The Ultimate Guide

Navigating Probate for Inherited Properties in California

Complete Guide to California Probate Process, Executor Duties, and Fast Property Sales

Y
By YK (California DRE #02006033)
15 min read
7 Sections
Table of Contents (7 sections)

Understanding the California Probate Process

When a California property owner passes away, their real estate typically must go through probate—a court-supervised process that validates the will, appoints an executor or administrator, settles debts, and transfers property to rightful heirs. Understanding this process is essential for anyone who has inherited property or expects to, as the decisions made during probate significantly impact both the timeline and financial outcome of the inheritance.

12-18 months
Average CA Probate Duration
4-7%
Statutory Fees
$184,500
Small Estate Threshold

California probate law, governed primarily by the California Probate Code, establishes strict procedures and timelines that executors must follow. The process begins when someone files a petition with the Superior Court in the county where the deceased resided. The court then appoints a personal representative—either the executor named in the will or an administrator if there's no will—who takes legal responsibility for managing the estate through the probate process.

Probate vs. Trust Administration: Key Differences

FactorFull ProbateSimplified ProbateTrust Administration
Court SupervisionRequired throughoutLimitedNone required
Timeline12-18+ months3-6 monthsWeeks to months
Public RecordYes - all filings publicLimitedPrivate
Attorney FeesStatutory 2-4%ReducedNegotiable hourly
Property SalesCourt confirmation often requiredUsually not requiredTrustee discretion
Applicable WhenEstate over $184,500, no trustEstate under $184,500Assets held in trust

Executor Duties and Responsibilities

Serving as executor of a California estate is a significant responsibility that involves legal, financial, and administrative duties. The executor acts as the legal representative of the deceased's estate, responsible for protecting assets, paying debts and taxes, and ultimately distributing property to beneficiaries according to the will or state law. Understanding these duties helps executors fulfill their role properly while protecting themselves from personal liability.

Executor's Probate Timeline

1
Week 1-2: Immediate Actions

Secure property, locate will, obtain death certificates (10+ copies), begin inventory of assets

2
Month 1: File Petition

File probate petition with Superior Court, notify beneficiaries and creditors

3
Month 2-3: Letters Issued

Court hearing, receive Letters Testamentary granting executor authority

4
Month 3-4: Creditor Period

Publish notice to creditors, 4-month claim period begins

5
Month 4-8: Estate Administration

Pay valid debts, file tax returns, maintain property, prepare for distribution

6
Month 8-12: Final Accounting

Prepare final accounting for court approval, petition for distribution

Month 12-18: Distribution & Close

Distribute assets to beneficiaries, file final documents, close estate

Gathering Essential Documents

The first critical task is locating and organizing key documents. You'll need the original will (if one exists), death certificates (order at least 10 copies as banks, title companies, and government agencies all require originals), property deeds, mortgage statements, insurance policies, bank and investment account statements, vehicle titles, and any trust documents. These documents form the foundation for the probate petition and ongoing estate administration.

Document CategorySpecific Documents NeededWhere to ObtainWhy Required
Death Certificate10+ certified copiesCounty RegistrarRequired by all institutions
Will/TrustOriginal signed documentAttorney, safe deposit boxValidates executor authority
Property RecordsDeed, title report, mortgage statementsCounty Recorder, lenderEstablishes ownership, liens
Financial AccountsBank statements, investment accountsFinancial institutionsAsset inventory
InsuranceLife, property, auto policiesInsurance companiesClaims, property protection
Tax ReturnsLast 3 years of returnsCPA, IRS transcriptsEstate tax filing
DebtsCredit cards, loans, medical billsCreditorsCreditor claims process

Can I be held personally liable for mistakes as executor?

Yes. Executors can be held personally liable for breach of fiduciary duty, including mismanaging assets, failing to pay valid debts before distributing to beneficiaries, self-dealing, or making distributions to wrong parties. Executor liability insurance (E&O coverage) is available and recommended for large or complex estates. Working with a probate attorney significantly reduces liability risk.

Securing and Maintaining the Property

One of the executor's most important duties is protecting real estate assets during probate. This means ensuring the property is physically secure (changing locks if necessary), maintaining insurance coverage, paying property taxes to avoid liens, keeping up with HOA fees, and performing necessary maintenance to preserve value. Failure to properly maintain property can result in personal liability to beneficiaries for any resulting loss in value.

Pro Tip

If the estate lacks liquid funds to cover property expenses during probate, you may need to petition the court to sell personal property or request an advance from beneficiaries. Document all expenses meticulously—you'll need receipts for the final accounting, and proper documentation protects you from beneficiary disputes.

