Vermont lady bird deed
A lady bird deed lets you name who inherits your Vermont property without probate, while you keep full ownership and the right to change your mind. Here is exactly what Vermont requires, what it costs, and where to file it.
- Recording office
- Town Clerk
- Witnesses
- Notary only
- Transfer tax
- 1.25% generally
- First-page margin
- 3″ top
- Recording fee
- ~$15 first page
- E-recording
- Usually not
What a lady bird deed does in Vermont
A lady bird deed, formally an enhanced life estate deed, reserves a life estate for you while keeping the power to sell, mortgage, lease, or take the property back without your remainder beneficiary's signature. That retained power is what makes it 'enhanced'. At your death the property passes directly to the remainder beneficiaries outside probate. Florida, Texas, Michigan, Vermont, and West Virginia recognize it.
Formally an enhanced life estate deed. Vermont is generally listed among the states that recognize enhanced life estate deeds, though they are far less common here than in Florida or Texas. Confirm with a Vermont attorney before relying on one.
Less common in Vermont
Lady bird deeds are valid here but used less often than in other states. Read the limitations below carefully before choosing one.
When Vermont property owners use a lady bird deed
- Avoid probate while keeping complete control of the house
- Preserve the Florida or Texas homestead exemption and the step-up in basis
- Estate planning where a traditional life estate would give away too much control
- Medicaid planning in a state that does not treat the transfer as a divestment
What Vermont requires on the deed
These are the execution and formatting rules town clerks enforce. Getting any of them wrong is the usual reason a deed comes back in the mail.
| Requirement | What Vermont says |
|---|---|
| Recording office | Town Clerk |
| Notarization | Required. Every signature must be made in the notary's presence. |
| Witnesses | None required. A notarial acknowledgment is enough. |
| Legal description | Required, copied exactly from the prior recorded deed. A street address is not sufficient. |
| Grantee's address | Must appear on the face of the deed. |
| Return address | A 'when recorded, return to' block is required. |
| Preparer statement | Not required, but customary. |
| Prior deed reference | Not required, though it keeps the chain of title clean. |
| Page setup | 8.5 × 11 in, 3-inch top margin on the first page, 1-inch elsewhere, 10pt minimum type. |
| Accompanying form | Vermont Property Transfer Tax Return (filed electronically through myVTax) |
| Timing | Must be recorded before the owner's death. Recording it afterwards has no effect. |
How to complete and record it in Vermont
- Find your current deedYou need the legal description from it, word for word. If you can't find your copy, the Town Clerk can provide one, usually for a few dollars.
- Identify everyone by full legal nameNames must match the current deed and government ID exactly, middle names included. A mismatch creates a gap in the chain of title that shows up years later at closing.
- Complete the deedDeedly builds it with Vermont's statutory language, the correct notary block, and the 3-inch first-page margin town clerks expect.
- Sign in front of a notaryBring photo ID. Do not sign in advance. The signature has to be made in the notary's presence.
- Complete Vermont Property Transfer Tax Return (filed electronically through myVTax)Vermont requires this alongside the deed, including for exempt transfers. Your filing packet explains which boxes apply to your situation.
- Record it with the Town ClerkFile in the town where the property is located and pay the recording fee. Keep the stamped receipt. It fixes your priority date.
- Tell your beneficiaries where it isAfter your death they will need the recorded document plus a certified death certificate, and in most states an affidavit of death, to complete the transfer.
What it costs in Vermont
| Cost | Typical amount |
|---|---|
| Recording fee | About $15 for the first page plus about $15 per additional page |
| Transfer tax | Property transfer tax: 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25% |
| Notary | Typically $5–$25 per signature; often free at your bank |
| Deedly | $69, one time |
| Attorney (for comparison) | $300–$1,200 for the same statutory document |
Vermont charges a property transfer tax of 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25%. It is customarily paid by the grantee.
