If an out of state resident dies owning real property in Maryland, can the executor of the estate simply transfer the Maryland property with a deed? In many states other than Maryland, the executor would be required to open a probate estate in the deceased individual’s home state and also open a second probate estate in the state in which the real property is located, this latter probate proceeding being referred to as “ancillary administration.”
While the executor of the out of state decedent’s estate can do an ancillary administration in Maryland as well, there is a much simpler process available under Maryland law.
Instead of opening an ancillary estate with the Register of Wills in Maryland, and filing all the numerous estate documents required in such a proceeding (including an original petition, inventory, accounting, etc.), Maryland law allows the out of state executor to file a single Application to Fix Inheritance Tax and pay a nominal fee, after which the out of state executor will have the authority to execute a Maryland deed to convey the Maryland real estate to the appropriate beneficiaries.
Moreover, in most cases (when a spouse or children or other close relatives inherit the property, for example) no inheritance tax will be due notwithstanding that the executor files an Application to Fix Inheritance Tax.
William M. Gatesman assists clients with this streamlined process to facilitate efficient conveyance of the Maryland real property of deceased out of state residents.