Real estate is the #1 reason Missouri families end up in probate — here’s how the process works and how to avoid it.
When someone passes away in Missouri, the single most common asset that pushes their family into probate is real estate.
Whether it’s:
- a primary residence
- a rental home
- a farm
- a vacation property
- inherited land
- a family home still in a deceased parent’s name
…any property titled in the decedent’s name alone must go through probate unless it is:
✔ owned jointly with survivorship
✔ transferred via a valid TOD deed
✔ owned by a trust
✔ part of a completed estate plan
This guide explains how Missouri probate works for real estate, what families should expect, and how to avoid these issues entirely.
Why Real Estate Triggers Probate in Missouri
Probate is required if the deceased owned property:
- in their sole name
- without a beneficiary
- without a TOD deed
- not owned by a trust
- not jointly with survivorship
Examples:
- “John Smith” on the deed → probate
- “John Smith and Mary Smith, tenants in common” → probate for John’s share
- “John Smith, a single man” → probate
- “John Smith and Mary Smith, joint tenants with right of survivorship” → no probate
Most older Missourians have outdated deeds that require probate simply because no planning was done.
What Happens to Real Estate During Missouri Probate
Probate for real estate involves several steps.
Step 1: Court Appoints the Personal Representative
The executor (or administrator, if no will) must obtain:
- Letters Testamentary (if there’s a will)
- Letters of Administration (if no will)
Until then, no one can:
- sell the property
- collect rent
- refinance
- transfer title
This freeze often causes financial stress.
Step 2: Executor Secures, Inspects, and Maintains the Property
The executor must:
- lock and secure the home
- inspect for damage
- maintain insurance
- clean and preserve the property
- pay utilities
- prevent deterioration
If the estate lacks cash, this becomes difficult.
Step 3: Real Estate Must Be Valued
Missouri requires an inventory.
The executor may need:
- a formal appraisal
- a realtor’s market analysis
- a certified valuation
This number becomes critical for:
- tax filings
- distribution fairness
- sale decisions
Step 4: Decision: Keep or Sell?
The executor decides — often with court approval — whether to:
- keep the property for a beneficiary
- sell the property
- transfer it directly
If the will instructs sale, the executor must follow it.
If beneficiaries disagree, the court may intervene.
Step 5: If the Home Needs to Be Sold, Probate Adds Delay
Selling real estate through probate takes significantly longer because:
- title companies require probate documents
- buyers are often hesitant with probate sales
- court approval may be needed
- proceeds must flow through the estate
- heirs cannot receive funds until all creditors are handled
A typical Missouri probate real estate sale takes:
6–12 months
(not counting the 6-month creditor period)
What Happens If There Are Multiple Heirs?
This is where most disputes arise.
If multiple heirs inherit real estate through probate:
✔ They become co-owners
✔ All must agree on what to do
✔ One heir can block a sale
✔ One heir may live in the home without paying rent
✔ Disagreements often escalate
When heirs cannot agree:
A partition lawsuit may be filed
This forces a court-supervised sale — expensive and contentious.
Trusts prevent this outcome entirely.
Does Probate Court Allow an Heir to Live in the Property?
Possibly — but not automatically.
The executor cannot legally:
- give a home to one child without court approval
- allow free occupancy long-term
- allow rent-free living that disadvantages other heirs
If an heir wants to stay in the home:
- they must pay fair rent
- they must pay utilities
- the other heirs must consent
- the court must approve any long-term arrangement
Who Pays the Mortgage, Taxes, Insurance, and Repairs During Probate?
The estate pays — not individual heirs.
But if the estate lacks liquid assets, the executor may:
- borrow money
- use personal funds (subject to reimbursement)
- ask heirs to contribute
- apply for court approval to sell other assets
This financial pressure is why many executors prefer to sell property quickly.
Missouri Probate and Real Estate with a Mortgage
If the home has a mortgage:
- payments must continue
- lender must be notified
- foreclosure risk exists if payments stop
- estate may need to sell quickly
Contrary to popular belief:
A mortgage does NOT disappear at death.
Heirs must either:
- assume the loan
- refinance
- pay off the loan
- sell the home
What If the Home Is “Underwater” (Mortgage > Value)?
The executor can:
- allow foreclosure
- negotiate a deed-in-lieu
- negotiate with the lender
- decline to use estate funds
Heirs never inherit debt personally — only the estate is liable.
How Missouri TOD (Beneficiary) Deeds Affect Probate
A Missouri Transfer-on-Death (TOD) deed can avoid probate IF:
- it was properly recorded
- the beneficiary survives the owner
- no errors exist
- no disputes arise
But TOD deeds often create:
- co-ownership conflicts
- issues with minor children
- problems for disabled heirs
- disputes among siblings
TOD deeds work best with one adult beneficiary, not multiple children.
How a Trust Avoids Real Estate Probate Entirely
Placing real estate into a revocable living trust avoids all probate requirements.
A trust:
✔ allows immediate management at death
(no court freeze)
✔ avoids delays
(property can be sold months earlier)
✔ prevents co-owner disputes
(the trustee controls the sale)
✔ protects minor and disabled beneficiaries
(no conservatorship needed)
✔ simplifies administration
(no court approval needed)
✔ keeps everything private
(no public probate records)
✔ ensures the home is handled according to your instructions
Real Missouri Example (Based on Common Situations)
A widow in St. Louis passed away, leaving her home to her three children.
Since the home was not in a trust:
- probate took 14 months
- two children wanted to sell
- one wanted to keep the home
- conflict escalated
- repairs went undone
- property value dropped
- siblings stopped speaking to each other
A simple trust would have prevented all of this.
Key Takeaways for Missouri Families
Real estate is the biggest cause of probate because:
✔ deeds are outdated
✔ no beneficiary is listed
✔ homes aren’t placed in trusts
✔ families assume they’re protected when they aren’t
To avoid probate for real estate, you need:
- a properly drafted trust
- a deed transferring property into the trust
- updated beneficiary designations
- coordinated planning across all assets
This ensures your home passes smoothly and privately — not through probate court.
Final Thoughts — Missouri Real Estate Should Almost Always Be in a Trust
A trust:
✔ prevents probate
✔ reduces costs
✔ avoids family conflict
✔ simplifies settlement
✔ protects children
✔ ensures your wishes are followed
TOD deeds and wills cannot provide the same level of protection.
H2: Need Help Avoiding Missouri Real Estate Probate?
We help Missouri families:
- create and fund trusts
- transfer real estate into trusts
- avoid probate entirely
- settle estates quickly
- protect minor and blended families
- complete everything virtually