Manage your assets to avoid probate
The legal process of inheriting a house involves getting a probate grant from the courts. This means legal fees and delays before the heirs can finally dispose of the property subject to probate. There are many cases where the owners decide to make a meaningful decision and prevent legal heirs’ hardships. They can choose to sell the house before their death to avoid probate. Let us see some of the salient aspects of selling house to avoid probate to ensure peace of mind for the heirs.
Probate can be avoided
This can be done quickly by any property owner to prevent the huge costs of the legal process. People need to plan their estate using the right mechanisms. The probate process means that the ownership of an asset at the death of a person should be passed on to a living legal heir.
- A person can sell off all the property. This is an extreme step that some people take. At times some people have fixed assets and don’t have the cash to live on. They can sell the house and get the needed money to survive until their death.
- You can put all the assets, including the business and property, in living trusts. In this manner, you can control the way the property is used or distributed after death. No property in the will would mean no probate assets or probate estate. You can name yourself as the primary beneficiary. Two or more people can also be members of the trust. When one spouse dies, the surviving spouse can have significant control over the trust. However, the estate tax and other taxes may still have to be paid.
- A person can add a spouse or legal heir as a joint owner- in all the assets. Property passes from the deceased owner to the surviving family member, who is already registered in the Bank account, or property, having joint ownership. The critical point to keep in mind is the wording of the contract here. The trust account is to be owned by joint tenants, who have the right of survivorship. The other term, commonly used in judiciary language, tenants in common, is not the same as joint tenants.
- Rights of survivorship ensure that though more than one person is having ownership in a joint tenancy, the survivor can claim the right without probate when the owner dies.
- Clear and legal transfer on death deeds ensures that the survivor can claim property or estate without worrying about the complex legal process and expenses.
You can create a living will or sell off the estate; the choice is yours. It all depends on the family relationships and your financial planning and security. You may want to leave the property to your spouse and children but may change your distribution pattern in a few months. However, if you want to avoid the legal hassles and expenses for the legal heirs, then avoiding probate is a good option. This is something that you can do in your life with a real estate agent and legal help.
You can leave the survivors some peace of mind by following a systematic plan.
- Settle all the liabilities and taxes.
- Sell the assets and create joint accounts
- Ensure that the family members understand the inheritance, and there is no dispute about their shares later.
- Create trust with your spouse or other legal heirs where you are the primary beneficiary and have more control over the trust.
Probate is an essential part of the heirs’ legal process to get the inherited property registered in their names. This is tedious and expensive. You can help them by selling the property and liquidating the assets, and creating a trust. This will help your loved ones with the unnecessary tax burden and the painstaking process of getting probate.
If you do not want your family to go through the hardship and expenses in the process of claiming an asset at a depressing time, then contact us. We are well acquainted with the intricate legal processes we help you sell the property quickly. Then you can create a joint trust or an account with the legal heirs. Call us today or fill the form on the website.