Understanding How Probate Affects Jointly Owned Property in California

Many believe that when two people are listed on a property, the surviving owner automatically inherits everything after the other one passes away. However, in California, this is not necessarily true. What happens depends on how the property was titled before death. Indeed, some jointly owned properties can bypass probate, but others must be included in the probate estate.

If you are managing someone’s estate after their death, it’s crucial to understand these ownership rules. Keep reading!

Joint Tenancy and Probate

Many people in California own property as joint tenancy with right of survivorship. When one owner dies, their share automatically transfers to the survivor, avoiding probate court. For example, suppose two siblings own a house this way, and one passes. The surviving sibling usually ends up as the sole owner. But the survivor still needs to file legal documents, including an affidavit of death, to update the title records.

That said, joint tenancy can also create disputes if there’s a will that says something else. Most of the time, the joint deed takes precedence. The survivor gets the property, even if the will says something different.

Tenancy in Common May Require Probate

Under this ownership agreement, each owner has an unequal share, and when someone dies, their part doesn’t just pass to the other owners. Instead, their share becomes part of their estate, and usually needs to go through probate, according to the person’s will or, if there’s no will, California’s intestate laws. This surprises many families who thought joint ownership automatically meant avoiding probate.

Tenancy in Common can also lead to arguments, especially if several heirs end up with partial interests in the same property. Things can get messy quite fast.

Community Property

In California, there’s what is referred to as “community property,” which can add another layer of complexity. If spouses own property as just “community property,” probate may be required after one spouse passes away. However, if the title says “community property with right of survivorship,” the surviving spouse typically gets everything without needing probate. Those little words can make a huge difference, so it is important to double-check all the paperwork after someone dies.

Common Probate Issues

Joint ownership can cause unexpected issues after death. For instance, a parent may add one child to a property deed for convenience while intending for all of their children to share the property equally in the future. The parent may even state in a will that the house should be divided equally among all siblings.

But if the deed lists the property as a joint tenancy, ownership automatically passes to the child named on the deed upon the parent’s death. In such a case, the will’s terms don’t control the transfer, potentially leaving the other heirs with no interest in the property.

Disputes may also arise involving creditor claims, tax consequences, or outdated property records. Even when families expect property to bypass probate, unclear ownership language can still require court involvement.

Because of these risks, the best thing you can do is review all deeds, wills, and estate documents carefully once a loved one passes away.

Contact Us for Legal Help

If you have questions about jointly owned property after a death, contact an experienced California probate attorney, Robert L. Cohen – The Probate Guy – today to schedule a telephonic consultation.

Southern California Probate Lawyer Serving Orange, Riverside, Anaheim, Whittier & Beyond.

Source:

law.cornell.edu/wex/right_of_survivorship