How to Transfer an Out-of-State Property Interest in IL When All Heirs Agree and Ancillary Probate May Not Be Required

Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney to discuss your specific situation.

Detailed Answer

When a decedent owned real estate outside of Illinois and all heirs agree on distribution, you may avoid a full ancillary probate in the other state. Follow these general steps under Illinois law and coordinate with the jurisdiction where the property sits.

1. Confirm ownership details. Pull a certified copy of the deed from the county recorder in the other state. Check for joint tenancy, tenancy by the entirety, or a transfer-on-death deed. If the title passes automatically, that may eliminate probate altogether.
2. Review transfer-on-death options. In Illinois, the Real Estate Transfer on Death Instrument Act (755 ILCS 5/35) lets owners record a beneficiary deed to avoid probate. Verify if the other state offers a similar mechanism.
3. Use a small-estate affidavit if available. Some states allow heirs to claim real property via a small-estate or heirship affidavit when the estate value falls below a statutory threshold. Confirm the dollar limit and form requirements in that state’s statutes or administrative code.
4. Obtain an affidavit of heirship if needed. If the other state accepts an heirship affidavit, have all heirs swear to their relationship to the decedent and the absence of outstanding claims. Not all jurisdictions permit this for real estate—verify local rules.
5. Apply for limited ancillary letters if necessary. If the other jurisdiction demands some form of probate, pursue a simplified ancillary administration. Under 755 ILCS 5/2-4 (Ancillary Administration), an Illinois personal representative can secure ancillary letters to handle out-of-state assets without full probate there.
6. Prepare and record a deed. Once you have authority (affidavit or ancillary letters), draft a deed transferring the property interest to the heirs. Have all heirs sign as grantors if an affidavit suffices. Then record it with the county recorder in the state where the property sits.
7. Handle transfer taxes and fees. Pay any required transfer taxes, recording fees, or affidavit filing fees in the other state. Keep receipts and certified copies for your Illinois records.

Helpful Hints

• Obtain certified death certificate copies early.
• Keep a shared folder with all heirs for documents and correspondence.
• Confirm each step with the county recorder or clerk in the other state before filing.
• Check deadlines—some affidavits or small-estate processes require filing within a set period after death.
• Maintain a clear chain of title by recording deeds promptly.
• Consult a real estate attorney licensed in the other state if local rules are unclear.