Which of the following is the PRIMARY reason California homeowners transfer their residence into a revocable living trust rather than holding title in their own names?
Correct Answer
B) To avoid the California statutory probate process, reducing costs and delays for beneficiaries after the owner's death
The primary reason California homeowners use revocable living trusts is to avoid probate. Under California Probate Code §10810, statutory fees are calculated on the gross estate value and are payable to both the attorney and the executor — resulting in substantial costs on a typical home. A trust allows property to pass directly to named beneficiaries without court involvement, saving time, money, and maintaining privacy.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A conditional use permit (also called a special use permit) allows a land use that is not automatically permitted by zoning but may be allowed under certain conditions. The use must be compatible with the surrounding area.
Deed restrictions are limitations placed in a deed that control how a property may be used by the current and future owners. They are a form of private land use control that runs with the land.
An easement is a legal right to use another person's land for a specific purpose without owning it. It is a nonpossessory interest in real property that typically runs with the land.
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