How to Sell a House in a Living Trust in California
You don't need probate court. As trustee, you have the authority to sell - here's the complete process.
As trustee, you can sell a California house held in a living trust without going to court. You'll need the trust document, a Certification of Trust (CA Probate Code §18100.5), and a real estate agent experienced with trust sales. The title company does the heavy lifting on paperwork - you sign as "Trustee." Timeline: typically 30 to 90 days to close.
What You'll Find in This Guide
- You're Probably Overwhelmed - That's Normal
- Trust vs. Probate: The Big Advantage
- Documents You'll Need as Trustee
- Step-by-Step Sale Process
- What Happens with the Title
- Beneficiary Considerations
- Timeline and Costs
- Step-Up in Basis: The Tax Benefit
- 5 Mistakes New Trustees Make
- Revocable vs. Irrevocable Trusts
- What Will Beneficiaries Receive?
- Trust Sale Readiness Checklist
- Why a Trust Sale Specialist Matters
- Quick Reference Cheat Sheet
- Frequently Asked Questions
- Work With Justin
You're Probably the Successor Trustee
Your parent passed away. Or maybe your spouse did. Somewhere in the aftermath - the condolence cards, the phone calls, the paperwork you've never seen before - someone handed you a folder and said "you're the trustee." Maybe you already knew this. Maybe it was a complete surprise.
Either way, you're staring at a house that's held in a living trust, and you don't know where to start. That's exactly who I wrote this guide for.
I've closed 14+ trust and probate sales in the SGV and greater LA area. The first call I get is almost always some version of the same thing: "I don't know what I'm doing. I found the trust document but I don't understand it. What do I do first?" I want you to read this and feel like someone who knows what they're doing - because the process is actually straightforward once you understand it.
I'm a real estate agent, not a trust attorney or CPA. This guide explains the real estate side of a trust sale. For complex trust disputes, tax questions beyond step-up in basis basics, or trust administration issues, please work with a qualified estate attorney. I'm happy to refer you to one I trust.
Not sure if you're dealing with a trust sale or something else? Let's talk through your situation.
Call Justin: (213) 262-5092 Text JustinTrust Sale vs. Probate: The Big Advantage
When a house is properly held in a living trust, you bypass probate court entirely. No 9-to-18-month wait. No court hearings. No public auction requirement. You sell it like a regular home sale - just with a few extra documents.
Most California families don't fully understand what this means until they've seen a probate sale up close. Probate is the court process for transferring property that wasn't held in a trust. It's public, it's slow, and it's expensive. A trust sale is private, fast, and far less costly.
Your parents - or whoever created this trust - set it up specifically so you wouldn't have to go through probate. Understanding that makes the whole process feel less intimidating. They did the hard work. Your job is to follow the process they put in place.
Here's the direct comparison so you can see exactly what you're avoiding:
| Factor | Trust Sale (Living Trust) | Probate Sale (No Trust) |
|---|---|---|
| Court Involvement | None Required | Mandatory |
| Timeline to Close | 30 to 90 days (typical) | 9 to 18 months (average) |
| Cost | 1% to 2% of property value (admin) | 4% to 8% (statutory attorney + executor fees) |
| Public Record | Private | Public Auction Required |
| Sale Price Control | Trustee negotiates at market value | Court may require overbid process |
| Beneficiary Notice | Reasonable notice (not approval) | Court-supervised process |
| Privacy | Protected | Public Record |
If you're comparing trust sales to what you might have heard about probate sales - the long waits, the court hearings, the attorneys - understand that you're in a much better position. You can read more about how probate sales work if you want the full comparison.
Have questions about whether your situation qualifies as a trust sale or probate? Call and let's find out together.
Call Justin: (213) 262-5092 Text JustinFREE WEBINAR — EVERY WEDNESDAY AT 11AM PDT
Inherited Property in California: What Heirs Need to Know
Justin covers trust sales, probate, IAEA, AB 2016, and what to do in the first 30 days after inheriting a California property. Free. Online. No sales pitch.
