Multifamily Probate SalesA guide by Shaya Lowenstein, Lyon Stahl Investment Real Estate Call (323) 944-2221

For executors, administrators, heirs and estate attorneys in Los Angeles County

Does an apartment building have to go through probate to be sold?

It depends on how the owner held title. A building in the owner's name alone, or the owner's share held as a tenant in common, goes through probate unless a small-estate route fits, while joint tenancy, community property with right of survivorship, a living trust or a surviving spouse's rights can move it without a probate case.

On this page
  1. Why does the deed decide it?
  2. What if the building is in the owner's name alone?
  3. How do joint tenancy and survivorship work?
  4. What about a living trust or a surviving spouse?
  5. Does a transfer on death deed or a small estate help?
  6. What if an LLC owns the building?
  7. What should an executor do first?
  • How the owner held title decides whether the building goes through probate. The recorded deed is where to look first.
  • A building in the owner's name alone, or the owner's share as a tenant in common, goes through probate unless another law moves it.
  • Joint tenancy, community property with right of survivorship, a living trust and property passing to a surviving spouse can each move the building without a probate case.
  • A transfer on death deed cannot carry a building of five or more units, and since AB 2016 the small-estate petition for real property reaches only the owner's primary residence.

Why does the deed decide it?

Whether an apartment building has to go through probate depends on how the owner held title to it. Probate Code section 7001 makes a decedent's property subject to administration unless another law provides otherwise, and each route below is one of those other laws. Where none of them fits, the building is sold in probate.

How title was heldWho sellsIs probate needed?
In the owner's name aloneThe personal representative, once letters issueYes, unless a small-estate route fits
As tenants in commonThe personal representative for the owner's share, the other owners for theirsYes, for the owner's share
As joint tenantsThe surviving joint tenant, after recording an affidavit of deathNo
As community property with right of survivorshipThe surviving spouse, the same wayNo
In a living trustThe successor trusteeNo
Passing to a surviving spouse by will or without oneThe surviving spouseNo administration, and a spousal property petition can confirm it
In an LLCThe companyNot for the building, though the owner's interest in the company may need it

What if the building is in the owner's name alone?

Then it goes through probate, unless one of the small-estate routes further down fits. Nobody can sign for the estate until the court appoints a personal representative and letters issue, which Probate Code section 8400 makes the moment the appointment takes effect, and after that the sale runs under full authority or court confirmation.

Tenants in common are handled the same way, one share at a time. A tenancy in common carries no survivorship between the owners, so the share of the owner who died is that owner's property under section 7001, and the other owners keep their shares. To sell the whole building, the personal representative sells the estate's share and every other owner signs for theirs. If one of them will not, that is a question for the estate's attorney before any listing goes out.

How do joint tenancy and survivorship work?

A joint tenancy passes the building to the surviving joint tenant without a probate case, which is how the courts' self-help guide on when formal probate may not be needed describes it. What the survivor does is clear the record. Probate Code section 210 provides for an affidavit of death, made by someone who knows the facts and recorded in the county where the property is, with a description of the property and a certified copy of the death record. Los Angeles County's Registrar-Recorder keeps a page for the affidavit of death of a joint tenant. Once it is recorded, the survivor sells as the owner.

Spouses have a second form of survivorship. Under Civil Code section 682.1, community property that the transfer document expressly declares to be community property with right of survivorship passes to the surviving spouse at death without administration, under the same procedures as joint tenancy. The section applies to instruments created on or after July 1, 2001. Either survivorship can be ended while both owners are alive, so the deed to read is the latest one recorded, which may not be the one from the purchase.

What about a living trust or a surviving spouse?

A building in a living trust is sold by the successor trustee, with no probate case for it. The trustee holds the trust's powers and the statutory powers without court authorization under Probate Code section 16200, and those include the power to sell. That assumes the deed put the building in the trust. A building the owner meant to put in the trust and never deeded to it is still in the owner's name, and getting it to the trustee can take a petition under section 850.

Property passing to a surviving spouse, under a will or without one, needs no administration under Probate Code section 13500. For a court order confirming it, the spouse can file a spousal property petition under section 13650, on form DE-221.

Does a transfer on death deed or a small estate help?

For a building of five or more units, a transfer on death deed does not. Probate Code section 5610 limits the real property such a deed can carry to a parcel improved with one to four residential units, or a residential unit in a common interest development such as a condominium. A duplex, triplex or fourplex can pass that way, and a larger building cannot.

