During estate planning, a testator often seeks to control the flow of their property to the next generation after their death. Estate planning might integrate both tax planning and asset protection from creditors with careful instructions for an executor regarding physical property.
For many people in Nevada, their home is the most significant property that they own. People may leave instructions behind for their executor to sell the property or possibly to transfer it to one or more of their beneficiaries.
While real estate does increase the value of your estate, it can also complicate its administration. What impact will real estate have on the probate process in Nevada?
Real property makes it harder to bypass probate
Those who leave smaller estates behind for their loved ones can potentially avoid probate proceedings for their property if they leave a will. Estates with a total value of less than $20,000 can usually avoid probate altogether.
However, even if the only property held by the testator was a single acre of unimproved desert, real estate holdings necessitate probate proceedings. Regardless of the value of the real estate, the executor will most likely have to go through probate court to settle the estate. Instructions on whether to retain and bequeath or sell the property will not affect probate requirements.
The one exception to this rule would be when the testator had the foresight to transfer their real property in to a trust before they died. Executor and beneficiaries alike may need guidance when trying to figure out how courts will handle real estate in probate court. An experienced attorney can help.