Can a living trust avoid probate for out of state property?

Question

I own my primary home in my living trust, and I am thinking about buying a vacation property in another state. One reason I created the trust was to simplify probate, so I am wondering whether purchasing the second property in the trust would help avoid a separate probate case there. Does a properly funded living trust normally work for out of state real estate, and what local deed or tax issues should be reviewed before taking title?

Soradin · Accepted Answer

It can often help if the deed is properly transferred to the trust before death. In the estate planning context, real estate located in another state can create an additional probate proceeding in that state. For this legal issue, trust ownership, qualifying deeds, business entities, or other transfer methods may simplify administration when properly planned. Both state rules and the account paperwork can affect the result, and a qualified professional should review the specifics before anything is changed.

Can a living trust avoid probate for out of state property?

Soradin

Need help with your situation?