Reserve Your Free Spot →What You'll Need as Trustee
Before you list the property or call an agent, you need to locate and organize a small set of documents. This is what the title company and escrow officer will ask for. I've seen deals get delayed by two to three weeks simply because a trustee couldn't locate the death certificate quickly.
Here's exactly what to gather:
Trustee Document Checklist
The most common problem I encounter: the trust was created, but the property was never retitled into the trust's name. If the deed still shows the deceased person's name - not the trust name - you may need to go through probate for that property. Pull the deed first. If you're unsure, call me and I can help you read it.
Have questions about what documents you've found? I'll tell you exactly what you have and what's missing.
Call Justin: (213) 262-5092 Text JustinThe Step-by-Step Sale Process
A trust sale follows the same general path as any California real estate transaction - you list, you accept an offer, you go through escrow, and you close. The difference is in the documents and how you sign. Here's how it works from day one through closing:
Read the trust document's section on trustee powers. Most California living trusts give the trustee broad authority to sell real property without beneficiary approval. Look for language like "the trustee may sell, transfer, or convey any trust property." If you're not sure what you're reading, an estate attorney can review it in under an hour.
Collect everything from the checklist above. Simultaneously, provide written notice to the trust's beneficiaries that you intend to sell. You don't need their approval in most cases, but California Probate Code requires you to keep them "reasonably informed" of significant transactions. A simple letter works. Document that you sent it.
For tax purposes, you need a fair market value appraisal dated as close to the date of death as possible. This establishes the step-up in basis (I'll explain this in detail below). It's also what I use, along with comparable sales data, to set the listing price. Budget $500 to $800 for a certified appraisal from a licensed California appraiser.
Not every agent knows what a Certification of Trust is, what signature blocks should look like for a trustee, or how to coordinate with the title company on trust-related requirements. An agent who is unfamiliar with trust sales can create delays or mistakes in escrow. I've closed 14+ trust and probate sales in the SGV. This is part of my regular practice.
We determine what repairs or staging - if any - make sense for this situation. In trust sales, the beneficiaries are often splitting proceeds, so there's sometimes pressure to sell quickly and not spend on upgrades. I'll give you my honest read: which improvements would return more than they cost, and which are unnecessary for your price point and buyer pool.
As trustee, you have full authority to negotiate and accept offers. You sign the purchase agreement as "[Your Name], Trustee of the [Trust Name] dated [Date]." Your fiduciary duty is to get fair market value for the beneficiaries - you cannot sell below market without risking a breach of fiduciary duty claim.
The escrow officer will send you a "Statement of Information" and require the Certification of Trust. The title company will review the trust's authority to sell real property and issue title insurance. This is where having an agent who knows the process is critical - I manage these conversations with escrow and title so you don't get buried in legal questions you shouldn't have to answer alone.
You'll sign the grant deed as trustee. The title company records the transfer. Proceeds go to the trust account, and you distribute them to beneficiaries according to the trust's terms. Keep documentation of everything - beneficiaries are entitled to an accounting.
What Happens with the Title
This is where most trustees feel the most confused - and it's actually simpler than it sounds once you see it in writing.
When property is held in a living trust, the title (deed) is in the trust's name. A typical vesting looks like this: "John A. Smith and Mary B. Smith, Co-Trustees of the Smith Family Living Trust, dated March 15, 2008." The people are named, but they're named in their capacity as trustees - not as individual owners.
When you sell as trustee, the title company will do three things:
1. Title Search
They pull the full chain of title on the property, confirm the trust's ownership, and flag any liens, judgments, or easements that need to be resolved before closing.
2. Trust Review
They review the Certification of Trust (and sometimes key sections of the full trust) to confirm the trustee has authority to sell real property and how the trustee must sign.
3. Title Insurance
They issue title insurance to the buyer, which protects against any future claims against the property's ownership history. This is standard in all California transactions.