Probate Costs and Fee Structures

Understanding probate costs helps executors and beneficiaries plan appropriately and evaluate whether certain strategies—like selling property quickly or pursuing simplified procedures—make financial sense. California uses a statutory fee schedule that applies to both executors and attorneys, based on the gross value of the probate estate rather than net equity.

Gross Estate ValueAttorney FeeExecutor FeeCombined FeesPercentage
$100,000$4,000$4,000$8,0008.0%
$250,000$6,500$6,500$13,0005.2%
$500,000$11,500$11,500$23,0004.6%
$750,000$16,500$16,500$33,0004.4%
$1,000,000$21,500$21,500$43,0004.3%
$1,500,000$26,500$26,500$53,0003.5%
$2,000,000$31,500$31,500$63,0003.2%

The statutory fee formula calculates as follows: 4% of the first $100,000, plus 3% of the next $100,000, plus 2% of the next $800,000, plus 1% of the next $9,000,000, plus 0.5% of amounts over $10,000,000. Both the executor and attorney are entitled to these fees, effectively doubling the percentages shown. For complex estates, attorneys may petition for 'extraordinary fees' beyond the statutory amounts.

$435-$500
Court Filing Fees
0.5-1%
Bond Premium
$250-$500
Appraisal Fees

Additional Probate Costs Beyond Statutory Fees

Expense CategoryTypical CostWhen RequiredNotes
Court Filing Fees$435-$500AlwaysInitial petition and subsequent filings
Probate Referee Appraisal$250-$500 per propertyReal estate assetsCourt-appointed appraiser for inventory
Surety Bond0.5-1% of estate valueOften waived in willProtects beneficiaries from executor misconduct
Publication Costs$200-$400AlwaysLegal notice to creditors
Certified Copies$25-$50 eachMultiple neededLetters Testamentary copies
Accounting Fees$1,000-$5,000Complex estatesCPA for estate tax returns
Property MaintenanceVariesOngoingInsurance, taxes, repairs during probate

Can executors waive their statutory fee?

Yes. Family member executors often waive their fee, especially when they're also beneficiaries. This saves the estate 2-4% of gross value. However, executors should carefully consider whether the workload justifies waiving compensation—probate administration requires significant time and effort over 12-18 months. The decision to accept or waive fees should be documented formally.

Selling Real Estate During Probate

Many executors need or want to sell estate real estate during probate rather than distributing the property itself to beneficiaries. Common reasons include multiple beneficiaries who want cash rather than shared ownership, the need for liquid funds to pay estate debts and expenses, properties that are difficult to maintain from a distance, or simply beneficiary preference for immediate proceeds. Understanding the probate sale process helps executors navigate this option effectively.

Full Authority vs. Limited Authority Sales

If the will includes Independent Administration of Estates Act (IAEA) powers, the executor can sell property with full authority—meaning no court confirmation is required. The sale proceeds much like a standard real estate transaction. However, if the estate has limited authority, each sale must be confirmed by the court in a hearing where other buyers can submit competing bids (called overbids), potentially driving up the price but adding uncertainty and delays.

Probate Property Sale Process (Limited Authority)

1
Step 1: Obtain Appraisal

Court-appointed probate referee appraises property. Sale must achieve at least 90% of appraised value.

2
Step 2: List and Market Property

Executor works with real estate agent to list property. Must disclose probate sale status.

3
Step 3: Accept Offer

Accept offer with 10% deposit. Include probate contingency language in contract.

4
Step 4: File Sale Petition

Attorney files petition for court confirmation of sale. Hearing set 30-45 days out.

5
Step 5: Court Confirmation Hearing

Judge reviews sale terms. Other buyers may submit overbids (starting at 5% + $500 over current offer).

Step 6: Closing

If confirmed without overbid, proceed to close. If outbid, highest bidder becomes buyer.

Advantages of Cash Buyers for Probate Sales

FactorTraditional Financed BuyerCash BuyerImpact on Executor
Financing ContingencyYes - loan must be approvedNoneCash eliminates deal-killing loan denials
Appraisal ContingencyYes - bank requires appraisalTypically waivedNo risk of low appraisal killing deal
Timeline to Close45-60 days minimum14-21 days possibleFaster estate settlement
Property ConditionMay require repairs for loanAs-is purchasesNo pre-sale repairs needed
Court OverbiddingMay lose to overbidderOften willing to overbidGreater certainty of closing
Failed Sale RiskHigher - financing issues commonVery lowAvoid restarting sale process

Can the executor sell the property to themselves or a family member?

Executors face strict conflict-of-interest rules. Selling estate property to yourself, a family member, or a business you control requires full disclosure to all beneficiaries and often court approval—even with full IAEA authority. The sale must be at fair market value, and beneficiaries can object. Many courts scrutinize such sales closely. When in doubt, obtain independent appraisals and beneficiary written consent.

