Colorado Probate And Real Estate
By DouglasTurner.com • Aug 12th, 2008 • Category: Estate Planning & Colorado Probate, Featured PostsOne of the primary reasons we open Colorado probate estates is to transfer real estate from the deceased person to the new owners. Here are the various ways we make that transfer and how to minimize the transfer costs of Colorado probate real estate.
The most common way to transfer Colorado probate real estate is to open a full-blown probate estate. This requires filing all the documents necessary to probate the will in Colorado and receiving documents from the court authorizing the Colorado probate estate to transfer the real estate. If possible, we try to avoid opening a probate estate for the sole purpose of transferring one parcel of Colorado real estate. A full-blown probate estate is the most expensive way to make the transfer, alerts creditors of the existence of the estate and imposes numerous obligations on the person in charge of the estate.
If the deceased lived outside of Colorado, we will consider several options for transferring Colorado probate real estate. If there is a primary probate proceeding in another state or country, we can open something called an ancillary proceeding to transfer the Colorado probate real estate. An ancillary proceeding is like a mini probate proceeding – not as expensive as a full-blown Colorado probate proceeding but not the least expensive option, either. Our preferred option is to use an expedited Colorado probate process to file the home state documents here in Colorado and have the local Colorado probate court put its stamp of approval on the other state or country’s probate documents. Those documents are then recorded in the real estate records along with the deed transferring the Colorado probate real estate.
Another way to transfer Colorado probate real estate is to get a special administrator appointed to transfer the Colorado real estate. This option can be helpful when there is a problem obtaining the will or when there is some concern about a full-blown Colorado probate proceeding creating obligations for the person in charge of the Colorado probate estate. An appointment of a special administrator can be tailored to limit the authority of the special administrator, which also limits the responsibilities of the special administrator.
The best way to transfer Colorado probate real estate is to avoid Colorado probate. Colorado probate can be avoided by using a Colorado beneficiary deed or transferring the Colorado real estate to a trust prior to death.
When somebody dies, this is a good time to acquire title insurance on the real estate. We give this piece of advice often, but seldom is it followed. Acquiring title insurance upon the death of the current owner (1) provides assurances as to the marketability of the real estate and (2) exposes title problems that can be corrected at less cost because there is an open probate proceeding. However, title insurance does cost some money, and many people prefer to take the risk of a title problem rather than pay for title insurance.
DouglasTurner.com.
This column is not legal advice nor does it create an attorney-client relationship with the reader. Due to limited space, complex legal concepts and rules may be stated in terms of general concepts.
Based on 2008 Colorado and Federal law. Consult legal counsel before acting on any information contained in this column.
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Mr. Turner,
My situation is this, my Mother passed away in 1984 and her estate was probated in New Mexico. My Father was alive at the time, he passed away in 1989 and his estate was probated in New Mexico. The unknow in this situation is paroperty is held in my mothers name and my father never transfer the title into his name. I have been paying the property tax since his death, I would now like to get the title in my name. What are my otions.
Jim
Jim:
You need New mexico counsel to resolve the issue. I suggest calling Tom Briones - 505-246-0120.
Good luck!
Doug
If someone is terminally ill, what is the best way to transfer their joint ownership in a townhouse to the surviving spouse? Before death?
Doug I am curious if I’ll have any problems getting the inheritance-will-trust paper work transfered from my dieing Mom’s lawyer to ours after she has passed. (her son,and my wife) What steps must my Mom’s lawyer actually preform? How much of his services has my Mom probably already paid? CJ
CJ:
Unfortunately, that is not the type of question we can answer in an open forum. If you would like to set up an appointment by phone or in person, please contact our office.
Thanks,
Douglas Turner
Sir-
Our father passed away last week. Left a major mess of debt and an odd situation of buying a house from someone who was carrying the note for him (she owned it outright and they did have proper title and deed work completed). He really left a lot of things hanging and we are not sure if we can just assume payments on the place with a quit claim deed or if the state can come in and take over or what we need to do.. I am total novice and would have been lost if things would have been left in order let alone the mess they are in. I have stacks of mail and other undfinished business to take core and not sure where to go from here.. Thank you for your time.
KJ:
I am truly sorry about the loss of your father. It is never easy, even when expected. Regarding the estate, all I can do is suggest that you give our office a call and ask to speak to attorney Miller. If he is unavailable, please ask for me. We can discuss your situation, in confidence.
Douglas Turner