In Michigan, you can make a living trust to avoid probate for virtually any asset you own—real estate, bank accounts, vehicles, and so on. You need to create a trust document (similar to a will), naming someone to take over as trustee after your death (called a "successor trustee").
Absolutely nothing can be done to the property until probate is granted. Before the final ruling, the court must review all debts from the estate and if anything on the property can be used to settle those debts. Before it clears probate, anyone else can contest the validity of the will and ownership of said property.
Personal possessions should not be distributed before probate is completed, as they are part of the estate that must be inventoried and appraised. Distributing items prematurely could lead to legal disputes, especially if they are intended for specific beneficiaries.
Assets usually don't need to go through Probate if the assets that are jointly owned, the assets have a beneficiary designation, or the assets are held in a Living Trust. A will can also help, especially if you are the sole owner of your assets.
First and foremost, there are a number of asset types that typically do not pass through probate. This includes life insurance policies, bank accounts, and investment or retirement accounts that require you to name a beneficiary.
If the property needs to go through the probate court process, the house can stay in a decedent's name until the probate process has been completed and ownership of the property has been transferred.
A great method is using large boxes and labeling them “Keep,” “Recycle,” “Donate,” and “Discard/Throw Away.” Even if you feel like storing everything in the “Keep” box, remember that you're not obligated to hold on to every little thing.
Yes, But it's Time to Start Making Other Arrangements
However, if one beneficiary lives in the property to the exclusion of others who also inherit the property, litigation may result between them. In California, any property owned by an individual is subject to probate, including real estate.
A house can avoid probate if it has been passed on to a survivor via a living trust, joint ownership, or a transfer on death deed. If not, the property will usually end up in the probate process regardless of a will. The quick answer is no, you cannot sell a house before probate.
Typically, probate in Michigan can take anywhere from a few months to over a year, depending on the complexity of the estate and the efficiency of the court system. One of the primary factors affecting how long probate takes is whether the estate is contested or uncontested.
If the will is contested, litigation costs can be insurmountable. By avoiding probate, you can also keep someone from contesting your wishes altogether. Finally, one of the biggest reasons individuals avoid probate is because they want their financial affairs kept private.
A quitclaim deed can be used to avoid probate by transferring interest in real property before someone's death. This prevents the property from going through probate court because ownership is transferred by deed during the grantor's life, rather than begin transferred by a Will after their death.
Twenty-eight days or more following the decedent's death, a person holding the decedent's property must deliver it to the decedent's successor when the successor presents the death certificate and a sworn statement. MCL § 700.3983.
Real Estate Going Through the California Probate Process
There is no prohibition against you living in a house that is going through the probate process. Most estate representatives prefer that someone live in a property that is going through probate.
Most state laws require that all wills be filed. They do not, however, require an executor to file a petition for probate or prove the validity of the last will and testament. Property could remain in the decedent's estate indefinitely if no one probates the will.
A probate asset might include personal items, real estate, vehicles, a bank account, and tenets-in-common assets. Not all property is considered a probate asset. Other assets are non-probate property. These assets bypass the probate process and go directly to beneficiaries or co-owners, no matter what the will says.
Your estate consists of all property and personal belongings you own or are entitled to possess at the time of your death. This includes real estate, personal property, cash, savings and checking accounts, stocks, bonds, automobiles, jewelry, etc.
Establish a living trust: This is a common way for people with high-value estates to avoid probate. With a living trust, the person writing the trust decides which assets to put into the trust and who will act as trustee.
There are circumstances in which assets may be distributed early. This is generally due to the needs of the decedent's spouse and dependents. These family allowances are governed by the probate code and a personal representative should seek the advice of a probate attorney before making any distributions.
Personal property that may not come with deeds, titles, or other paperwork, like home electronics, artwork, clothing, and memorabilia are also considered to be assets in your name only, so they will also have to go through probate.