Exemptions that commonly apply to a transfer like this: transfers between spouses, gifts with no consideration, and transfers to or from a revocable trust. You have to claim the exemption. The recorder won't apply it for you.
Where to record it in Vermont
Vermont deeds are recorded with the Town Clerk in the town where the property sits, not where you live. There are 246 towns in Vermont.
Most Vermont town clerks do not offer e-recording. Expect to record in person or by mail.
Recording offices we cover in Vermont: Burlington, Essex, South Burlington, Colchester, Rutland, Bennington. See all Vermont recording offices.
What a lady bird deed does NOT do
Being honest about the limits is more useful than a sales pitch. Every one of these catches somebody out.
- Only Florida, Texas, Michigan, Vermont, and West Virginia are generally recognized as accepting it. Some counties elsewhere will record it, but recording is not the same as validity.
- It does not defeat Medicaid estate recovery in every state, and the rules change. Confirm your state's current position before relying on it.
- It does not remove or restructure a mortgage, and a due-on-sale clause may still exist in theory even though lenders rarely invoke it for these transfers.
- It is a specialized instrument. If your estate is large, taxable, or contested, this is a conversation for an attorney rather than a form.
Quirks of Vermont law that catch people out
- Vermont records deeds with the TOWN clerk. There are 246 separate offices, one per municipality, and no county recorders at all.
- Most Vermont towns do not accept e-recording, so plan on mail or an in-person trip.
- A Vermont Property Transfer Tax Return must be filed electronically through myVTax before recording, even for exempt transfers.
- Vermont eliminated the witness requirement in 2004. A notary alone is sufficient today.
- Vermont is one of the five states generally listed as recognizing lady bird deeds, but they are uncommon here in practice.
$69, one time. Your finished deed appears in full before you pay, with Vermont's witness rules, margins, and recording instructions already applied.
Common questions
No. Vermont has no requirement that an attorney prepare a deed. What matters is the correct statutory language, an accurate legal description, proper notarization, and recording with the Town Clerk. Deedly produces all of that for $69, versus roughly $300–$1,200 for an attorney to draft the same document. If ownership is disputed, the current owner has died without probate, or the transfer is tax-sensitive, use an attorney.
Expect around $15 for the first page and about $15 per additional page. Vermont also charges property transfer tax of 1.25% generally; 0.5% on the first $100,000 of a principal residence, then 1.25%, though gifts and family transfers are often exempt. Vermont town clerks charge per page.
No. Vermont requires only that the grantor's signature be acknowledged before a notary public. Vermont eliminated the witness requirement for deeds in 2004. An acknowledgment before a notary or other authorized officer is what 27 V.S.A. § 341 requires today.
With the Town Clerk in the town where the property is located, not where you live, and not where the buyer lives. Vermont has 246 towns. Most Vermont town clerks do not offer e-recording. Expect to record in person or by mail.
Yes. Lady bird deeds are revocable during your lifetime. You can record a revocation, record a new one naming different beneficiaries, or simply sell the property. You don't need your beneficiary's permission for any of it.
Yes, for this property. On death the property passes directly to the people you named, outside probate, once they record proof of death with the Town Clerk. It doesn't avoid probate for anything else you own, it doesn't clear the mortgage, and it doesn't protect the property from your creditors.
Keep reading
- Vermont quitclaim deedTransfers whatever interest you have in a property, with no promises about the title.
- Vermont general warranty deedTransfers ownership with the strongest title guarantees the law allows.
- Vermont special warranty deedTransfers ownership, but only guarantees the title for the period you owned it.
- Vermont life estate deedYou keep the right to live in the property for life; named remaindermen own it after you.
- All deed rules for VermontRecording offices, transfer tax, witness rules, and fees.
- Vermont recording officesWhere to file in each town.
Deedly is not a law firm
We provide self-help software and state-specific statutory forms; you make your own decisions about your property. Using Deedly does not create an attorney-client relationship, and nothing here is legal advice. If your situation is complex or contested, talk to a licensed attorney in your state.