Heirs Property

A serious and prevalent problem arises when property is passed between generations of family members without the involvement of local probate courts, a will, or a formal estate strategy. This property is known as heirs property. The descendants, or heirs, have the right to use the property, but they do not have a clear or marketable title to it. Multiple generations of unclear title can lead to increasingly fractioned and tangled ownership.

Heirs property is more prevalent among Black families compared to white families. Some studies estimate that more than half the real property owned by Black Americans is owned as heirs property. Heirs property owners are significantly disadvantaged by not having clear title to a home. They often are unable to sell the home, get a mortgage, or benefit from property tax and disaster relief programs. Heirs property ownership has also deprived many Black Americans of the benefit of generational transfer of wealth.

Heir property is also more prevalent among older adults. Most heirs are age 50 and older and a quarter are over age 61 when they inherit property.

Many states have begun to address the problem of heirs property. As of 2024, 24 states, including the District of Columbia, have passed laws similar to the Uniform Partition of Heirs Property Act (UPHPA). The UPHPA establishes several safeguards to protect owners of heirs property from losing their home and home equity through a forced partition sale. Many states are also attempting to address the problem of heirs property by offering transfer-on-death deeds options, which allow heirs to streamline title transfers.