The Pros and Cons of Joint TenancyJanuary 31, 2017
The Risk of Sole Home Ownership
Do you know how you currently hold title vesting to your real estate? You may not be protected from probate depending on how it is vested! The manner in which you hold title to your real estate is important and could protect your estate from costly probate. Each vesting is unique and has both positives and negatives. There are specific titles that allow the owners to avoid probate and others do not. When talking about protecting real estate from probate, many of our clients do not know how they hold title to their real estate.
Sole Ownership (Probate required if owner passes away)
If property is owned by only one person it is considered to be sole ownership. No special vesting or indication on the deed is necessary. When the sole owner passes away, the property must be probated in order for the heirs to inherit the property.
Example: Jerry decides to buy 1234 Opal Street and is the only owner. He owns the property as a sole owner. No special vesting is necessary. If Jerry, passes away, his son Jerry, Jr. must probate the estate in order to inherit the property. Therefore, he is not protected from probate.
SOLUTION: Transfer your title vesting into your TRUST to AVOID PROBATE! Call us today to find out how.
Learn about the most common ways to hold title to your real estate property and whether or not they avoid probate.
Continue to Part 1 – SOLE OWNERSHIP
Continue to Part 2 – JOINT TENANCY
Continue to Part 3 – COMMUNITY PROPERTY WITH RIGHT OF SURVIVORSHIP
Continue to Part 4 – COMMUNITY PROPERTY
Continue to Part 5 – TENANTS IN COMMON
Continue to Part 6 – LIVING TRUST
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Probate is a special court that supervises and determines how a deceased person’s estate is to be distributed. The probate procedure may take years to complete. Probate can become an expensive and time consuming process that can be avoided by creating a Living Trust or adding a Joint Tenant. Ultimately, however, the best solution to avoid probate is to vest your real property in your Living Trust.