The grant deed you sign at closing will transfer the property from "[Your Name], Trustee of the [Trust Name]" to the buyer. After recording, the buyer holds clean title and the trust's ownership interest is terminated.
I've seen escrow documents where an inexperienced escrow officer forgets to add the trustee designation after the signature line. You must sign as "Jane Doe, Trustee of the Smith Family Trust" - not just "Jane Doe." If you sign personally, you may inadvertently create personal liability for the transaction. I verify this in every trust sale I handle.
For more context on how this compares to a probate sale, where title issues are often more complex, see my guide at selling probate property in Los Angeles.
Beneficiary Considerations
One of the questions I get most often from new trustees: "Do I need my siblings to sign off before I can sell?" The answer depends on the trust - but in most California living trusts, the answer is no, you don't need beneficiary approval to sell.
Under California Probate Code §16226, trustees have broad authority to sell trust property unless the trust document restricts that authority. The fiduciary duty is to act in the beneficiaries' best interests - which usually means getting fair market value - but the sale decision itself belongs to the trustee.
Beneficiary Approval NOT Required When:
The trust grants the trustee broad sale authority (most standard living trusts do). All co-trustees are in agreement. There are no conflicting interests or self-dealing issues.
Beneficiary Approval MAY Be Required When:
The trust document specifically requires beneficiary consent for real estate sales. There are multiple trustees and they cannot agree. A beneficiary has been given a specific bequest of the property itself.
Your Duties in All Cases:
Regardless of whether approval is required, you must keep beneficiaries "reasonably informed" of significant transactions (California Probate Code §16060). Send a written notice before listing. Document that you sent it. Obtain fair market value - selling below market without compelling reason can expose you to a breach of fiduciary duty claim.
If a beneficiary threatens to block the sale or has an attorney contact you, do not proceed until you've spoken with an estate attorney. A court petition may be necessary to get authorization, or mediation may resolve the issue faster. I've helped clients navigate contested trust sales - it's more common than you'd think, and there are clear legal paths forward. See my guide on trustee authority and beneficiary disputes in California.
Dealing with a difficult beneficiary situation? I can help you understand your options and connect you with the right estate attorney.
Call Justin: (213) 262-5092 Text InsteadFREE WEBINAR — EVERY WEDNESDAY AT 11AM PDT
Inherited Property in California: What Heirs Need to Know
Questions about beneficiary approval, the Certification of Trust, or step-up in basis? Justin answers those questions live every Wednesday. Free and online.
Reserve Your Free Spot →How Long Does a Trust Sale Take - and What Does It Cost?
A trust sale in California typically closes in 30 to 90 days from the date you list the property. Where you land in that range depends on three things: how quickly you can gather the required documents, how competitive your pricing is, and whether any title issues surface during escrow.
Typical Timeline
| Phase | Typical Duration | What Happens |
|---|---|---|
| Document Gathering | 1 to 2 weeks | Locate trust, death certificate, Certification of Trust, deed |
| Pre-Listing Prep | 1 to 3 weeks | Appraisal, repairs/cleaning, photos, pricing strategy |
| On Market | 1 to 4 weeks | Showings, offers, negotiation, acceptance |
| Escrow | 21 to 30 days | Inspections, trust doc review, title search, loan (if buyer financing) |
| Close and Distribution | 1 to 5 days post-close | Title records, funds wire to trust account, distribute to beneficiaries |
Costs to Expect
Trust sale costs are similar to any standard California home sale - seller closing costs run approximately 7% to 9% of the sale price when you include agent commission, title, escrow, and transfer taxes. The trust-specific costs are relatively modest:
| Cost Item | Typical Range | Notes |
|---|---|---|
| Estate / Trust Attorney | $300 to $500/hr | Preparation of Certification of Trust, trust review; 2 to 4 hours typical for straightforward cases |
| Certified Appraisal | $500 to $800 | Date-of-death value for tax step-up purposes; strongly recommended |
| Agent Commission | 2% to 3% (listing) | No trust-sale surcharge; standard commission applies |
| Title and Escrow | $1,500 to $3,500 | Title insurance, escrow fees; trust review may add $200 to $400 |
| Probate Court | $0 | Not required for a properly funded revocable living trust |
Compare this to probate, where statutory attorney and executor fees can reach 4% to 8% of the gross estate value - on a $900,000 home, that's $36,000 to $72,000 in fees alone, plus the 9-to-18-month timeline. The living trust your parents created is saving the family real money.
