Arizona’s Small Estate Affidavit: A Simplified Guide
Losing a loved one is tough, and the last thing you want to deal with is confusing legal paperwork, especially when it comes to transferring their assets.
At the Law Office of David I. Karp, PLLC we understand that protecting your family is your top priority, and we’re here to make the estate planning process as smooth as possible. That’s why today, we’re breaking down the Arizona Small Estate Affidavit—a helpful tool that could save you time and money during a difficult time.
What Is a Small Estate Affidavit?
A small estate affidavit is a simple legal form that lets you transfer a loved one’s assets without having to go through probate. It’s a faster, easier way to handle smaller estates, so you don’t have to deal with the costs and delays of a full probate. If you’re dealing with an estate in Arizona, a small estate affidavit could be the right option for you, provided the estate qualifies under state law.
Eligibility Requirements in Arizona
In Arizona, the estate has to meet specific requirements to use a small estate affidavit—let’s break it down: personal property or real property.
Personal Property
● The total value of all personal property must not exceed $75,000.
● At least 30 days must have passed since the death of the individual.
● All funeral expenses and expenses of last illness have been paid.
● An application or petition for the appointment of a Personal Representative is not pending and a Personal Representative has not been appointed, or a prior Personal Representative has been discharged.
Personal property covers things like bank accounts, cars, and jewelry—basically, anything that isn’t real estate.
Real Property
● The total value of all real estate, less encumbrances, must not exceed $100,000 at the date of death.
● At least six months must have passed since the death of the individual.
● All funeral expenses, expenses of last illness and all unsecured debts of the decedent have been paid and no federal estate tax is due on the decedent’s estate.
● An application or petition for the appointment of a Personal Representative is not pending and a Personal Representative has not been appointed, or a prior Personal Representative has been discharged.
For real property, think about homes or other land-based assets that may need to be transferred after someone’s passing. Unlike personal property, dealing with real estate often requires a bit more time and paperwork, but the process is still streamlined compared to a full probate.
How to Use a Small Estate Affidavit
Once you know the estate qualifies, here’s how to get started using a small estate affidavit. Below is a step-by-step guide to see you through:
Gather the Necessary Documents:
● A certified copy of the death certificate
● Copy of the will, if there is one
● Title documents for any real estate or large personal property
Complete the Appropriate Affidavit Form:
Arizona has different forms for personal property and real property, so be sure to use the right one. Our office can assist you by drafting an Affidavit to collect personal property or real property.
Sign and Notarize the Affidavit
After filling out the form, you’ll need to sign it in front of a notary public to ensure its validity.
File with the Probate Court
Once the small estate affidavit for real property is signed and notarized, it must be filed with the probate court and then recorded in the county where the real property is located. This step is particularly important, as it ensures the legal transfer of ownership. For personal property, the process is typically less complex, but filing may still be required depending on the circumstances.
Benefits of Using a Small Estate Affidavit
Using a small estate affidavit comes with several benefits, especially for families who want to avoid the lengthy and often expensive probate process.
● Avoids Probate: This method bypasses the formal probate court process, which can take months to complete.
● Simplifies Asset Transfer: The affidavit makes it easier for heirs to claim property without going through more complex legal channels.
● Faster Distribution: Because you’re skipping probate, you can generally distribute assets more quickly, allowing heirs to access funds or property without unnecessary delays.
Limitations of a Small Estate Affidavit
While a small estate affidavit is a great tool, like any legal tool, a small estate affidavit has its limits. There are a few important restrictions to keep in mind:
● Estate Value Limits: If the estate is worth more than $75,000 in personal property or $100,000 in real estate, you can’t use a small estate affidavit.
● Cost Effectiveness: Depending on the circumstances, it may cost less to open a probate to immediately deal with real property rather than paying the mortgage payment and homeowner’s insurance for the six-month waiting period.
● Inaccuracies or Omissions: Mistakes in filling out the affidavit, like incorrect property values or missing heirs, can cause delays or even lead to legal challenges and even litigation.
● Unresolved Legal Issues: If there are any ongoing legal disputes or claims against the estate, the affidavit won’t be an option.
Frequently Asked Questions
What documents do I need to file a small estate affidavit?
You’ll need several documents to file the affidavit, including a certified death certificate, a copy of the will (if applicable), and title documents for any real estate or large assets.
How long does it take to complete a small estate affidavit?
The time it takes can vary depending on the complexity of the estate and the efficiency of the local court. However, most cases are resolved within a few weeks to a few months, significantly faster than a full probate.
Can I still use a small estate affidavit if there’s no will?
Yes, the absence of a will does not prevent you from using a small estate affidavit. You’ll just need to follow Arizona’s intestacy laws, which determine how the estate will be distributed among heirs.
Need Help with a Small Estate Affidavit in Arizona?
Not sure if a small estate affidavit is right for you? We’re here to help.
At the Law Office of David I. Karp, PLLC, we take pride in offering personalized assistance to prepare affidavits to collect personal or real property. Give us a call at 520-395-1551 or visit our website to schedule a consultation—we’re ready to assist you every step of the way.