"Transfer ownership from spouse who has died and is on title as owner of real property as tenant-in-common..."

This information is provided by Mark W. Bidwell, Attorney at Law and CPA, Inactive

The problem. A husband or wife has died and was on title as a tenant-in-common. The surviving spouse wants to either refinance or sell the real property.  The surviving spouse has to sign escrow documents and a deed. But the deceased spouse is on the public record as an “owner” of the property.

The solution. A short cut is provided under California Probate Code Section 13500 which allows for the passage of ownership from the deceased spouse to the surviving spouse without formal probate administration. A 13500 petition takes about 3 months to transfer title compared to over a year under probate administration and saves thousands of dollars. Procedures under a 13500 petition are:

File a petition in Probate Court and pay filing fees

Notify children and devisees in Will, if there is a Will.

Attend a court hearing

Obtain an Order from Court to transfer real property to the surviving spouse

File and record the Order with County Recorder

If the deceased spouse does not have a will or trust the property passes by intestate succession. Under intestate succession community property house is distributed to the surviving spouse and separate property is distributed to the surviving spouse and children.

California law defines real property acquired by a married person during the marriage as community property. Separate property of a married person is defined as real property owned by the person before marriage and all property acquired by the person after marriage by gift, bequest, devise, or descent.

There are no property tax, capital gains tax and estate tax consequences for transfers to a spouse due to death of one spouse.