New Small Estate Limits: Do You Still Need a Living Trust?

California made it easier for some families to avoid probate in 2025. For deaths on or after April 1, 2025, the small estate limit rose to $208,850, and a new simplified court petition allows heirs to transfer a decedent's primary residence worth up to $750,000. Does that mean you no longer need a living trust? For most homeowners, the answer is still no.

What changed

• Small estate affidavit (Probate Code sections 13100 and following): heirs can collect personal property without probate if the total value of the estate, not counting certain excluded assets, is $208,850 or less.
• Primary residence petition (Probate Code sections 13151 and following): heirs can ask the court to transfer a decedent's main home worth up to $750,000 through a simpler process than full probate.

Why a trust still matters

• Many Southern California homes are worth more than $750,000. Above that value, the simplified home petition is not available.
• The home petition only covers the primary residence. Rental properties, a second home, or land outside the residence may still require probate.
• A court petition is still a court process. A funded trust usually lets your successor trustee act without going to court at all.
• Incapacity. A trust names someone to manage your property if you cannot. Without one, your family may need a conservatorship.
• Control. A trust can stagger distributions to young beneficiaries, protect a beneficiary with special needs, and say exactly who receives what.

Who might not need a trust

If you do not own real estate and your other assets are modest, or most of your assets already pass by beneficiary designation (such as retirement accounts, life insurance and payable on death bank accounts), a will and the new small estate procedures may be enough. A short consultation can confirm which approach fits your situation.

Learn more about living trusts and estate planning.

More about living trusts and estate planning