Trust Benefits: Out of State Property

by Kristen Ishihara and Chris Parker with Ishihara & Parker Law Firm PLLC

Here’s the Estate Planning Mistake Most People Miss

Let’s say this sounds like you:

You live in Texas
Your primary home is here
But you also own something else…

Maybe:

A lake house in another state
Mineral interests somewhere else
A timeshare in Florida

Seems simple enough, right?

But when it comes to estate planning, this situation can create a big—and often overlooked—problem.

What Happens If You Only Have a Will?

Most people think a will covers everything.

But here’s what actually happens:

When you pass away, your will must be probated in the state where you lived.

So if you live in Texas:
👉 Your will gets probated in Texas.

So far, so good.

Here’s Where It Gets Complicated

If you also own real estate in another state…

👉 Your will must be probated there too.

Yes—again.

This is called an ancillary probate.

What That Means in Real Life

Let’s go back to our example:

You live in Texas, but you own:

A lake house in Arkansas
Or a timeshare in Florida

When you pass away:

Your executor must probate your will in Texas
Then hire another attorney in Arkansas (or Florida)
And probate your will again in that state

Why Does This Happen?

Because:

👉 A probate in one state does not transfer ownership of real estate in another state.

Each state controls its own real property.

So even if everything is handled perfectly in Texas…

It doesn’t automatically carry over.

The Result: More Time, More Cost, More Stress

Multiple probates mean:

More legal fees
More attorneys involved
More paperwork
More delays for your family

It’s not unusual for families to be caught completely off guard by this.

This Happens More Often Than You Think

A lot of people don’t even realize they own “out-of-state property” in a way that matters.

Common examples include:

Vacation homes
Rental properties
Inherited land
Mineral interests
Timeshares

Even something that seems small—like a partial ownership—can trigger this issue.

The Simple Way to Avoid Multiple Probates

If you want to avoid this situation altogether:

👉 A revocable living trust is often the better solution.

Why a Trust Makes This Easier

When property is owned by a trust:

It does not go through probate
It can be managed and transferred across state lines
Your successor trustee can handle everything without multiple court processes

In other words:

One plan—without having to repeat it in every state.

A Practical Way to Think About It

If you choose a will-only plan and own property in multiple states:

👉 You’re choosing multiple probates.

If you use a trust:

👉 You can often avoid that entirely.

A Note for Advisors and Planners

If you’re a:

Financial advisor
CPA
Real estate professional

This is a huge opportunity to help clients.

Simply asking:

“Do you own property in another state?”

…can uncover a major planning gap.

Catching this early can save families significant time, money, and frustration later.

Final Thought

Owning property in multiple states isn’t uncommon.

But not planning for it properly can create unnecessary complications for the people you leave behind.

A simple conversation—and the right structure—can make all the difference.

Ready to review your estate plan?
At Ishihara & Parker Law Firm, we help Texas families protect their property and avoid costly mistakes. Contact us today to schedule a consultation and ensure your plan reflects your wishes.

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