A Lady Bird deed is a deed that allows a real property owner to transfer ownership of the property to another person or entity while continuing to use and control the property.

In some states a Lady Bird deed may be used as an estate planning tool, allowing the owner to make a lifetime gift of the property; avoid federal gift taxes (because it is an incomplete gift and is not final); avoid probate; qualify for Medicaid benefits; and continue to live in their private home after transferring ownership (title) of it to another person or entity.

A Lady Bird deed may also be referred to as an enhanced life estate deed, as it effectively gives the owner a life estate interest in the property while transferring ownership (title) to another person or entity.

Laws vary from state to state, but a Lady Bird deed may also allow the owner to continue to have complete control of the property, without input from the grantee under the Lady Bird deed. This may include the owner’s right to change their mind and sell or transfer the property to another person or entity, or to make changes to the property.

As of the current knowledge cutoff in 2023, South Dakota does not recognize Lady Bird deeds, also known as enhanced life estate deeds, as a legal instrument within its state statutes. In states where Lady Bird deeds are recognized, they allow property owners to retain control over their property until death, at which point the property transfers to a designated remainderman without the need for probate. However, because South Dakota law does not provide for this type of deed, individuals seeking to manage their real estate in a similar manner must look into alternative estate planning tools that are valid under South Dakota law, such as traditional life estate deeds, trusts, or wills. These alternatives can help achieve similar goals, such as avoiding probate, but they may not offer all the benefits of a Lady Bird deed, such as the ability to retain complete control over the property and the flexibility to change the beneficiary without the beneficiary's consent. It is advisable for individuals in South Dakota to consult with an attorney to explore the most suitable estate planning options according to their specific needs and the current state laws.