You may own property in more than one state if you have a large estate. However, the probate laws for each state can vary. Therefore, the distribution of the real estate in various states takes place through the probate court of that state upon the owner’s death. Ancillary probate occurs when the person owns real estate or personal property in different states at the time of his death. Therefore, the probate process becomes more complicated for the deceased persons having real estates in different locations. A Probate Attorney Near Me 11579 can help you make an estate plan to avoid the hassle of ancillary probate.
What Is Ancillary Probate?
Ancillary probate refers to the probate proceedings taking place in other states than the home state of the deceased person. The probate occurring in the home state of the person is known as the main or primary probate.
The working of the ancillary probate is similar to the regular probate process. The main difference is that ancillary probate occurs according to the laws of the state where the property lies. For instance, let’s suppose that Bob lives in California, but he also owned a property in Washington. After his death, the transfer of the assets to the heirs that lie in Washington occurs through the Washington probate court.
Drawbacks And Consequences Of Ancillary Probate
Ancillary probate doesn’t have any advantages. However, it has various drawbacks that can affect your family members after your demise. They are:
One of the main disadvantages of ancillary probate is the additional costs. Your family members have to pay additional charges for probate proceedings in different states. The process becomes more complicated if you have a property in more than two states. Firstly, they have to hire the probate attorney of that state and also have to pay the court fees.
There can be considerable time delays in ancillary probate. It happens because every state has different probate deadlines. If the property or real estate has to go through probate in multiple states, there can be many potential delays. They may come from managing processes, state probate laws, or anything else.
If any person dies without any valid will, the court decides the representatives of the deceased person’s assets. It can vary according to state and can lead to a different result than your home state.
The court will levy some taxes on the property during the distribution time to the beneficiaries after the death of its owner. Therefore, if the property lies in different states, the charges can be really significant. Due to this issue, a considerable part of your property can go in the form of taxes.
A Probate Attorney Near Me 11579 Can Help You To Avoid Ancillary Probate
Due to the disadvantages of ancillary probate, many people want to know how to avoid it. Yes, various ways can help you avoid ancillary probate even if you own property in multiple states. They are:
If you own any assets with another person through joint ownership, it will directly pass to the other owner at your demise through the right of survivorship. You can use this type of ownership for real estate, bank accounts, or other valuable assets. Joint ownership can help to avoid the probate process where it lies in any state. However, you must always take the help of a Probate Attorney Near Me 11579 to make the process smoother.
Use Transfer-On-Death Designation With Probate Attorney Near Me 11579
Some states allow the use of transfer-on-death (TOD) designation for proper property inheritance after the owner’s demise. In this type of deed, you will retain control over your assets during the lifetime. The best thing about this deed is that you can even change it if the circumstances change. After your demise, the beneficiary automatically receives the property without probate.
Revocable Living Trust
Making a trust is another great way to avoid ancillary probate. If you transfer your assets to the living trust, they need not go through probate after your demise, whether they lie in any state. It happens because the trust becomes the owner of the property after holding the title. After your death, the living trust still remains alive, which means that there is no need for probate. The trustee of the living trust is responsible for distributing the property in the living trust rightly after your death.
However, you must always take the help of a professional before using any of the above tools. The probate laws in each state are different. A Probate Attorney Near Me 11579 can help you to make the best estate plan that suits you best according to your needs.