Column: California Assembly Bill 2016 to streamline small estates
By Victor Herrera,
– If your estate plan centers mainly on a single home, as a primary residence, under $750,000, a recently enacted law in California, that went into effect last year, streamlines the process for transferring that property without full probate.
Most notably, California Assembly Bill 2016 updates the value threshold for a Petition to Determine Succession to Primary Residence, making it easier for heirs or beneficiaries to obtain transfers without needing full probate.
Those inheriting small estates, particularly those where a primary residence is the primary asset, will be the main group able to take advantage of this new law. In short: If an estate includes only modest assets, especially a primary residence, AB 2016 presents a streamlined route to title transfer with less expense and delay.
The previous outdated law limited the value of property eligible for simplified transfer to $184,500. AB 2016 brings more small estates within reach of the simplified process. Increasing the value of the primary residence for purposes of the Petition to Determine Succession to Primary Residence allows for more estates to circumvent full probate proceedings. The simplified process under the new law also reduces court fees and legal complexities, easing burdens on families and/or their fiduciaries.
Instead of a probate taking a year or more, depending on which county the probate is opened, a Petition to Determine Succession to Primary Residence may only take a few months to half a year to allow for the transfer of the primary residence from the decedent to the heirs or beneficiaries of the decedent. This process requires fewer hearings, fewer filing fees, and overall, far less hassle and headache for family members seeking to transfer title on the primary residence.
Carmel & Naccasha Partner Victor Herrera leads the firm’s Wills, Trusts and Estate Planning practice. If you have any questions about this article, please contact him at www.carnaclaw.com or (805) 546-8785 for further information.
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Founded in 2004, Carmel & Naccasha has offices in San Luis Obispo and Paso Robles. The firm’s lawyers focus their practice and provide exemplary client services in the areas of business transactions, real property, land use, commercial and employment litigation, trusts and estate planning, municipal law, and insurance coverage. For more information about Carmel & Naccasha, visit the website at www.carnaclaw.com.
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