Effective April 1, 2025, California’s Assembly Bill 2016 (AB 2016) introduces a new California probate exemption that simplifies the process for transferring a primary residence valued up to $750,000. This update to the Probate Code aims to help families avoid costly and time-consuming probate proceedings when modest estates include valuable real estate.
AB 2016 expands the availability of simplified succession procedures and updates outdated value thresholds that hadn’t kept pace with California’s real estate market. As home values have risen, more families have been forced into full probate—until now. This article will summarize key aspects of how this bill will make life easier for Californians, as published by legalconsumerblog.
Key changes under AB 2016
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The small estate value limit increases from $184,500 to $208,850, adjusted for inflation
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A new exemption allows heirs to petition for transfer of a decedent’s primary residence valued up to $750,000 without undergoing formal probate
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These changes apply to estates of decedents who die on or after April 1, 2025
Eligibility criteria for the new exemption
To qualify for the new simplified process, all of the following must apply:
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The decedent passed away on or after April 1, 2025
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The property was the decedent’s primary residence
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The fair market value of the residence does not exceed $750,000 (as established by an appraisal)
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At least 40 days have passed since the date of death
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All required notices are given to heirs and devisees
Steps for transferring a home using the new process
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Complete the “Petition to Determine Succession to Real Property” under Probate Code § 13151
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Obtain and include a court-approved appraisal to show the home’s value is under the $750,000 cap
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Notify all heirs and devisees (whether or not they are receiving the property)
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File the petition in the superior court of the county where the property is located
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Once granted, record the court order with the county recorder to transfer title
More details on these steps are provided by the California Lawyers Association, which offers a full summary of AB 2016’s legal implications.
Why this change matters
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For many Californians, their home is their largest asset. Before AB 2016, families inheriting even modest homes were forced into full probate simply because real estate values exceeded old small estate limits
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The new California probate exemption streamlines estate administration for a wider group of people, saving time, money, and stress
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It encourages families to take proactive steps in estate planning without relying solely on full living trusts or costly legal proceedings
Limitations to keep in mind
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This exemption applies only to a primary residence—additional properties or commercial real estate are not eligible
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If the estate includes other assets that push the total value above applicable thresholds, the simplified process may not apply
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If required notices are not given, or if there are disputes among heirs, the court may require formal probate
Be aware of potential complications
The new process requires that all heirs and devisees be notified, which could increase the chances of family conflict or legal challenges.
Conclusion
California’s new probate rules under AB 2016 offer a streamlined pathway for transferring a primary residence—saving families both time and money. But while the process is simplified, it’s not automatic. Missing a notice requirement or misunderstanding eligibility rules could result in costly delays or disputes.
If you’re unsure whether your loved one’s estate qualifies for the California probate exemption, or if you need help with estate planning to avoid probate altogether, the Law Offices of David Knecht are here to help. We provide clear guidance, compassionate support, and the legal precision you need to protect your family’s future. Contact us today at (707) 451-4502.