $449 (joint) plus recording, versus a trust-based plan at $3,200 (individual) / $4,500 (couple). The trade-off: a trust does much more, and probate on the assets a deed doesn’t cover can run a percentage of the estate under Florida’s statutory fee schedule.
Do I Need a Trust if I Already Have a Lady Bird Deed?
Maybe. The deed handles the house. Ask what happens to everything else: accounts without beneficiary designations, out-of-state property, a forgotten asset, or the second spouse’s death. If any of those apply, a trust fills the gap the deed leaves.
Does a Revocable Trust Avoid Probate in Florida?
Yes, but only for assets actually re-titled (“funded”) into it. An unfunded trust still goes through probate. A pour-over will catches stray assets, but those still probate.
Will a Living Trust Protect My Home From Creditors or Medicaid?
A revocable trust does not protect assets from your creditors (they remain reachable, §736.0505), and its assets are countable for Medicaid. Your Florida homestead keeps its constitutional creditor protection even inside a revocable trust (Engelke v. Estate of Engelke), but the trust itself adds no asset protection. For the homestead and Medicaid estate recovery, a lady bird deed is usually the more targeted tool.
Does a Lady Bird Deed Work for Out-of-State Property?
No. It only works on Florida real estate. Out-of-state land triggers a separate “ancillary” probate in that state, which a properly funded revocable trust avoids.
If I Become Incapacitated, Does a Lady Bird Deed Help?
No. A deed does nothing if you can’t manage your affairs; you’d rely on a power of attorney or, worst case, a court guardianship. A revocable trust’s successor trustee can step in immediately, which is one of the strongest reasons people choose a trust.
Can a Lady Bird Deed Leave My Home to My Minor Child?
Not cleanly. Florida homestead can’t be devised away from a minor child, and minors can’t hold title well. This is a situation that calls for a trust, not a deed.
Which Is More Private?
Both keep things out of the public probate file. A trust keeps your entire plan (who gets what) private; a lady bird deed only keeps that one property out of court.
Common Situations
“Just the house”: Dolores, 78, Cape Coral. Widow, one paid-off Florida home, two adult kids who get along, a bank account already POD to them, an IRA with both named. No out-of-state property, no minors. → Lady bird deed. A $3,200 trust would be over-engineering; the deed keeps the home out of probate and out of Medicaid estate recovery for about $400.
“Florida home plus the lake house up north”: the Petersons. A Miami homestead, a North Carolina cottage, brokerage accounts, and a daughter with a disability. → Revocable trust as the backbone, holding both homes to avoid a second ancillary probate, with a special-needs sub-trust for the daughter, and optionally a lady bird deed on the Florida homestead for the extra estate-recovery layer. A deed alone can’t touch the NC house or protect the daughter’s benefits.
“The blended family”: Robert, remarried. He wants his spouse to live in the home and use his accounts for life, with the remainder to his own children. A lady bird deed would pass the house outright at death and runs into homestead devise limits. → Revocable trust with a marital/QTIP structure. This is the case where a deed quietly fails to do what the client actually wants.
Sources of Law
- Fla. Stat. Ch. 736 (Florida Trust Code): §736.0505 (settlor’s creditors / homestead exemption inside a revocable trust), §736.1017 (certification of trust), §736.1109 (homestead devise limits), §736.0403 (will-formality execution). flsenate.gov
- Fla. Stat. §196.041(2) (equitable title → homestead tax exemption); §734.102 (ancillary administration); §733.6171 / §733.617 (statutory probate fees).
- Engelke v. Estate of Engelke, 921 So. 2d 693 (Fla. 4th DCA 2006): homestead in a revocable trust keeps constitutional creditor protection (DCA-level authority).
- Homestead limits: Fla. Const. Art. X §4(c); §732.4015; §732.7025. Step-up: IRC §1014. (retrieved 2026-06-05)
Updated on June 5, 2026. Reviewed by Kevin D. Klagge, Esq., Fla. Bar No. 99502. General information about Florida law, not legal advice, and no attorney-client relationship is created.