Los Angeles Real Estate Report

Key Takeaways

• →A will does not automatically avoid probate in California.
• →If you own real estate, have children, or have more than $150,000 in assets, you should consider a living trust.
• →Probate can take years and cost tens of thousands of dollars.
• →A living trust helps protect privacy and avoid court involvement.
• →Estate planning also prepares for incapacity, not just death.
• →Trusts should be reviewed every two to three years as laws and life circumstances change.
• →Healthcare directives and powers of attorney are just as important as financial planning.

A Conversation Most People Avoid

Nobody enjoys talking about death, incapacity, or what happens after they're gone.

In fact, it's one of the most common things people postpone for years.

That was certainly our experience.

When we purchased our home, we realized it was time to finally address something we had been putting off for far too long: updating our estate plan.

Like many people, we thought we had things mostly handled. What we learned was that estate planning is not a "set it and forget it" process.

To help us better understand the process, we sat down with estate planning attorney Jeff Rosen of Rosen Trust Law, who has spent more than a decade helping California families protect their homes, assets, and loved ones.

Is a Will Enough?

One of the biggest misconceptions in estate planning is the belief that having a will solves everything.

For a small percentage of Californians, a will may be sufficient.

For most homeowners, however, it is not.

A will tells the court what your wishes are. It does not avoid the court process itself.

In fact, one of the primary purposes of probate is to validate a person's will.

That means you can have a perfectly written will and still force your family through probate.

Three Signs You Should Consider a Living Trust

According to Jeff Rosen, if any one of these applies to you, it's worth speaking with an estate planning attorney about a living trust.

1. You Have Children — especially if you have minor children.

2. You Own Real Estate — particularly California real estate, though this applies to property anywhere in the country.

3. You Have More Than $150,000 in Assets — this includes home equity, savings accounts, investment accounts, retirement assets, and other personal property.

If any of these situations apply to you, a living trust may provide significant benefits.

What Happens Without a Trust?

The answer is simple: probate.

If someone dies without proper estate planning, California already has a plan in place. It's called probate.

Probate is a court-supervised process that determines how assets are distributed after death.

Unfortunately, probate is often expensive, time consuming, public, and deeply stressful for grieving families.

The Real Cost of Probate in California

What We Learned About Probate

One thing that stood out to us was how avoidable many probate situations are.

We've worked with families who planned ahead and families who didn't. The difference is dramatic.

When everything is organized, families can focus on healing and supporting one another.

When things are not organized, grief often becomes mixed with confusion, frustration, legal hurdles, and financial complications.

Estate planning is one of the greatest gifts you can leave to the people you care about.

How a Living Trust Works

A revocable living trust creates a legal framework that allows assets to pass according to your wishes without probate.

Think of it as a set of instructions. The trust outlines who manages your assets, who receives your assets, what happens if you become incapacitated, and what happens after your death.

Most importantly, you remain in control.

Many people worry that placing assets into a trust means giving up control. That's not how a revocable living trust works.

During your lifetime, you remain the trustee, you remain the beneficiary, and you maintain full control over your assets. You can sell your home, refinance, change beneficiaries, and update the trust at any time.

The trust simply provides a framework for what happens when you're no longer able to manage things yourself.

Planning for Incapacity Is Just as Important

Estate planning is not only about what happens after death.

According to Jeff, there is approximately an 80% chance that most people will experience some period of incapacity before death.

That could result from dementia, Alzheimer's, serious illness, stroke, injury, or unexpected accidents.

Without proper planning, your family may face significant challenges accessing accounts or making important decisions on your behalf.

Choosing the Right Successor Trustee

One of the most important decisions you'll make is selecting a successor trustee.

This is the person who will manage your finances if you become incapacitated, carry out your wishes after death, and handle assets according to the trust.

The key word is trust.

Choose someone whose judgment, values, and integrity align with your own.

Why Trusts Need Regular Updates — And the Privacy Advantage

One of the biggest surprises for us was learning that trusts should be reviewed regularly.

Life changes. People change. Laws change.

The person who was the perfect successor trustee ten years ago may no longer be the right choice today. Most experts recommend reviewing your estate plan every two to three years.

There is also a major privacy benefit that most people don't consider. Probate proceedings are public record — meaning information about assets, beneficiaries, property values, and estate administration can become publicly accessible.

A properly funded trust allows families to handle these matters entirely in private.

Common Mistake: Putting a Child on Title

Many homeowners believe adding a child to a property's title is an easy way to avoid probate.

Unfortunately, this strategy can create significant problems — including property tax reassessment, loss of tax advantages, capital gains complications, and unintended ownership consequences.

Before making any changes to title, speak with an estate planning attorney.

Healthcare directives and HIPAA authorizations are equally important and often overlooked. They allow trusted individuals to speak with doctors, access medical information, and make healthcare decisions when necessary. Without these documents, even close family members may face legal obstacles during a medical emergency.

Chuck Marquardt’s Perspective

“It's just the cost of being an adult. It's one of those things that if you care about the people around you, and especially if you have children and loved ones, it's a gift to have this in order.”

Frequently Asked Questions

Final Thoughts

Estate planning isn't really about paperwork.

It's about creating clarity.

It's about protecting the people you love.

It's about preserving your privacy, avoiding unnecessary costs, and making sure your wishes are honored when you can no longer speak for yourself.

If you've been putting this off, consider making this the year you finally get your affairs in order.

Your future self — and your family — will thank you for it.

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