Transfer of Title term

Intestate Succession

The legal process of distributing a deceased person's property when they die without a valid will.

Why Intestate Succession matters on the exam

This term belongs to Transfer of Title. The questions below are real items from Freehold's bank that use it - each one cites its source.

Exam questions using Intestate Succession

Every Freehold question shows why the right answer is right — and cites its source.

Which of the following is a key limitation of a life estate compared to a fee simple absolute?

  1. It cannot be inherited by the life tenant's heirs when the life tenant dies
  2. It cannot be sold or transferred to another person during the life tenant's lifetime
  3. It provides the life tenant with no right of possession
  4. It cannot generate any rental income at all for the life tenant personally during the tenancy
Show answer & explanation

It cannot be inherited by the life tenant's heirs when the life tenant dies — A life estate ends at the death of the measuring life and therefore cannot be passed on through the life tenant's will or intestate succession, unlike a fee simple absolute.

Source: PSI National Real Estate Exam Content Outline §1 Property Ownership

If a grantor dies after signing a deed but before delivering it to the grantee, the deed is:

  1. Still effective because it was signed before death
  2. Automatically delivered by the executor
  3. Valid once the grantee later takes possession
  4. Ineffective, and the property passes through the grantor's estate
Show answer & explanation

Ineffective, and the property passes through the grantor's estate — Because delivery must occur during the grantor's lifetime, a signed but undelivered deed fails to transfer title, and the property instead passes through probate under the grantor's will or intestate succession.

Source: PSI National Real Estate Exam Content Outline §9 Transfer of Title

When a person dies without a valid will, real property passes according to:

  1. Whatever the buyer who is most interested in the property happens to prefer
  2. Federal eminent domain law, applied by the acquiring government agency
  3. State intestate succession (descent and distribution) statutes
  4. The county recorder's own discretion in distributing the decedent's estate
Show answer & explanation

State intestate succession (descent and distribution) statutes — If someone dies intestate, without a valid will, state statutes of descent and distribution determine which heirs inherit the property and in what shares, rather than the decedent's personal wishes.

Source: PSI National Real Estate Exam Content Outline §9 Transfer of Title

Related Transfer of Title terms

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