When Real Estate is involved in probate and it needs to be sold. Knowledge in the field is important to assist the executor/administrator with the disposition of the property in as short a period of time as possible.

Most estates need to dispose of the property to settle debts, taxes and other obligations. My team and I can assist during these difficult times, providing great service and quick results for the estate to move forward with the settlement.

The financial strain that is sometimes felt by the executor/administrator can be relieved when the real estate is sold and settlement can occur. Reducing the amount of emotional and financial strain felt by the head of the estate is our first priority. Working together with the estates attorney and coordinating the sale and closing of the Real Estate involved is what we focus or attention too. While being sensitive and understanding about the difficulty of the situation.

If you find yourself in need of assistance with Real Estate during a probate proceeding, feel free to contact me via this form or the phone number above, for a no obligation consultation.

Below are a few of the most common questions about probate and the probate process.

WHAT IS PROBATE?

Probate is a legal process that is used to close out a person’s legal and financial affairs after death. In California probate is conducted in the Superior Court of the county where the decedent lived. It can be a long process from as short as six months or up to several years.

WHAT HAPPENS DURING THE PROBATE PROCESS?

The person who is nominated in the will as executor files a petition with the Superior Court asking that he or she be appointed as executor. If there is no will, the Probate Code provides a list of persons who have priority to petition to become administrator. The will also is filed with the petition, and notices are sent to the heirs and/or relatives to let them know when the hearing will be held. If there are objections to the petition, or if the validity of the will is contested, the hearing will be used to resolve any problems that have arisen. In some cases this may mean that the validity of the will is not upheld, or that some other person than the original petitioner is chosen to administer the estate. In most cases, however, there is no objection and the petition is granted. The executor then makes an inventory of the estate’s assets, locates creditors, pays bills, files tax returns, and manages the estate assets. When all of the duties of the executor are completed, another petition is filed with the court asking that the estate be distributed to the heirs. If this petition is granted, the estate administrated is completed by distributing the assets to the heirs and filing final tax returns.

HOW MUCH DOES PROBATE COST?

California Probate Code sets the maximum fees that attorneys can charge for a probate. Higher fees can be ordered by a court for more complicated cases. The fees are 4% of the first $100,000 of the estate, 3% of the next $100,000, 2% of the next $800,000, 1% of the next $9,000,000, and 0.5% of the next $15,000,000. For estates larger than $25,000,000, the court will determine the fee for amounts greater than $25,000,000.

If both the attorney and the executor receive a fee, the amount paid will be doubled. The value of the estate is determined, by the inventory for the estate. (If an accounting of the estate has been waived, the total value of the estate for attorney’s fees purposes is the inventory, plus gains on sales, minus losses on sales.) If there is debt, it is not included in determining attorney’s fees. For example if a house is appraised at $1,000,000, and it has a mortgage of $800,000, it is still considered an asset of $1,000,000 in value and would be used to calculating attorney’s fees.

The fee to file a probate petition is $395 and can higher in some counties depending on surcharges. There are other fees, publication of the probate notice, fees for the probate referee, and for certification of copies of court documents.

THE APPRAISAL OF THE ESTATE.

A probate referee appraises an estate and they are appointed by the State Controller. They determine fair market value of the assets. The fair market value includes mortgages and other debts. Probate referees receive a fee based on .1 percent of the appraised.

CAN FEES GO HIGHER?

Yes, in probates that are complicated by tax problems or lawsuits, the attorney and executor can ask the judge to approve fees that are higher than state law allows.

WHAT ARE THE ADVANTAGES OF PROBATE?

The proceedings are controlled by a judge, who can decide disputes between heirs or between the heirs and the executor. Creditors are required to submit their claims against the estate within a four-month period, provided they have been notified of the probate. The executor is required, in most cases, to prepare an accounting and report of the executor’s activities.

WHAT RE THE DISADVANTAGES OF PROBATE?

The cost is almost always much higher than the cost to administration a living trust for an estate valued at the same amount. It also takes much longer to probate an estate than to administer a trust. Most estates don’t need court supervision, unless disputes occur.

HOW TO AVOID PROBATE?

Many estates do not need to go through probate. If there is a surviving spouse, a spousal property petition might be used. For small estates the small estate law may be useful.

This is not legal advice and shouldn’t be taken as such. Please consult an attorney for the most current information. You can contact me via this contact form or call me at (562) 208-3760 to be referred to a probate attorney for assistance.