Disclaimer: This post is for informational purposes only and does not constitute legal advice. Consult a licensed attorney for guidance specific to your situation.
Detailed Answer
In Michigan, when someone dies without a will (intestate), state law determines who inherits their property. Transferring the title of an inherited home involves several steps to comply with Michigan’s Probate Code (MCL 700.2101 et seq.).
1. Identify the Legal Heirs Under Intestate Succession
Michigan’s intestate succession law (MCL 700.2103) outlines how assets pass:
- If the decedent leaves a surviving spouse but no children, the spouse inherits the entire estate.
- If there is a spouse and one or more children, the spouse receives the first $150,000 plus half of the balance; children share the remainder.
- If there is no spouse, children inherit equally in undivided shares.
- If no spouse or children, assets pass to parents, siblings, and more remote relatives in the order specified by statute.
See MCL 700.2103: https://www.legislature.mi.gov/mileg.aspx?page=getObject&objectName=mcl-700-2103.
2. Open Probate or Use a Small Estate Affidavit
Heirs must either:
- File a probate petition with the county probate court to appoint a personal representative.
- Use a small estate affidavit if the total personal property (excluding real estate) is under $23,000 (MCL 700.3101).
Note: Real estate generally requires probate unless all heirs sign a transfer affidavit accepted by the register of deeds.
3. Obtain Necessary Court Documents
Through probate, heirs obtain:
- Letters of Authority or Letters of Authority for Informal Probate confirming the personal representative’s power to bind the estate.
- Heirship Determination or court order declaring the lawful heirs.
4. Prepare and Record the Heir’s Deed
Once heirs are identified, they execute an Heir’s Deed (sometimes called an “Affidavit of Heirship Deed”) transferring title from the decedent’s estate to the heirs. The deed must:
- Accurately describe the property.
- Name all heirs and their undivided ownership shares.
- Be signed before a notary public.
- Be recorded at the county register of deeds.
5. Division of Ownership and Potential Disputes
The home typically vests in heirs as tenants in common, each owning an undivided share. Heirs can:
- Agree to keep the property jointly.
- Buy out other heirs by paying fair market value.
- Seek a judicial partition to divide or sell the property and distribute proceeds.
Helpful Hints
- Check property tax and insurance obligations during probate to avoid liens.
- Obtain a professional appraisal to establish market value before any buyout or sale.
- Keep clear records of all court filings, deeds, and affidavits.
- Communicate openly with co-heirs to streamline the process and reduce conflicts.
- Consider mediation if heirs cannot agree on use, sale, or distribution.