Can I Avoid Probate for My California Home with AB 2016?

If you own a home in California and want to avoid probate after death, AB 2016 could offer a new shortcut but only if certain conditions are met.

Families in Los Angeles County and Orange County now have a better chance to transfer real estate quickly without full court supervision, thanks to this important law change.

Let’s break it down.

What Is AB 2016 in California?

Assembly Bill 2016 (AB 2016), effective April 1, 2025, raised the simplified probate threshold for transferring a primary residence to $750,000.

Before this law, if someone passed away without a living trust and owned property worth over $184,500, the family usually had to go through full probate even for relatively modest homes.

Now, if a California home’s gross value (before subtracting mortgages) is $750K or less, heirs may qualify for a streamlined transfer process.

Does AB 2016 Let You Skip Probate Entirely?

Not exactly.

AB 2016 simplifies the probate process but it doesn’t eliminate it.
Heirs still need to file a Petition to Determine Succession to Real Property with the county probate court.

However:

• No full probate administration is required.

• No lengthy creditor claims period.

• No executor bond or court-confirmed sale process (in most cases).

It’s a major shortcut but it’s still a legal process overseen by the court.

Who Can Use AB 2016 to Avoid Full Probate?

You may qualify if:

• The deceased person owned a primary residence in California.

• The home’s appraised value is $750,000 or less (gross, not net equity).

• No trust or other probate-avoidance tool covered the property.

• 40 days have passed since death.

• All heirs agree and are properly notified.

Important: If heirs are fighting over the home, or if the appraised value is even $751,000, AB 2016 may not apply.

Step-by-Step: How the AB 2016 Simplified Process Works

1. Order a Probate Appraisal
   A court-appointed referee determines the fair market value.

2. File a Petition to Determine Succession
   Heirs submit paperwork asking the court to transfer the home without full probate.

3. Notify Heirs and Interested Parties
   At least 15 days before the hearing.

4. Attend a Court Hearing
   A judge reviews the petition. If everything checks out, the judge signs an order transferring title.

5. Record the Order
   The court’s order is recorded with the county recorder, officially transferring the property.

In Los Angeles County and Orange County, this can cut the process from 12+ months down to just a few months.

What If the Home Is Worth More Than $750,000?

If the home is appraised over the $750K limit:

• AB 2016 cannot be used.

• Formal probate is required unless a trust or transfer-on-death deed applies.

That’s why getting a professional appraisal early is critical a minor price difference could determine whether you qualify.

Can You Use AB 2016 If There’s a Mortgage?

Yes.
The court looks at gross fair market value, not the mortgage balance.

For example:

• Home market value = $700,000

• Mortgage owed = $650,000

• Gross value is still $700K eligible under AB 2016.

AB 2016 vs. Living Trust: Which Is Better?

While AB 2016 makes probate easier, it’s not a replacement for creating a living trust.

Trusts still offer major advantages:

• No court involvement at all

• More privacy

• Greater control over who inherits the property

AB 2016 is helpful for families who didn’t have a trust in place but if you’re planning ahead, a living trust remains the gold standard.

Need Help Navigating AB 2016 and Probate Options?

At The Borges Real Estate Team, we specialize in probate and trust real estate throughout Los Angeles County and the San Gabriel Valley.

Whether you’re trying to determine if AB 2016 applies to your family home, or you’re facing a full probate, we can guide you to the right resources and help you protect your family’s equity.

Schedule a free consultation today — no pressure, just clear answers.