Jan222026
Estate Planning Q&A Series

Do I need a trust in addition to a will if I’m leaving property to a minor? – North Carolina

Short Answer

Often, yes—some kind of trust or custodial arrangement is usually needed if the beneficiary may still be a minor when the will takes effect. In North Carolina, a minor generally cannot directly receive and manage inherited property, so an adult must hold and manage it until the minor is legally able to take control. A will can solve this by creating a testamentary trust or by directing the personal representative to transfer the inheritance to a custodian under the North Carolina Uniform Transfers to Minors Act (UTMA).

Understanding the Problem

In North Carolina estate planning, the decision point is whether a will leaving property to a grandchild still works smoothly if the grandchild is under 18 when the will is carried out. The practical issue is who has legal authority to take possession of the inherited property, protect it, pay expenses, and make decisions until the child becomes an adult. The related question is whether the will alone can name a trusted adult to manage the property, or whether an additional trust structure is needed to avoid court involvement and delays.

Apply the Law

Under North Carolina law, leaving property outright to a minor can create a management problem because a minor typically cannot legally control inherited property. To address that, estate plans commonly use one of two tools: (1) a trust created in the will (often called a testamentary trust) with a named trustee, or (2) a transfer to an adult custodian for the minor under the North Carolina Uniform Transfers to Minors Act (UTMA), which is a statute-based way to hold property for a minor. If neither is set up, the estate may need a court-supervised guardianship of the minor’s property through the Clerk of Superior Court.

Key Requirements

  • Name a legal manager: The plan should clearly identify the adult who will have authority to hold and manage the inheritance for the minor (trustee under a trust, or custodian under UTMA).
  • State the management rules: The document should state what the manager can do (for example, maintain, insure, store, sell, or reinvest property; pay reasonable expenses; and preserve records).
  • Define when the minor takes control: The plan should state the trigger for turning the property over (commonly when the beneficiary reaches adulthood, or later if a trust is used and the will sets a later distribution age).

What the Statutes Say

Analysis

Apply the Rule to the Facts: The plan described involves leaving a mobile home and its contents to a grandchild, with concern that the grandchild may be a minor at the time of death. If the will leaves the property directly to the minor with no trust or UTMA custodian named, the personal representative may not have a clean way to deliver and manage the property, and a court process may be needed to appoint a guardian to handle the minor’s property. If the will instead names a trustee (testamentary trust) or nominates a UTMA custodian, the will can direct that trusted adult to take control and manage the mobile home and contents for the child’s benefit until the stated handoff time.

Process & Timing

  1. Who files: The executor named in the will (or another qualified person) starts the estate. Where: The Clerk of Superior Court in the North Carolina county where the decedent lived. What: Probate filings to qualify the personal representative and administer the estate. When: As soon as reasonably possible after death, especially if property needs immediate protection, insurance, or ongoing payments.
  2. How the minor’s share is set up: If the will creates a testamentary trust, the trustee steps in after probate administration reaches the distribution stage and manages the property under the trust terms. If the will uses UTMA, the personal representative transfers the property to the named custodian using the UTMA designation required by statute.
  3. Final step: The trustee or custodian continues management until the minor reaches the distribution age stated in the will/trust (or the UTMA handoff point), then transfers legal control to the beneficiary and provides final records.

Exceptions & Pitfalls

  • Leaving property outright to a minor: This often triggers a need for a court-supervised guardianship of the minor’s property, which can add cost, reporting requirements, and delays.
  • Choosing UTMA vs. a testamentary trust: UTMA can be simpler for some assets, but a testamentary trust usually allows more detailed instructions (for example, how to handle sale proceeds, maintenance costs, or staggered distributions).
  • Asset-type mismatch: A mobile home may involve title/registration issues and ongoing expenses. The will should coordinate with how the asset is titled and how transfer paperwork is handled so the manager can insure, maintain, and (if needed) sell the property without confusion.
  • No backup decision-maker: Naming only one adult manager (trustee/custodian) without alternates can create a gap if that person cannot serve when the time comes.

Conclusion

In North Carolina, a will can leave property to a minor, but the plan usually needs a management structure because a minor generally cannot take legal control of inherited property. A common solution is to add a testamentary trust in the will or direct a transfer to a UTMA custodian so a trusted adult can manage the property until the child reaches the stated handoff age. The practical next step is to draft the will to name the manager and the handoff terms, then file the estate with the Clerk of Superior Court promptly after death.

Talk to a Estate Planning Attorney

If you’re dealing with leaving a mobile home or other property to a child who may still be a minor, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.

Category: Estate Planning Q&A Series

Author: Pierce Law

Pierce Law Group is a North Carolina law firm focused on probate administration, real estate partition matters, and surplus funds claims across North Carolina. We know these situations often come with stress, family dynamics, and time-sensitive decisions—so we prioritize clear communication, steady guidance, and a practical plan from day one. Our goal is to make a complicated process feel manageable, while protecting what matters most to you.