Avoiding or Simplifying Probate

While probate is often unavoidable for California real estate, several circumstances allow families to bypass the full process or use simplified procedures. Understanding these alternatives can save months of time and thousands of dollars in fees—making it worthwhile to evaluate whether any of these options apply to your situation.

When Properties Avoid Probate Entirely

Ownership TypeHow It WorksTransfer ProcessDocuments Needed
Living TrustProperty titled in trust nameTrustee distributes per trust termsTrust document, death certificate
Joint TenancyRight of survivorshipAutomatic to surviving ownerAffidavit, death certificate
Community Property with Right of SurvivorshipSpouse inherits automaticallyRecord affidavitAffidavit, death certificate
Transfer-on-Death DeedBeneficiary named on deedBeneficiary claims after deathTOD deed, death certificate, affidavit

Properties held in a living trust avoid probate entirely because the trust—not the deceased individual—technically owns the property. The trustee (often a successor trustee after death) can transfer or sell the property according to trust terms without court involvement. Similarly, property held in joint tenancy with right of survivorship passes automatically to the surviving owner(s) upon death, requiring only an affidavit and death certificate to clear title.

Small Estate Procedures

Important Threshold Note

The $184,500 small estate threshold applies to probate estate assets only—not assets that pass outside probate like life insurance, retirement accounts, or trust property. A deceased person might have millions in total assets but still qualify for small estate procedures if the probate estate (assets in their name alone without beneficiary designations) falls under the threshold.

What if the property wasn't properly transferred into the trust before death?

This common situation is called an 'unfunded trust.' If the deceased created a trust but never transferred the property into it, the property may still need to go through probate. However, a Heggstad Petition (based on Estate of Heggstad court case) may allow the court to determine that the property was intended to be part of the trust, potentially avoiding full probate. Success depends on evidence of intent—such as the trust document listing the property or pour-over will language.

Multiple Heirs and Conflict Resolution

When multiple beneficiaries inherit a property together, disagreements about what to do with it are common. One sibling may want to keep the family home for sentimental reasons while another needs cash immediately. A third might want to rent it out for income. These conflicts can delay estate settlement, damage family relationships, and reduce the ultimate value everyone receives. Proactive communication and understanding your options helps prevent disputes from escalating.

Common Scenarios and Resolution Options

ScenarioResolution OptionsProsCons
All want to sellSell property, split proceedsClean break, immediate cashMust agree on price/timing
One wants to keepBuying out other heirsKeeps property in familyBuyer needs funds for buyout
Some want to rentForm LLC, become co-landlordsOngoing income streamRequires cooperation, shared expenses
No agreement possiblePartition action (court-ordered sale)Forces resolutionExpensive, adversarial, poor sale price
Temporary disagreementRent property while decidingIncome covers costs, time to decideDelays final resolution

Preventing Multi-Heir Conflicts

1
Early Communication

Discuss intentions openly before emotions run high. Share concerns and listen to others' perspectives.

2
Get Independent Valuations

Obtain 2-3 professional appraisals or CMA reports. Shared facts reduce disagreements about property worth.

3
Explore All Options

Consider buyouts, co-ownership, delayed sales, or hybrid solutions before assuming positions are fixed.

4
Document Agreements

Put any interim or final agreements in writing. Include timelines, responsibilities, and contingencies.

5
Consider Mediation

A neutral mediator can facilitate productive discussions when direct communication stalls.

Know Your Rights

Understand that partition action is an option—but use this knowledge to motivate agreement, not threaten.

Can one heir live in the property while others want to sell?

Yes, but with complications. The residing heir should pay fair market rent to the estate or other heirs, cover all expenses, and agree to a timeline for eventual sale or buyout. Without such an agreement, non-residing heirs may feel they're subsidizing the resident's housing. Document any arrangement clearly and consider whether the resident will have first right to purchase if a sale is ultimately decided.

Quick Cash Sale as Conflict Resolution

When heirs cannot reach agreement about property management or sales strategy, a quick cash sale often provides the cleanest resolution. By converting the property to cash quickly, families eliminate ongoing disputes about maintenance, rental decisions, repairs, and timing. Each heir receives their share in cash to use as they wish. While the sale price may be slightly lower than a prolonged traditional sale, the certainty, speed, and relationship preservation often make this approach worthwhile.

Moving Forward with Your Probate Property

Managing an inherited property through probate involves legal complexity, financial decisions, and often emotional challenges. Whether you decide to keep the property as a long-term investment, rent it for income, or sell it for immediate cash, proper preparation and professional guidance make the process manageable. The key is taking informed action rather than letting the estate administration drag on indefinitely.

