Limit for Small Value Real Property

I recently had a client, Emily, come to me in absolute distress. Her mother passed away unexpectedly, leaving a small rental property in Riverside County. Emily had diligently gathered all the paperwork, thinking a simple transfer would be possible. Turns out, her mother’s estate exceeded the prior threshold for using the streamlined affidavit procedure, and Emily was facing the prospect of a full probate – a process that could easily cost her $30,000 to $40,000 in legal fees and take nine months to a year. The frustration was palpable; a relatively small asset was about to be significantly diminished by the costs of administration.

What is the limit for using the Small Estate Affidavit?

For deaths occurring on or after April 1, 2025, the gross value threshold for using a Small Estate Affidavit (Probate Code § 13100) has increased to $208,850. This procedure allows successors to collect personal property without court involvement. It’s a significant improvement, but it’s crucial to understand what counts towards that limit and what doesn’t.

What assets aren’t included in the $208,850 limit?

The $208,850 total MUST NOT include assets held in joint tenancy, trust, or those with named beneficiaries (POD/TOD). However, it MUST include the value of any real property unless that property is handled via a separate summary procedure. This is where things often get tricky for my clients. They might have a modest amount of cash and stocks, but a single piece of real estate can push them over the limit if they aren’t leveraging the correct tools.

Can I use an Affidavit for Real Property if the estate is over $208,850?

Absolutely. The affidavit procedures are tiered. While the $208,850 applies to the overall small estate affidavit, there is a separate Affidavit for Real Property of Small Value (Probate Code § 13200). For real property interests valued at less than $69,625 (the 2025/2026 adjusted limit), successors can file an affidavit with the Court Clerk and record a certified copy with the County Recorder, completely bypassing the need for a hearing. This is often used for vacant lots, timeshares, or smaller parcels of land.

What about a primary residence? Is there a different process?

Yes. A primary residence has its own pathway. Under AB 2016 (Probate Code § 13151), a primary residence valued up to $750,000 qualifies for a ‘Petition for Succession’ rather than full probate administration. It’s important to understand the difference: this is a court-filed Petition requiring a hearing and a Judge’s Order, although it’s significantly faster than full probate. This contrasts with the Section 13100 affidavit which requires no court involvement.

As an Estate Planning Attorney and CPA with over 35 years of experience, I often find that the CPA perspective is critical. Understanding the potential step-up in basis for inherited assets, the implications of capital gains taxes, and proper asset valuation isn’t just a legal issue, it’s a financial one. We can work to minimize tax liabilities and maximize the inheritance for your beneficiaries. Proper planning, even with seemingly small estates, can make a world of difference.

What separates an efficient California probate process from a drawn-out conflict over authority and assets?

Success in probate court depends less on the size of the estate and more on the accuracy of the petition and the behavior of the fiduciary. Whether the issue is a forgotten asset, a contested creditor claim, or a disagreement among siblings, understanding the procedural triggers for court intervention is the best defense against prolonged administration.

California probate is most manageable when authority is documented early, assets are classified correctly, and procedure is followed consistently from petition through closing. When the process is approached with realistic expectations about notice, claims, accounting, and dispute risk, the estate is more likely to move toward closure without avoidable conflict or delay.

Verified Authority on California Probate Alternatives

• Personal Property Affidavit ($208,850 Limit): California Probate Code § 13100 (Small Estate Affidavit)
  For deaths on or after April 1, 2025, the gross value threshold for using a Small Estate Affidavit has increased to $208,850. This procedure allows successors to collect cash, stocks, and personal items without court involvement. Warning: This total MUST NOT include assets held in joint tenancy, trust, or those with named beneficiaries (POD/TOD), but MUST include the value of real property unless handled via a separate summary procedure.
• Primary Residence Succession (AB 2016): California Probate Code § 13151 (Petition for Succession)
  You must distinguish between the Affidavit for Real Property of Small Value (strictly for property <$69,625) and AB 2016. Under AB 2016, a primary residence valued up to $750,000 qualifies for a ‘Petition for Succession’ rather than full probate. This is a court-filed Petition requiring a Judge’s Order, though it is significantly faster than full administration.
• Spousal Property Petition (Unlimited): California Probate Code § 13650 (Spousal Transfers)
  This powerful alternative allows for the transfer of unlimited assets to a surviving spouse or domestic partner without full probate administration, regardless of the estate’s value. It is strictly for assets passing to a spouse and requires the property be characterized as community property or quasi-community property.
• Trust Assets & The “Heggstad” Petition: California Probate Code § 850 (Heggstad Petition)
  If a decedent intended an asset to be in their trust (e.g., listed on Schedule A) but failed to retitle it (the “Oops” factor), a Section 850 Petition can obtain a court order confirming the asset as trust property. This “cures” the title defect and avoids opening a full probate estate for that single asset.
• Vacant Land & Timeshares: California Probate Code § 13200 (Real Property of Small Value)
  For real property interests valued at less than $69,625 (the 2025/2026 adjusted limit), successors can file an Affidavit for Real Property of Small Value with the Court Clerk and record a certified copy with the County Recorder. This completely bypasses the need for a hearing or judge’s order.
• Vehicle & Vessel Transfers (DMV): DMV Form REG 5 (Affidavit for Transfer Without Probate)
  Vehicles and vessels may be transferred outside of probate using the Affidavit for Transfer Without Probate (REG 5). Critically, the value of the vehicle is excluded from the $208,850 small estate calculation, meaning a high-value car does not disqualify an estate from using summary procedures.
• Digital Asset Access (RUFADAA): California Probate Code § 870 (RUFADAA)
  Even in summary administration, digital assets can be locked. Without specific RUFADAA language (Probate Code § 870) in your Will or Trust, service providers like Coinbase and Google can legally deny successors access to digital wallets and accounts, forcing a full probate just to retrieve them.