When someone dies without having made an Estate Plan with an attorney, their remaining belongings and property (their estate) and money (their assets) enter probate. Probate is a process where a Judge in the state someone lived in determines where their estate and assets should go. Without a set plan from the individual, these important decisions are made at a Judge’s discretion.
While probate is a standard process, it can still be expensive, lengthy, and emotionally taxing for loved ones. What’s more, your family will not have immediate access to the estate and assets being held in probate. When it comes to things like your house or your business, immediate access and ownership is pretty important. So how can you transfer Real Estate property outside of probate? Here are 3 ways:
Real Estate Held in Trusts
A Trust allows you to place assets into a fund that is managed by a third-party and then given to your chosen recipients at the time of your death. Unlike a Will, assets placed in a Trust do not enter probate and transfer immediately upon your passing. Placing your Real Estate property in a Trust allows a smooth transition that doesn’t get bogged down in the court system of probate. Trusts can even help you pay less on your taxes!
Real Estate Owned in Joint Tenancy With Right of Survivorship
Joint Tenancy is an ownership structure for Real Estate. It means that multiple people all own full and equal shares of the property, whether it is residential or commercial in nature. Right of Survivorship means that once one of the owners dies, their share immediately divides equally amongst the living owners. For instance, if two spouses own their home in a Joint Tenancy with Right of Survivorship, when one of them dies, their ownership passes immediately to the other in full. It does not enter probate.
Real Estate Held in a Community Property Agreement
Washington is one of only five states in the nation that recognizes a special document called a Community Property Agreement. When you work with an attorney to create a Community Property Agreement, you are stating that a piece of property you own (let’s say your house) is actually “community property” owned equally by a group of people (let’s say you and your spouse.) When you die, that property is given to the rest of the community immediately, without entering probate.
Get the Help You Need
When it comes to Real Estate property, you don’t want your family to have to wait on a Judge to make the decision and pass it along to them. You want them to be able to have it right away. For help transferring your property outside of probate, contact McMahon Law Group today! If you’re looking for a law firm you can trust, look no further!
McMahon Law Group
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