New California Law Simplifies Probate for Homes Under $750,000 – What You Need to Know

Beginning April 1, 2025, California’s probate system will offer a simpler, more efficient way to transfer a loved one’s primary residence—provided the home is valued under $750,000. Thanks to Assembly Bill 2016 (AB 2016), families may be able to avoid the full probate process entirely and use a faster alternative designed to ease the burden of estate administration.

At Kaminski Law Group, we want to ensure you’re informed and prepared to take advantage of this change if it applies to you or your loved ones.

🏡 What Does AB 2016 Change?

This new law significantly raises the “small estate” threshold in California from $184,500 to $750,000. If a decedent’s primary residence is valued under this limit, and certain conditions are met, heirs may use a streamlined petition process to transfer real property instead of going through formal probate.

It’s important to note: This process only applies to the decedent’s primary residence, and not to other real estate or assets without specific exclusions.

✅ Who Qualifies?

To use the simplified process under AB 2016, these conditions must be satisfied:

• Home Value: The gross fair market value of the property (not reduced by mortgages) must be under $750,000.
• Primary Residence: The property must have been the decedent’s main home at the time of death.
• Estate Size: The decedent’s total estate—excluding assets in a trust or with named beneficiaries—must fall under the $750,000 limit.
• Timing: At least 40 days must have passed since the date of death.
• Appraisal: A court-approved appraisal is required to confirm the home’s value.

📝 What’s the Process?

Here’s what the simplified process typically includes:

1. Prepare a petition to transfer the residence to the rightful heir(s).
2. Attach Supporting Documents:
   • Certified death certificate
   • Deed or proof of ownership
   • Legal description of the property
   • Court-approved appraisal
3. File with the Superior Court in the county where the property is located.
4. Notify Heirs and Beneficiaries of the proposed transfer.
5. Once approved, record the Court Order with the county recorder’s office to complete the title transfer.

💡 Why This Is a Big Deal

• Save Money: Avoiding formal probate reduces court fees, legal expenses, and administrative costs.
• Save Time: This process often resolves in weeks—not months or years like full probate.
• Less Stress: A simplified approach makes it easier for families during an already emotional time.

⚠️ Be Aware of the Limitations

Despite its benefits, AB 2016 has a key limitation: it only applies to the primary residence. If the estate includes any additional real estate—even something small like an undeveloped lot or timeshare—the entire estate may become ineligible for this streamlined process and require formal probate.

For example:

A decedent passes away with:

• A home worth $500,000
• A bank account with $100,000
• A vacant parcel of land valued at $10,000

Even though the residence is under the $750,000 limit, the additional real estate disqualifies the estate from using this simplified process. Current law does not allow mixing this method with other small estate transfer procedures. That means formal probate may still be required in situations involving more than one piece of real property.

💬 Do You Still Need a Trust?

That’s the big question—and the answer isn’t always yes.

I recently had a consultation with a client where, after reviewing her assets and how this new law applies, we determined that she may not need a trust at all. For her, a well-drafted will and this streamlined process could be the most efficient and cost-effective option.

At Kaminski Law Group, we’re dedicated to helping you make the best decision based on your unique goals, family dynamics, and assets. We walk each client through their options—whether that means a trust, a will, or a combination of both.

🗓️ Important Note: This law applies only to decedents who pass away on or after April 1, 2025.

📆 Let’s Talk About What’s Right for You

Curious whether a trust or a will is the right fit for your estate plan under the new law?

Schedule a one-on-one consultation with Attorney Kristin Kaminski today:
👉 Book Your Consultation