CHAPTER 1 : WHY PROBATE ?
1 ) PROBATE IS APPLICABLE EVERYWHERE
“ 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 .
“ In this world , nothing can be said to be certain , except death and taxes .”
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 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 .
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