It’s exciting to build wealth by owning real estate in different states, maybe a vacation spot down south, a rental property out west, or even just land. But let’s be honest: having property in multiple locations creates some serious headaches when it comes to planning your estate.
For families throughout Pennsylvania and New Jersey, planning for how to handle primary residences and vacation homes across state lines is essential. Thoughtful planning protects what you’ve built and makes things far easier for your loved ones down the road.
Why State Lines Matter More Than Ever in 2025
It feels like state laws are always changing, and 2025 is no different. Every state has its own way of handling probate, the legal process of transferring assets, and its own inheritance tax rules. You might be fine in Pennsylvania, but Florida, New York, or Delaware could have very different requirements and taxes.
If you don’t plan ahead, even a small mistake could cause significant problems. Your family might face long delays, waiting years instead of months to access their inheritance. Your estate could end up paying more in taxes than necessary, and confusion over ownership could lead to disputes among your heirs.
The Big Fear: Avoiding ‘Double Probate’
Here’s the biggest shock for most people: if you own real estate in different states, your family might have to go through a separate probate process in every single one of them. This is called ancillary probate.
Imagine your family dealing with two or three separate court systems, all at the same time, just to transfer your house. That means higher legal fees, longer timelines, and a lot of unnecessary stress during an already emotional time.
Smart Solutions That Work
The good news is you don’t have to leave your family with this mess, as there are practical ways to manage multi-state properties. One of the most effective tools for multi-state property owners is a revocable living trust. By placing your out-of-state properties into a trust, you can often bypass probate in those states completely, creating a clean, simple structure for passing on your real estate and managing any rental income exactly the way you want. Even if you’re not affected by federal estate tax, many states have their own estate or inheritance taxes, and by setting up the right trusts, you can strategically hold property to reduce your tax exposure and ensure more of your wealth goes to your family.
Don’t Forget the Annual Check-Up!
Life is always changing; you buy a new property, a child gets married, or a state updates its laws. Your estate plan should be a living document, not something that you file away and forget. Regular updates are critical to keep everything compliant, especially across different jurisdictions.
Let Sallen Law Simplify Your Multi-State Estate
We focus on taking the confusion out of multi-state estate planning. Rebecca is an experienced estate planning attorney who knows how to navigate the complicated rules of different states. She works with you to build a personalized strategy that protects your assets, minimizes taxes, and makes the transition as smooth as possible for your heirs.
Having multi-state property is a fantastic achievement. Make sure you protect it. By being proactive, you can replace uncertainty and potential disputes with clarity and peace of mind.
If your estate includes property outside Pennsylvania, contact us today to discuss your options. Schedule a consultation with Rebecca at Sallen Law to start protecting your legacy.