REI Wealth Magazine Featuring Paul Finck | Page 76
CHAPTER 1: WHY PROBATE?
1) PROBATE IS APPLICABLE
EVERYWHERE
going through probate each and every year throughout
the United States. Wherever people live and die, there
will be probates, period. Since people die in all 50
states, and in every nation on earth, there will be
countless millions of properties always available for
resale. In 2016, the most recent year for which data is
available, the U.S. Center for Disease Control tallied
2,744,248 deaths across the nation.
Good estate planners can often assist their clients to
avoid probate through the use of a trust. However, a
trust is not necessarily a perfect defense to dodge
probate. If the trust document is lost, or if there are
significant disputes concerning the trust after the death
or incapacity of the trust settlor (the person who
establishes the trust), these matters will end up in
probate court—the venue that the trust settlor hoped to
avoid in the first place.
“In this world, nothing can be said to be certain,
except death and taxes,” is one of many quotes of
wisdom spoken by one of our nation’s founding
fathers, Benjamin Franklin. While there are many
resources to assist you with your taxes, this book will
assist real estate investors with the subject of how
probate can present profitable opportunities. Despite
the forethought of many individuals who prepare wills,
any real property held outside of a trust will be subject
to probate. What is probate? Simply stated, probate is
the legal process by which assets are transferred from
the deceased owner to his or her heirs. Many people
assume incorrectly that the existence of a will
precludes the need for probate. Unfortunately, that is
incorrect, at least in California, and throughout most of
the United States.
Now for some good news for investors! Thanks to
the probate process, there is a constant and steady
stream of millions of prospective investment properties
“In this world, nothing can be
said to be certain, except death
and taxes.”
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