Are You Setting Yourself Up for an Ancillary Probate?

When it comes to estate planning, many people focus on ensuring their assets are properly distributed according to their wishes. However, if you own property in more than one state, you may inadvertently be setting yourself up for ancillary probate. Ancillary probate is a secondary proceeding required when a decedent’s property is in a state different from their primary residence. We want you to be aware of ancillary probate implications and how to avoid them. Here are the essential tips to help you avoid ancillary probate and ensure a smoother estate administration process.

Ancillary probate will prolong estate settlement.

Ancillary probate can complicate the administration of your estate, leading to additional time, expense, and stress for your loved ones. Owning out-of-state property can impact your estate plan and require steps to minimize the potential for ancillary probate.

Ancillary probate is required by law…

When a decedent’s estate includes real property in a state other than the state of primary residence it is necessary. Do you own a vacation home, rental property, or any real estate outside of your home state? Your estate could be subject to probate proceedings in each state where the property is located. This can lead to increased legal fees, court costs, and delays in distributing your assets to your heirs.

Establish a revocable living trust.

One effective way to avoid ancillary probate is to transfer ownership of your out-of-state property to a revocable living trust. By doing so, the property is no longer considered part of your probate estate. It can be managed and distributed according to the terms of the trust without the need for ancillary probate proceedings. This strategy can streamline the estate administration process and reduce the burden on your heirs.

More effective solutions for bypassing ancillary probate

Use a tenancy by the entirety or a joint tenancy with right of survivorship. Check with an attorney in the state where the property is located to determine which is the better choice. Hold your out-of-state property in joint ownership as tenants by the entirety or joint tenants with right of survivorship. We more typically recommend a trust agreement to ensure your estate planning goals can be met. When one owner passes away, with joint ownership the property automatically transfers to the surviving owner without probate. It can be an effective strategy for married couples. You must consider the potential tax implications and ensure that joint ownership aligns with your overall estate planning goals.

Regularly review your estate plan.

It is essential to review your estate plan periodically. Adjust as needed to account for changes in your assets, family circumstances, and state laws. Regular reviews with your Florida estate planning attorney can ensure that your plan remains up-to-date and effective in minimizing the risk of ancillary probate.

In conclusion, ancillary probate can add unnecessary complexity, expense, and stress to the administration of your estate. By understanding the risks and taking proactive steps to avoid ancillary probate, you can ensure a smoother and more efficient transfer of your assets to your loved ones. Our Florida estate planning law firm is committed to helping you achieve your estate planning goals with confidence and peace of mind.

Law Offices of John Mangan, PA
Palm City – Stuart, FL
CALL: 1 (772) 218-0480

Do you question the need for attorney guidance with so many online resources? Because laws and regulations are complex, and because every person has a lot at risk, more people than ever are seeking professional guidance from an experienced, knowledgeable source. That helps explain the rapid growth of our firm. Whether you happened upon this website by accident or are one of the many referrals we receive from a nearly 15-year collection of satisfied clients, our staff can provide customized estate planning guidance for you. Call us. Our number: 1 (772) 218-0480