When people are in the early stages of creating an estate plan, they ask about some everyday things. Most of their questions center around what happens if they don’t make an estate plan. For instance, people want to know what happens to their property when they die.
The answer to that is entirely dependent on the steps they take right now. That is part of the power of estate planning. It allows you to dictate the future of your assets.
What Does Happen To My Property?
If you pass away without an estate plan, your probatable assets go to a probate court. What kinds of property go to probate? It is anything that can be retitled. Property, which is likely your most significant asset, falls into this category. Real property is titled:
- Land
- Houses
- Condos
Although cars have titles, they are not usually subject to probate. In addition, liquid assets that exceed $100,000 are subject to probate if no beneficiaries have been designated.
Intestate
When there is no will or trust in place, this means that someone has passed away intestate. And this is another way to guarantee your property ends up in probate. The court will then disseminate your property based on statutes—i.e., you will have no say where your assets go. By not creating an estate plan, you give up your ability to dictate who receives your property.
People get married, have children, get divorced, remarry, have more children—and they can even adopt or become step-parents along the way. Why is this being discussed? Because families can become complicated.
The fundamental reason is that if someone passes away intestate, there can be disputes amongst family members about how your assets get divided. Statutes don’t take into account that you and your surviving spouse were on terrible terms. Or that the surviving spouse doesn’t intend on sharing your assets with your children from a past marriage.
To be fair, there are worse scenarios: what if the court cannot locate an heir? In Illinois, when there are no heirs, your property goes to the State Treasurer of Illinois. Currently, there is over $3 billion in unclaimed funds and assets.
Take Control Now
To reclaim the property, your heirs will not only have to prove they are your heirs, but probate will have to be reopened.
Avoid these scenarios by taking control of your estate now. This can be done through a qualified estate planning attorney. Your attorney can present a variety of options and develop a custom solution to fit your needs.
Jayaraman Law
At Jayaraman Law, we can build you an estate plan that you can rely on. There are several ways in which we can cater to your situation. Contact us for your free 15-minute consultation. We look forward to meeting with you to explain how we can help.
Jayaraman Law
