If the prospect of sitting down and creating an estate plan seems unnecessary or like too much of a hassle, you are far from alone. According to recent estimates from 2024, as few as 32 percent of American adults have an estate plan in place, marking a 6 percent decline from the previous year. The most common reasons for not having an estate plan in place are simple procrastination (43 percent) and the belief that they don’t have enough assets to justify the need for an estate plan (40 percent). Even though many people think that estate planning is only for older individuals or those with a significant number of assets, anyone can benefit from putting a few key estate planning documents in place to protect their wishes and their loved ones. Estate planning tools like wills, trusts, Advanced Health Care Directives, Powers of Attorney, and other protections can document your wishes for the future and ensure that your vision for the future and your legacy remain protected, no matter what the future may hold.
Today, we will focus on estate planning for property transfers in Washington state. If you own real estate, you want to trust that this valuable asset will be handled according to your wishes when the time comes. Understanding the differences between a real estate trust and a will in Washington state is important so that you can create an estate plan that best aligns with your needs and goals. Let’s take a look at some estate planning strategies for avoiding probate for real estate in Washington and how enlisting the guidance of a highly experienced and caring Spokane estate planning attorney can help you make informed decisions about your future and legacy with greater understanding and confidence.
Leaving Real Estate Through a Will in Washington State
First, let’s explore how Washington state residents can use a will to bequeath real estate to their designated beneficiaries upon their passing. When a Washington resident passes away and leaves behind a valid will, this legal document will attest to their wishes as to how they want their estate to be handled. In order to ensure that the estate is administered according to the details set forth in the will, the estate will need to go through a formal legal process known as probate. In Washington state, probate involves the “collection of all the decedent’s assets; determination of the proper beneficiaries and notification of their interests; notifying and paying legitimate creditors; filing any required tax returns and paying any taxes due; and finally distributing the decedent’s assets to the proper beneficiaries.” Depending on the complexity of the decedent’s estate, the probate process can take anywhere from a few months to over a year to complete. In some cases, disputes among family members or beneficiaries can delay and complicate this process, and it’s worth noting that there are costs associated with probate, such as court and attorneys’ fees. If you are interested in avoiding probate for real estate in Washington state, you may want to consider using a trust for this purpose.
Using a Revocable Living Trust For Real Estate in Spokane
Trusts are popular estate planning tools that can be used to circumvent the probate process and streamline the transfer of assets. Revocable living trusts are legal entities that are designed to hold real estate properties during your lifetime and transfer them to your designated beneficiaries upon your passing. Generally speaking, revocable trusts keep certain assets from being subject to probate and allow those who set up the trust to amend the terms at any time. For instance, you can continue to make decisions about the property (i.e., buying, selling, or refinancing), as most individuals serve as their own trustee until they become incapacitated or pass away. When you set up a revocable living trust, you will need to appoint a successor trustee who can step in to administer the trust when you are no longer able to do so. Upon your passing, the property will be transferred to the designated beneficiary without being subject to probate. Another notable benefit of using a revocable trust is that it offers more privacy, as your assets will not be subject to probate (which becomes a matter of public record). To learn more about estate planning for property transfers in Washington state, reach out to a dedicated and knowledgeable Spokane estate planning lawyer today.
Wills vs. Trusts For Real Estate: What Makes More Sense?
Estate planning is far from a one-size-fits-all endeavor. Instead, you and your experienced Spokane estate planning lawyer can identify your unique needs and goals so that you can create a customized estate plan that protects your vision for the future and keeps your legacy bright. The decision of whether to handle the transfer of real estate property using a will or a trust is up to you, and there are several factors that are worth considering before making this choice. For instance, simple estates with only one heir tend to work just fine with a will, while those with blended families or multiple real estate properties may find greater support by setting up a trust. The best way for you to feel comfortable and secure as you think about the future is to review your options with an experienced Spokane estate planning attorney who can put the necessary protections in place to support your vision and legacy.
FAQs About Real Estate and Estate Planning in Washington State
Does Property in a Trust Avoid Probate in Washington?
Yes. When you place assets in a trust, they will be managed and administered according to the terms of the trust, rendering the probate process unnecessary.
Can I Sell My Home If It’s In a Revocable Trust?
Yes. As the trustee, you retain full control over the property. This means that you can sell, transfer, or transfer the property without seeking the court’s approval.
Do I Need Both a Will and a Trust?
No, but having both of these estate planning tools is considered the best way to ensure that your wishes remain upheld.
Learn More About Wills and Trusts Today
If you own real estate property, it’s important to understand your estate planning options so that you can minimize the need for probate and ensure a smooth transfer of property when the time comes. To learn more about your estate planning options in Washington state, reach out to Kristina Mattson Law today by calling (509) 998-6629 to get started with a highly experienced and knowledgeable Spokane estate planning attorney.
