1. Detailed Answer

When someone dies in North Carolina, their estate divides into two groups of assets: those that go through probate and those that transfer outside probate. Probate is the court-supervised process that validates wills, appoints a personal representative, and oversees distribution under N.C. Gen. Stat. § 28A-2-1 (https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_28A/GS_28A-2-1.html). Assets owned solely in the decedent’s name typically require probate. This includes real estate titled only in the decedent’s name, bank accounts without payable-on-death designation, stocks held in the decedent’s name, and personal property like vehicles or jewelry.

North Carolina also offers a small estate affidavit procedure for estates with personal property valued at $30,000 or less and no real property. Under N.C. Gen. Stat. § 28A-19-1 (https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_28A/GS_28A-19-1.html), heirs can present an affidavit to a custodian (bank, for example) to collect assets without full probate administration.

Non-probate assets transfer directly to named beneficiaries or co-owners by operation of law or contract. Common examples include:

• Life insurance proceeds and retirement accounts with designated beneficiaries.
• Bank or brokerage accounts payable on death (POD) or transfer on death (TOD).
• Real estate held in joint tenancy with rights of survivorship.
• Assets titled in a living trust under the terms of that trust.
• Motor vehicles with beneficiary designation under N.C. Gen. Stat. § 20-73.5 (https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_20/GS_20-73.5.html).

To decide which assets go through probate, review the ownership and beneficiary documentation for each asset. Look for co-ownership language, beneficiary designations, or trust titling. If none exist, plan for probate administration.

2. Key Takeaways

• Probate applies to assets solely titled in the decedent’s name without designated beneficiaries.
• Non-probate assets transfer automatically by beneficiary designation or joint ownership.
• A small estate affidavit can bypass probate for personal property under $30,000 (N.C. Gen. Stat. § 28A-19-1).
• Review all account agreements, deeds, and insurance policies to identify beneficiary designations.
• Consult an experienced North Carolina probate attorney to ensure proper administration.

Contact Pierce Law Group

Determining which assets must go through probate can be complex. At Pierce Law Group, our attorneys guide you through every step. For clear, reliable advice, email us at intake@piercelaw.com or call (919) 341-7055.