Questions About Costs? Call Justin: (213) 262-5092Step-Up in Basis: The Tax Benefit Most Families Miss
When your parent passes away and you inherit a house through a living trust, the property's cost basis "steps up" to its fair market value at the date of death. If you sell soon after, you may owe little to no capital gains tax - even if the home appreciated dramatically over 30 or 40 years.
Here's a concrete example. Say your mother bought a house in Pasadena in 1985 for $180,000. She died in 2025 when the house was worth $1,200,000. Her original basis was $180,000. Under normal capital gains rules, if you inherited the property and sold it, you'd owe capital gains tax on roughly $1,020,000 of appreciation.
But with the step-up in basis rule: your basis becomes $1,200,000 - the fair market value at death. If you sell the house for $1,200,000 six months later, your capital gain is zero. This is one of the most significant tax benefits in the U.S. tax code, and it applies automatically when property passes through a properly structured revocable living trust.
Community Property Bonus
If the property was community property held by a married couple in a revocable living trust, both halves of the property get a step-up when the first spouse dies - not just the decedent's half. California is a community property state, so this applies to most married couples in the SGV, Pasadena, and greater LA who had their homes in joint revocable trusts.
This is why getting a certified date-of-death appraisal is so important. That documented value becomes your tax basis. If you sell within a few months at or near that value, your capital gains liability may be minimal or zero.
Step-up in basis is one of the most valuable aspects of a trust sale, but the specifics depend on your situation - the type of trust, whether the property was community property, your state of residence, and the timing of the sale. Consult a CPA or tax attorney before closing. I can refer you to one who handles estate and trust situations regularly.
For more on tax implications of inherited property in California, see my related guide on selling a home in Los Angeles and how property taxes are handled in estate situations.
Ready to understand what your specific trust sale situation looks like? Let's talk.
Call Justin: (213) 262-5092 Text Justin5 Mistakes New Trustees Make When Selling Trust Property
Most trust sales go smoothly. The ones that don't usually come down to one of the same five mistakes. I've seen each of these create delays, disputes, and in one case a lawsuit. Here's how to avoid them.
Mistake 1: Listing Before Confirming Trust Authority
Never list the property before reading the trust and confirming you have authority to sell. Some trusts require beneficiary consent or co-trustee agreement. Listing before you verify can expose you to personal liability.
Mistake 2: Skipping the Death Certificate
Title companies and escrow will not close a successor trustee sale without a certified death certificate. Order multiple certified copies immediately - the county vital records process takes time and you'll need copies elsewhere too.
Mistake 3: Not Notifying Beneficiaries
You may not need approval, but you do need to notify. California Probate Code §16060 requires trustees to keep beneficiaries "reasonably informed." A single letter before listing covers you. Skipping this step gives an unhappy beneficiary a legal basis for a complaint.
Mistake 4: Pricing Based on Emotion, Not the Market
Trustees often price too high because the family has an emotional attachment to what the house was worth to their parents. Your fiduciary duty is to get fair market value - not sentimental value. Overpricing delays the sale and costs beneficiaries money in carrying costs.
Mistake 5: Depositing Proceeds Into a Personal Account
Sale proceeds go to the trust account - not your personal checking account. Commingling trust funds with personal funds is a breach of fiduciary duty and can expose you to serious legal liability. The escrow company will wire to whatever account you designate - make sure it's a trust account.
Mistake 6: Signing Documents Personally, Not as Trustee
Every document you sign must include your trustee designation. "Jane Smith" is wrong. "Jane Smith, Trustee of the Smith Family Living Trust dated January 1, 2010" is correct. This matters legally - personal signatures on trust transactions can create personal liability.
