Understanding Probate

probate

Understanding Probate

Everyone has a will or plan, whether created or by default. Even if you have not made out a will or a trust, you still have a plan – a plan dictated by the laws of the state where you reside upon your death. Making a will is not a way to avoid “probate”, the court procedure that changes the legal ownership of your property after your death. Probate makes sure it is your last valid will, appoints the executor named in your will and supervises the executor’s work. You can do several things now that can help your executor and family later, hopefully much later on.

I am in possession of a will that distributes the decedent’s estate to me, isn’t this all I need?

No. The will must be admitted to probate and the estate of the decedent must be “probated.”

 

What does “probate” actually mean?

Generally, probate is a court proceeding that administers the estate of an individual.

 

What is the purpose of “estate administration”?

Generally, there are five purposes, many of which have subsets to them:

•To determine that the decedent is in fact dead

•To establish the validity of the will

•To identify the heirs and devisees of the decedent,

•To settle any claims that creditors may have against the estate of the decedent, and

•To distribute the property

 

What is the Public Administrator?

The Public Administrator serves in a fiduciary capacity to provide professional estate management services to county residents who die without someone willing or able to handle their affairs. The powers of the Public Administrator are mandated by the Probate Code of the State of California.

 

What is the difference between “Testate” and “Intestate”?

When one is said to have died “Testate,” it means he or she died leaving a will. If one is said to have died “Intestate,” it means he or she died without leaving a will.

 

What is the difference between an executor and an administrator?

An “executor” carries out the directions and re- quests set forth in the decedent’s will. An “administrator” is appointed by the court to manage the estate of a decedent who dies intestate.

 

What are the steps to a normal uncontested probate?

Very generally speaking they are as follows:

•Death of the decedent

•The will is delivered to the executor or Court Clerk

•A petition is filed for the Probate of Will or Letters of Administration

•A hearing is held on the petition

•Letters of Administration are issued by the Court.

•Notice to creditors is given

•Inventory and appraisement of the estate is made by an independent probate appraiser

•File Federal estate tax return. Return states “No Tax Due” or specifies an amount due

•Final accounting and petition for distribution

•Final decree of distribution

•Discharge of personal representative

 

While real property is “in probate” can it be sold?

Yes. Without getting into too much detail it can be sold either at private sale in which the executor of the estate negotiates a transaction with a buyer or at public sale in which the property is sold at public auction.

 

If there is no will, how is the property of the estate distributed?

Sections 6400 through 6414 of the California Probate Code addresses intestate succession and the distributions. The method and manner of intestate distributions is quite complex and therefore one should specifically discuss intestate distributions with his or her legal advisor.

This piece is only for information purposes. Please contact a probate attorney for more information.

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AffordabilityCalculator

 

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Working with potential buyers is an exciting and detailed process. Did you know that our Pacific Coast Agent 3.0 Pro app includes several calculators that can help you answer a prospective buyers questions. Below is a list of calculators which you can use to educate visitors at your next open house.

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Gives you the ability to generate a quick estimate of fees & payment associated with a specific home.

Rent Vs. Buy
Explains how much money can potentially be saved if a one decided to purchase rather than rent.

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Shows a potential buyer how much home they can afford based on their household income and debt.

Monthly Affordability
Shows a potential buyer how much home they can afford based on their desired monthly payment.

Extra Payment
Helps show how much money a homeowner can save if they extra money towards their principal

Marketing Center
Provides some great illustrations aimed for buyers that can be emailed or shared on social media.