Intestate

What does "Intestate" mean in real estate?

In real estate, "intestate" describes the situation when someone dies without a legally valid will. Property the deceased owned outright—like a house, land, or bank accounts without named beneficiaries—becomes part of the intestate estate and is distributed according to state intestate succession laws rather than the decedent’s wishes.

Key concepts

• Intestate defined: Dying without a valid will means assets not already transferred by trust, beneficiary designation, or joint ownership are subject to intestate rules.
• Intestate estate: Only assets that pass through probate are part of the intestate estate—typically solely owned real estate, personal property, and accounts without beneficiaries. Assets in a trust or with named beneficiaries usually bypass intestacy.
• Probate and succession: The court-supervised probate process distributes property based on state law, often prioritizing spouse and children, then more distant relatives if no immediate family exists.
• State differences: Intestate rules vary by state—community property states (like California) and common-law states handle spouse and children shares differently.

How intestate works in practice

1. No will, sole ownership of a house: If someone owns a house outright and dies intestate, that house is probated and distributed according to state intestacy rules—commonly to a surviving spouse and/or children.
2. Multiple heirs and disputes: When several heirs inherit a single property (for example, a family home), disagreements over sale, use, or partition can arise. Some states adopt protections like the Uniform Partition of Heirs Property Act to limit forced sales.
3. Partial intestacy: A person might have a will that doesn’t cover newly acquired assets. Those uncovered assets pass under intestate succession even though a will exists for other property.
4. State-specific outcomes: In California, community property rules affect how much a surviving spouse receives; in other states, the spouse’s share changes depending on whether children or parents survive the decedent.
5. Assets that avoid intestacy: Life insurance proceeds, retirement accounts with named beneficiaries, jointly owned property with rights of survivorship, and assets held in trust typically transfer outside probate and are not part of the intestate estate.

Common examples

• Bob dies owning his home outright with no will. The property is part of his intestate estate and distributed to heirs under state law.
• Sarah has a will but buys a house after making it; if she doesn’t update the will, the house may pass by intestate succession.
• A decedent leaves no spouse or children—distant relatives (siblings, parents, cousins) may inherit under state intestacy rules.

Why intestacy matters for real estate

Intestate succession can delay property transfer, increase legal costs through probate, and cause family conflicts. Real estate can become tied up in court proceedings, and heirs who receive undivided interests may disagree about selling or maintaining the property.

How to avoid intestate succession

• Create or update a valid will that specifically addresses real estate holdings.
• Use a trust to transfer real property outside probate.
• Name beneficiaries on accounts when possible and consider joint ownership with rights of survivorship for property you intend to pass directly to another person.
• Consult an estate planning attorney to align property ownership forms with your transfer goals and state law.

Quick FAQ

Does all property go through intestate succession if there’s no will?

No. Property held in trusts, with named beneficiaries, or in joint tenancy with rights of survivorship generally passes outside intestate succession.

Who inherits first under intestacy?

Typically a surviving spouse and children are first in line, but exact shares vary by state.

Can heirs be forced to sell an inherited house?

Yes—co-owners who disagree can sometimes force a partition sale, though some states have protections for heirs of family land.

Takeaway

“Intestate” means dying without a valid will; real estate owned solely by the decedent that isn’t otherwise titled or designated will be distributed according to state intestate succession laws and overseen by probate. To prevent delays, costs, and family disputes, use clear estate planning tools—wills, trusts, beneficiary designations, or appropriate ownership structures—to control how your property passes after death.