Virtual Probate Hearings and Modern Conveniences

Today, many California Superior Courts offer virtual hearings for probate matters, making it easier for out-of-state executors and beneficiaries to participate without travel. This flexibility, accelerated during the pandemic, has become a permanent feature in many jurisdictions. Check with your county court about virtual appearance options for routine hearings, though some matters may still require in-person attendance.

OptionBest WhenTimelineKey Considerations
Sell TraditionalMaximum price priority, good condition4-6 months on marketAgent commissions, repairs, showings
Sell to Cash BuyerSpeed priority, as-is condition2-4 weeksCertainty, convenience, no repairs
Keep as RentalGood location, rental market strongOngoingManagement responsibilities, landlord duties
Distribute to BeneficiariesSingle beneficiary, wants propertyAfter probate closesMay need buyout of other heirs
Buyout Other HeirsOne heir wants to keep itNegotiatedFinancing for buyout, fair valuation

How long after probate closes can I sell the property?

Once probate closes and title transfers to beneficiaries (or is sold during probate with proceeds distributed), there are no probate-related restrictions on selling. However, if you inherit as your primary residence, living there for 2 of the 5 years before sale may qualify you for capital gains exclusions. Also note that Proposition 19 (effective February 2021) changed property tax reassessment rules for inherited California properties—consult a tax advisor about implications for your situation.

Why Work with Fast Home Buyer California

Fast Home Buyer California is a local, family-owned business with over a decade of experience purchasing probate properties throughout California. We're BBB Accredited and hold California DRE license #02006033, providing the credibility and expertise that probate situations require. Our team understands probate timelines, court requirements, and the unique challenges executors face—from properties needing significant repairs to situations requiring quick closings for estate settlement.

We purchase properties in any condition, handle all paperwork, and work within your probate timeline—whether you need to close quickly or wait for court confirmation. For executors managing inherited homes, we offer a hassle-free alternative to traditional sales: no repairs, no agent commissions, no showings, and no uncertainty about whether your buyer's financing will come through. Contact us for a free, no-obligation cash offer on your probate property.

Frequently Asked Questions

What happens if the deceased didn't have a will?

When someone dies without a will (intestate), California's intestate succession laws determine who inherits the property. For married decedents, the surviving spouse typically inherits all community property. For unmarried individuals, property passes to children, then parents, then siblings, in that order. The probate process still applies, but the court appoints an administrator rather than an executor to manage the estate.

Can I be held personally liable for mistakes as executor?

Yes. Executors can be held personally liable for breach of fiduciary duty, including mismanaging assets, failing to pay valid debts before distributing to beneficiaries, self-dealing, or making distributions to wrong parties. Executor liability insurance (E&O coverage) is available and recommended for large or complex estates. Working with a probate attorney significantly reduces liability risk.

Can executors waive their statutory fee?

Yes. Family member executors often waive their fee, especially when they're also beneficiaries. This saves the estate 2-4% of gross value. However, executors should carefully consider whether the workload justifies waiving compensation—probate administration requires significant time and effort over 12-18 months. The decision to accept or waive fees should be documented formally.

Can the executor sell the property to themselves or a family member?

Executors face strict conflict-of-interest rules. Selling estate property to yourself, a family member, or a business you control requires full disclosure to all beneficiaries and often court approval—even with full IAEA authority. The sale must be at fair market value, and beneficiaries can object. When in doubt, obtain independent appraisals and beneficiary written consent.

What if the property wasn't properly transferred into the trust before death?

This common situation is called an 'unfunded trust.' If the deceased created a trust but never transferred the property into it, the property may still need to go through probate. However, a Heggstad Petition may allow the court to determine that the property was intended to be part of the trust, potentially avoiding full probate. Success depends on evidence of intent.

Can one heir live in the property while others want to sell?

Yes, but with complications. The residing heir should pay fair market rent to the estate or other heirs, cover all expenses, and agree to a timeline for eventual sale or buyout. Without such an agreement, non-residing heirs may feel they're subsidizing the resident's housing. Document any arrangement clearly.

How long after probate closes can I sell the property?

Once probate closes and title transfers to beneficiaries, there are no probate-related restrictions on selling. However, if you inherit as your primary residence, living there for 2 of the 5 years before sale may qualify you for capital gains exclusions. Also note Proposition 19 changed property tax reassessment rules for inherited properties.

How long does California probate typically take?

California probate typically takes 12-18 months from filing to closing. By law, the minimum is about 4 months due to the creditor claim period. Complex estates, contested wills, or real estate sales requiring court confirmation can extend the timeline to 2+ years. Using simplified procedures for small estates can reduce this to weeks or a few months.

Related Articles

Explore more in-depth guides on this topic

Ready to Sell Your House Fast?

We buy houses in any condition throughout California. Get a fair cash offer with no obligations.

Ready to Sell Your House?

Get your free cash offer in 24 hours