The small-estate routes each stop at a dollar ceiling, and the Judicial Council adjusts the ceilings every three years under Probate Code section 890. The current figures are on form DE-300.

RouteWhat it reachesCeiling
Affidavit under section 13100Personal property only, so never the building itself$208,850 for deaths on or after April 1, 2025
Petition to determine succession, section 13151Since AB 2016, only real property that was the decedent's primary residence in California$750,000 in gross value of that property, for deaths on or after April 1, 2025 and before April 1, 2028
Affidavit re real property of small value, section 13200, form DE-305Real property of small valueThe figure on form DE-300

AB 2016, which took effect January 1, 2025, narrowed the petition to the primary residence, as a Judicial Council invitation to comment describes it. A rental building the owner did not live in is outside it. Whether a building the owner did live in counts as a primary residence for this purpose is a question for the estate's attorney.

What if an LLC owns the building?

Then the building belongs to the company, and nothing about it changed when the member died. What changed is who holds the member's interest. Corporations Code section 17705.01 makes that interest personal property. Section 17705.04 lets the member's personal representative or other legal representative exercise a transferee's rights and, to settle the estate, a member's rights to information. If the interest was in the member's own name, it may need probate even though the building does not. The company is the seller. Its operating agreement is the first document to read with the attorney.

What should an executor do first?

  1. Get the most recent recorded deed, which the county's Registrar-Recorder keeps, and read how title is vested.
  2. Look for a trust, a later deed, an LLC's papers and anything else that names who takes the building.
  3. List everything else the owner held and roughly what each item is worth, because the attorney needs that picture to tell you which route fits.
  4. Keep the building insured and running. Before letters, section 8400 lets a named executor take the steps needed to preserve the estate.
  5. Take the deed and the list to an estate attorney before signing anything about the building. If probate is needed, the case opens with a Petition for Probate, form DE-111, and each stage after that filing waits on a hearing, a notice or the court's calendar.

Shaya Lowenstein is not an attorney, and which of these routes applies is a legal judgment he cannot make for you. What he can do once the right person holds authority is tell you what the building would bring, and prepare it for a sale on whichever route it turns out to take.

Questions executors ask

Can an apartment building be sold without going through probate?

Yes, when title passes some other way. A surviving joint tenant, a successor trustee or a surviving spouse can sell without a probate case, and a building owned by an LLC is sold by the company. One left in the owner's name alone needs probate unless a small-estate route fits.

Can a transfer on death deed be used for an apartment building?

Only for a small one. Probate Code section 5610 covers a parcel with one to four residential units, or a condominium-type unit, so a fourplex qualifies and a five-unit building does not.

What is the California small estate limit for deaths in 2025?

For deaths on or after April 1, 2025, the personal property affidavit under section 13100 applies up to $208,850, and the petition under section 13151 reaches a primary residence worth up to $750,000. The Judicial Council adjusts the figures every three years, and form DE-300 lists the current ones.

Does a building held in joint tenancy go through probate?

No. It passes to the surviving joint tenant, who records an affidavit of death with the county, attaching a certified copy of the death record, and can then sell as the owner.

Does an LLC-owned building need probate when a member dies?

The building does not, because the company owns it. The member's interest in the company is personal property, and if the member held it in their own name, that interest can need probate.

Confidential

Talk to Shaya about the building

Send the address and a line about where the case stands. Shaya will call you back to talk through the building, which route the sale is likely to take, and what the listing should have ready before the notice goes out or the hearing is set.

Rather talk now? Call or text (323) 944-2221Or email shaya@lyonstahl.com
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Shaya Lowenstein

About Shaya Lowenstein

Multifamily Real Estate Advisor · Lyon Stahl Investment Real Estate · CA DRE #01942326

Shaya Lowenstein has worked in real estate since 2011, across brokerage, operations and development. His practice is apartment buildings and land in Southern California: repositioning and value-add work, land use and zoning analysis, and long-range planning for owners, investors and developers.

Shaya is a licensed real estate agent. He is not an attorney or a tax advisor, and nothing on this site is legal or tax advice. When a decision turns on the law or on your taxes, talk to a California attorney or a CPA. How this guide is researched and kept current.

830 S Pacific Coast Hwy, Suite D-200, El Segundo, CA 90245(323) 944-2221shaya@lyonstahl.com