Want to make sure you're not making any of these mistakes? Let's go through your situation together.
Call Justin: (213) 262-5092 Text JustinRevocable vs. Irrevocable Trusts: Does It Change the Process?
Most California living trusts are revocable while the grantor is alive - meaning the person who created the trust could change or dissolve it at any time. When the grantor dies, a revocable living trust typically becomes irrevocable. This is the situation most successor trustees are dealing with.
The good news: the real estate sale process is largely the same whether the trust is revocable or irrevocable. As long as the trust grants the trustee authority to sell real property - which most do - you can proceed without court involvement either way.
Revocable Living Trust (Grantor Still Alive)
The grantor can sell the property themselves or direct the trustee to sell. Very simple - essentially like any standard home sale. No death certificate needed since the grantor is living.
Revocable Trust (Now Irrevocable After Death)
Most common situation for successor trustees. Trust becomes irrevocable at death. Trustee sells using Certification of Trust + death certificate. No probate needed if property was properly titled in the trust.
Irrevocable Trust Created for Asset Protection or Tax Purposes
These are more complex. The trust terms govern everything - some prohibit sale without court approval or beneficiary consent. Always have an estate attorney review an irrevocable trust before proceeding with a sale.
Special needs trusts, charitable remainder trusts, and Medicaid/Medi-Cal planning trusts often have restrictions on property sales that a standard living trust does not. If you're dealing with one of these, please consult an estate attorney before taking any steps toward a sale. The rules are different enough that general guidance doesn't apply.
The bottom line: if you're dealing with a standard California revocable living trust that became irrevocable when your parent died, you're in the most common and most straightforward situation. The process in this guide applies directly to you.
What Will the Beneficiaries Actually Receive? Net Proceeds Table
One of the first questions beneficiaries ask is how much they'll actually get after all the costs are paid. Here's an honest breakdown at three common price points for SGV and Pasadena-area properties. These numbers assume a standard sale with no major repairs or back taxes.
| Cost Item | $750,000 Sale | $1,100,000 Sale | $1,600,000 Sale |
|---|---|---|---|
| Gross Sale Price | $750,000 | $1,100,000 | $1,600,000 |
| Agent Commission (5% total) | - $37,500 | - $55,000 | - $80,000 |
| Title and Escrow Fees | - $4,500 | - $5,800 | - $7,500 |
| County Transfer Tax ($1.10/$1,000) | - $825 | - $1,210 | - $1,760 |
| Estate Attorney (Cert. of Trust) | - $1,200 | - $1,200 | - $1,500 |
| Date-of-Death Appraisal | - $600 | - $700 | - $800 |
| Misc. Repairs / Cleaning | - $3,000 to $8,000 | - $3,000 to $10,000 | - $5,000 to $15,000 |
| Approximate Net Proceeds | $698,000 to $703,000 | $1,023,000 to $1,033,000 | $1,494,000 to $1,509,000 |
Note: Pasadena is within the City of Pasadena which has its own transfer tax of $4.40 per $1,000 (in addition to the county $1.10). Properties in unincorporated LA County or cities without a city transfer tax will be slightly higher. Some cities like Alhambra and Arcadia have no city transfer tax. I always verify the exact transfer tax before we close.
Capital gains tax is not included in this table because it depends heavily on your specific step-up basis situation - which is why the date-of-death appraisal matters so much. In many cases, beneficiaries who sell within six to twelve months of the date of death owe little to no capital gains tax.
Want a specific net proceeds estimate for your property? I'll run the numbers at no charge.
Call Justin: (213) 262-5092 Text JustinTrust Sale Readiness Checklist: Are You Ready to List?
