Legal Question in Wills and Trusts in California
Both of my parents have passed away recently. My parents created a Living Trust in June of 1995, which states that the house would be left to me. I am the Successor, Trustee, and Executor of the property. The property has an existing loan and I am in the process of selling the house. Since I have this Living Trust, does the property have to go through Probate?
4 Answers from Attorneys
Probably not, but you will need to do other things to place title in a position for you to be able to sell it. Best to spend a few hundred dollars on consultation with a local attorney.
As long as the Property is held in the name of the Trust you should be fine, but you will need to do some trust administration tasks before you sell. Are there creditors that need to be paid? Have creditors been given notice? Has DHS been given notice and will there be a Medi-Cal lien issue? Please spend the time and a little bit of money to have a local attorney with Trust and Probate expertise assist you.
If the real property is properly titled into the trust, then Probate will not be necessary. In most instances you will need to file a form entitled "Affidavit of Death of Trustee" with the county recorder where the property is located. As Mr. Feldman has advised, you will need to handle all aspects of the trust administration in addition to the sale to the house. I, too, recommend that you consult with a trust and estate attorney.
I agree with the above answers. It is also important to file a Claim for Exemption from Reassessment for Parent/Child Transfer in a timely manner (with the county assessor's office.)