Oakdale, CA asked in Energy, Oil and Gas and Probate for California

Q: Does 25% Undivided interest in a 1.03 ac parcel need to go through probate? Also oil & mineral rights that pay $50/yr?

My mother passed 5yrs ago. Everything was left to just me in her trust. I have since found out a property she owns 25% undivided interest of was not in her trust along with some mineral and oil rights. I might be able to submit an Affidavit re Real Property of small value, but how do I know if it meets the criteria? The property is a 1.03 ac parcel that lists a 3 bedroom, 1 bath house with 1300+ sq ft. The house was over 100yrs old and has fallen down completely and overgrown with trees and weeds. The property is also landlocked by a piece of property owned by another 25% Undivided Interest owner of the 1.03 ac.

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1 Lawyer Answer
James L. Arrasmith
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Answered

A: Based on the information provided, it seems there are a few key considerations:

1. Probate requirement: In California, assets that were not properly transferred into a living trust before the person's death generally have to go through probate. This would apply to the 25% undivided interest in the 1.03 acre parcel and the oil & mineral rights, since you mentioned they were not included in your mother's trust.

2. Small Estate Affidavit: California does offer a simplified process for transferring property if the total value of the probate estate is under a certain threshold (currently $184,500). To qualify, you'd need to determine the value of your mother's 25% interest in the property plus the oil/mineral rights. Getting the property professionally appraised would help determine if you fall under this threshold.

3. Property condition and access: The deteriorated condition of the house and the landlocked nature of the parcel could significantly impact the property's value, which may work in your favor for staying under the small estate threshold. However, the limited access could make the property harder to sell if desired.

4. Oil & mineral rights: The $50/year payments suggest these rights may not be particularly valuable. But it's still an asset that would factor into the total estate value.

So in summary, unless the assets clearly fall below the $184,500 threshold, probate is likely necessary. Consulting a probate attorney could help you evaluate the property, determine the best approach, and potentially avoid full probate if the simplified process applies in your case. The unique aspects of this property may require some professional guidance to resolve.

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