Before you put the property on the market, work through this checklist. If you can check every box, you're ready to list. If any of these are unchecked, let's address them first - a delay of one week at the start is better than a blown escrow halfway through.
| Item | Status | Why It Matters |
|---|---|---|
| Trust document located and reviewed | Required | Confirms your authority to sell and any restrictions |
| Property deed confirms trust ownership | Required | If deed shows personal names (not trust), probate may be needed |
| Certified death certificate obtained (min. 3 copies) | Required | Title company requires certified copy; order extras for banks |
| Certification of Trust prepared | Required | Estate attorney prepares this; escrow needs it at opening |
| Co-trustees identified and in agreement | Required | If multiple trustees, all must agree and sign; conflicts must be resolved |
| Beneficiaries notified in writing | Required | CA Probate Code §16060 - document the date you notified each one |
| Date-of-death appraisal ordered | Strongly Recommended | Establishes step-up basis for capital gains - critical tax document |
| Estate attorney consulted | Strongly Recommended | Confirms authority, reviews trust terms, prepares Certification |
| CPA consulted on tax implications | Strongly Recommended | Step-up in basis strategy, capital gains exposure, timing of sale |
| Trust bank account opened | Strongly Recommended | Proceeds must go to trust account - not personal accounts |
| Property cleared and cleaned | Recommended | Estate sales often involve clearing decades of belongings; budget time |
| Trust sale agent engaged | Required | Agent who knows trust documents, title requirements, and the SGV market |
Why a Trust Sale Specialist Matters
You can hire any licensed California real estate agent to list a house held in trust. The question is whether you want to spend the next two months educating your agent about what documents they need, or whether you want an agent who already knows exactly what the title company requires, how the Certification of Trust works, and how to handle a beneficiary dispute if one surfaces.
I've closed 14+ trust and probate sales in the SGV, Pasadena, and greater Los Angeles. Here's what that experience means for you:
I Know What Title Needs
No delays because the escrow officer sent a list of trust documents and your agent had to Google what a Certification of Trust is. I've gathered these documents dozens of times.
I Work With Estate Attorneys
I coordinate with trust attorneys directly. Legal questions don't get dumped back on you. When my clients need an estate attorney referral, I have names I trust personally.
I Can Explain the Certification of Trust
Most clients have never seen this document. I walk you through what it says, what it does, and why the title company is asking for it - in plain English.
My commission is standard - no trust-sale surcharge. You're not paying extra for the expertise. You're just getting an agent who won't slow you down by having to learn on your job.
I've guided grieving families through this process with patience and efficiency. That's not a sales pitch - it's what I do. The families I work with are often dealing with loss and an unfamiliar legal situation at the same time. The goal is always to make the real estate part feel as clear and uncomplicated as possible.
Ready to talk through your trust sale situation? First call is always just a conversation - no pressure.
Call Justin: (213) 262-5092 Text Justin"Is the property actually in the trust?" / "Do I need an attorney?" / "What does a Certification of Trust say?" / "Can my sibling block the sale?" / "What's the property worth?" I answer all of these on the first call. It costs nothing to talk through your situation.
Quick Reference: Trust Sale Cheat Sheet
Here's the complete process at a glance. Use this to track where you are and what's next.
| Task | Who Does It | When | Notes |
|---|---|---|---|
| Confirm trustee authority | You (+ estate attorney) | Day 1 | Read trust's "Powers of Trustee" section |
| Gather trust documents | You | Days 1 to 7 | Trust doc, Certification, death cert, deed |
| Notify beneficiaries | You (written notice) | Days 3 to 7 | Required under CA Probate Code; document it |
| Order date-of-death appraisal | Licensed appraiser | Week 1 to 2 | Critical for step-up in basis tax records |
| Consult estate attorney / CPA | Professionals | Week 1 to 2 | Trust review, tax implications, beneficiary issues |
| List property | Trust sale agent (Justin) | Week 2 to 4 | Price to market; fiduciary duty requires fair value |
| Accept offer | You as Trustee | Week 4 to 6 | Sign as "[Name], Trustee of the [Trust Name]" |
| Deliver trust docs to escrow | You + agent | Day 1 of escrow | Certification of Trust + death certificate |
| Title company reviews trust | Title company | During escrow | Confirms authority to sell; issues title insurance |
| Sign grant deed as trustee | You | Closing day | Must include full trustee designation after signature |
| Receive proceeds | Title/escrow | 1 to 2 days post-close | Funds wire to trust account, not personal account |
| Distribute to beneficiaries | You as Trustee | Per trust terms | Provide accounting; keep documentation |
FREE WEBINAR — EVERY WEDNESDAY AT 11AM PDT
Inherited Property in California: What Heirs Need to Know
Before you call an attorney or list the property, join the webinar first. Justin walks new trustees through exactly what to expect. 45 minutes. Free. No pitch.
