You located a trust? This is likely good news.

When a loved one passes away and their estate includes a living trust, there are steps to take to settle the estate and sell any real estate property owned by the trust. Here’s a general outline of the initial steps to take:

1. Consult Professionals if Needed. If you're unsure about any legal or financial aspects, consider consulting an attorney, CPA, and/or financial advisor who specializes in trusts and estates. Consult a real estate agent well-versed in trust estates as well regarding the value and potential sale of any real estate. Feel free to reach out to me at 916-342-1372 if I can assist you.

2. Obtain the Death Certificate. Request multiple copies of the death certificate, as you will need these for various legal and financial matters.

3. Review the Trust. If you have not already consulted an attorney, it may be beneficial to ask the attorney who prepared the trust (if applicable) to review the contents of the trust with you to understand the provisions and instructions outlined by the deceased.

4. Identify the Successor Trustee(s). Determine who the successor trustee is — the person or people named to manage the trust after the death of the original trustee. The successor trustee is responsible for managing the trust and its assets.

5. Identify the Trust Assets. Compile a list of all assets held in the trust, including bank accounts, real estate, investments, and personal property. You may also find assets that are not titled into the trust — if you have not already spoken to an attorney, you will want to consult an attorney as to how to proceed with those items.

6. Open a Trust Bank Account. If necessary, open a separate bank account in the name of the trust to manage expenses and distributions. If you sell real estate owned by the trust, the net proceeds of the sale will likely need to go into a trust bank account.

7. Get a “Date of Death” Appraisal of any Real Estate Assets. You will need this for tax/accounting purposes, and this step often gets overlooked. Definitely consult a CPA if you have not done so already, as you will likely need to file tax returns on behalf of the trust estate.

8. Manage and Distribute Assets. Follow the instructions in the trust regarding how assets should be managed and distributed to beneficiaries. This may involve transferring property titles, selling real estate, or liquidating assets. Again, feel free to reach out to me for help with selling real estate held in a trust. There are several things to do in order to prepare a property/home for sale - and I can assist you, and connect you with contractors and other service providers who can do the heavy lifting as well. I welcome your call at 916-342-1372.

9. Keep Records. Maintain detailed records of all transactions, expenses, and distributions made from the trust. This documentation will be important for transparency and accountability.

10. Close the Trust (if applicable). Once all assets have been distributed and obligations fulfilled, formally close the trust according to its terms.

This is a general list, so again please be sure to consult the appropriate qualified professionals to give you more specific guidance.







Erin Stumpf, Coldwell Banker Realty, California DRE# 01706589