Navigating probate can be a lengthy and challenging journey. Check out our latest article to discover how to steer clear of probate court in NC!
No one wants to face the probate process, especially if they intend to sell the property they inherited after losing a loved one. By preparing in advance, individuals can bypass probate, providing their families with the comfort they deserve during such a tough time.
Why Avoid Probate?
Many people in NC want to skip probate for several reasons. One big reason is the cost. Fees for lawyers, appraisals, court, and the executor can pile up quickly. Sometimes, the executor may decide not to take their fee to keep things fair among family members. Another issue is that probate can take a long time. It’s necessary to track all the assets and heirs, and proper notifications must be sent out. All debts must be paid off before any money or property can be given to the beneficiaries. Overall, going through probate is not something anyone looks forward to if they can avoid it.
Using A Trust
You can create a trust to protect your belongings from going through probate. By establishing a revocable living trust, you can keep the items inside it safe from probate. It’s important to set up the trust while you are still clear-headed and can make your own choices about what to include. Think of the trust as a bucket where you put all the assets you want to keep safe and organized.
Joint Ownership
When someone buys a house together with another person, they can create a shared ownership deal. With the right of survivorship, the home automatically goes to the owner who is still alive, skipping the probate process. It’s crucial to arrange this when buying the property because adding someone to the deed later can be expensive.
Beneficiary Designations
When you open a bank account or set up a life insurance policy, you often choose a beneficiary. This choice helps ensure that these items skip the probate process. In some states, you can even create a transfer-on-death certificate for your real estate, which lets the property pass to someone else after you’re gone. It’s important to keep your beneficiary choices current. Many people forget to update this information after a divorce or the death of someone close. If you don’t, your ex could inherit everything, or your property might have to go through probate.
Giving Inheritance Away
While you are still alive, you have the ability to intentionally “gift” most of your possessions to your loved ones or other people you choose. If you no longer own these items when you pass away, they won’t need to go through probate. Many items, especially those valued at $11,000 or less, can be given without facing any federal tax charges. You can give this amount to someone once a year. This helps lower the total value of what goes through probate after you’re gone.
Avoiding Probate for Smaller Estates
In some states, it’s simpler to skip probate if the estate is small. What counts as small can differ depending on where you are located.
Avoiding probate can really help heirs in NC. The fees, expenses, and stress of the probate process can be tough to handle. If you’d like to find out more about how to bypass probate in NC, contact us today!
Want to know more? Get in touch with us to discover how to avoid probate court in NC!