Reserve Your Free Spot →Frequently Asked Questions
Can I sell a house in a living trust without a lawyer?
You don't legally need an attorney to sell trust property in California - but I strongly recommend a brief consultation with an estate attorney before you proceed. A 2-hour review of the trust document, confirmation of your authority, and preparation of the Certification of Trust ($600 to $1,000 typically) is a small investment that prevents major problems. Some title companies will require a trust review anyway.
What is a Certification of Trust and do I really need one?
A Certification of Trust is a summary document, authorized under California Probate Code §18100.5, that confirms key facts about the trust without revealing the full document and all its terms. It typically covers: the trust exists, who the trustee is, what authority the trustee has, and how to take title to assets. Title companies and escrow accept this in lieu of the full trust. You need one for any real estate transaction involving trust property - yes, you really need it.
Do all the beneficiaries have to agree before I can sell?
In most standard California living trusts, no - the trustee has unilateral authority to sell real property under California Probate Code §16226. The trust document governs, so read it carefully. What you are required to do is keep beneficiaries reasonably informed. If a beneficiary files a legal objection, you may need a court petition to proceed. See my guide on trust sale vs. probate in California for a deeper breakdown.
What if the house is still in the deceased person's name, not the trust?
This is called an "unfunded trust" - the trust was created but the property was never retitled into it. In this case, the property typically has to go through probate before it can be sold. This is unfortunately common and often discovered only when an heir tries to sell. If you suspect this is your situation, call me and we'll verify the deed together before you take any other steps.
How is the property titled when I sign the sale documents?
You'll sign as trustee - for example: "Jane M. Smith, Trustee of the Smith Family Living Trust dated January 1, 2010, as Trustee." This signature block format is critical. The grant deed that transfers title to the buyer will reference the trust. Your personal name appears, but only in your capacity as trustee, which limits your personal liability.
Will we owe capital gains tax when we sell the inherited property?
Probably very little or none if you sell relatively soon after the date of death. Property passing through a revocable living trust receives a step-up in basis to fair market value at death. If you sell at or near that value, the capital gain is minimal. Community property trusts in California can give both halves a full step-up when the first spouse passes. Talk to a CPA for specifics on your situation - this is one of the most important tax questions to get right.
How long does a California trust sale take start to finish?
Figure 30 to 90 days from the day you list the property. The biggest variable is how quickly you gather documents and whether any title issues surface. Compared to probate - which averages 9 to 18 months in California - a trust sale is dramatically faster. Properties in strong markets like Pasadena and the SGV often receive offers in the first one to three weeks on market.
Related Resources
Other guides in this series that may be helpful as you navigate the trust sale process:
Looking at inherited properties in the SGV or LA County? Browse current listings.
Browse LA County ListingsYou Don't Have to Figure This Out Alone
Being named trustee is a responsibility - and selling a house is the most complex part of trust administration. Let's make it as straightforward as possible.
- 14+ trust and probate closings in the SGV and LA County
- I explain the Certification of Trust in plain English
- I coordinate with estate attorneys - no legal questions dumped back on you
- Standard commission - no trust-sale surcharge
- First call is always just a conversation
Justin Borges, DRE #01940318 • The Borges Real Estate Team at eXp Realty
680 E Colorado Blvd Suite 180, Pasadena, CA 91101
