How to Transfer Real Estate After a Death

Real estate is often the most valuable and most complicated asset in an estate. How the property transfers after death depends entirely on how the title was held — whether it goes through probate, transfers automatically, or requires special procedures. This guide explains the key paths and what families need to do.

Real estate transfer laws vary significantly by state. This guide covers general US principles. An estate attorney and a real estate attorney are typically recommended for property transfers.

How Title Was Held: The Key Question

The first step is always to obtain a copy of the current property deed and determine how ownership was listed. The county recorder's office (or register of deeds) maintains property records — you can typically obtain a copy online or in person.

Sole ownership

Property held solely in the deceased's name requires probate (or a simplified procedure, if the estate qualifies). The executor or administrator, acting under court authority, has the power to transfer title.

Joint tenancy with right of survivorship (JTWROS)

Property titled as JTWROS passes automatically to the surviving joint owner(s) when one owner dies — no probate required. The surviving owner records an Affidavit of Survivorship (or similar document) with the county recorder, along with the death certificate, to update the public record.

Tenancy in common

Each co-owner's share passes to their estate (not automatically to the other co-owners). The deceased's share goes through probate and is distributed according to their will or intestate succession. The surviving co-owner retains their share independently.

Community property with right of survivorship

In community property states (Arizona, California, Idaho, Nevada, New Mexico, Texas, Washington, Wisconsin, Alaska by election), spouses can hold property as "community property with right of survivorship." This passes automatically to the surviving spouse without probate.

Trust ownership

If property is held in a revocable living trust, it passes according to the trust terms — no probate. The successor trustee handles the transfer by recording a deed from the trust to the beneficiary.

Transfer on Death (TOD) deed

About 30 states allow TOD deeds (also called beneficiary deeds) that transfer real estate directly to a named beneficiary at death without probate. The beneficiary records the death certificate and an Affidavit of Survivorship to take title.

Probate Transfer of Real Estate

When real estate goes through probate, the process is:

1. Open probate and obtain letters testamentary
2. Have the property appraised for estate value as of the date of death
3. If selling the property as part of estate administration: the executor signs the deed as seller, transferring title. Probate court approval may be required for the sale in some states (called "supervised administration") or may be handled by the executor independently ("independent administration").
4. If distributing the property to an heir: a deed of distribution is prepared, signed by the executor, and recorded with the county recorder. This deed transfers title from the estate to the heir.

After the Transfer: What the New Owner Needs to Do

Once title is transferred, the new owner should:

• Record the deed: The transfer document (whatever form it takes) must be recorded with the county recorder to provide public notice of the change in ownership
• Update the homeowner's insurance: Notify the insurer of the ownership change and update the policy
• Address the mortgage: If there's a mortgage, the new owner must notify the servicer. See our article on mortgages after a death.
• Property tax considerations: Some states reassess property value for tax purposes upon transfer (California's Prop 19 limited exemptions from reassessment for most transfers to children). Check your state's reassessment rules.
• Title insurance: Consider purchasing a new title insurance policy for the heir/buyer to protect against title defects

Stepped-Up Basis

Inherited real estate receives a "stepped-up cost basis" — the basis is reset to the fair market value on the date of death. This is an extremely valuable tax provision: if the deceased purchased a home for $100,000 that is worth $500,000 at death, the heir's basis is $500,000 — not $100,000. If the heir sells the home shortly after inheritance for $500,000, there is little or no capital gains tax. See our article on taxes after a death for more.

Multi-State Real Estate

If the deceased owned real estate in multiple states, each state requires its own probate proceeding ("ancillary probate") to transfer that state's real estate. This adds complexity and cost. Living trusts are particularly useful for out-of-state property, as trust assets avoid probate in all states.

For the complete property and assets guide, see our property and assets guide. For the house specifically, see our complete house guide.