One of the first questions a Register of Wills clerk will ask a grieving family is how much the estate is worth. The answer decides which process you follow. Maryland has a streamlined small estate procedure and a fuller regular estate process, and the family house is very often the asset that determines which one applies. If the house is in 21234 and you’re dealing with a small estate, see how I buy houses in Parkville. If the house is in 21222 or 21219 and you’re dealing with a small estate, see a cash offer on a Dundalk house.
I’m Evan Weissman. I buy inherited houses around Maryland and talk with a lot of personal representatives at the start of this process. I’m not an attorney, and this is a summary of the statutes, not advice for your estate. An estate attorney or the Register of Wills staff can help you apply it to your situation.
The dollar limits
Under Estates and Trusts section 5-601, an estate can use the small estate procedure if the property subject to administration in Maryland is worth $50,000 or less as of the date of death. If the surviving spouse is the sole legatee or heir, the limit is $100,000. Value is based on fair market value.
The key phrase is “subject to administration.” Not everything a person owned counts.
What counts and what doesn’t
Assets that generally pass outside the estate, and so don’t count toward the limit, include:
- Property owned jointly with a right of survivorship, such as a house titled to a married couple as tenants by the entirety.
- Accounts with a named beneficiary or payable-on-death designation.
- Life insurance and retirement accounts with a living beneficiary.
- Property held in a living trust.
Assets that usually do count:
- A house titled in the deceased person’s name alone.
- Bank accounts in their name alone with no beneficiary.
- Vehicles and personal property in their name.
So the first thing to check is the deed. If the house was in your parent’s name alone, its value usually goes into the calculation, and in most parts of Maryland a house alone exceeds $50,000.
How a small estate works
If the estate qualifies, the process is simpler and often faster. Under the small estate sections of the statute:
- The Register of Wills reviews the petition and can appoint the petitioner as personal representative.
- Where property will remain after expenses and allowances, notice is published, and after 60 days the personal representative files proof of publication and a list of claims (section 5-604).
- A bond is generally required if the estate’s gross value is $10,000 or more after expenses and allowances, unless the will or all interested persons excuse it.
- The personal representative isn’t entitled to commissions in a small estate.
The personal representative of a small estate still has authority to sell property as needed under the process the Register directs.
How a regular estate works
When the estate is above the limit, it goes through regular administration, often administrative probate handled by the Register of Wills. Key deadlines under the statute include:
- An inventory of the decedent’s property, with fair market values, within 3 months after the personal representative is appointed (section 7-201).
- A first account within 9 months after appointment, and further accounts every 6 months until the final one (section 7-305).
- Creditor claims are generally barred unless presented within the earlier of 6 months after death or 2 months after the personal representative sends the creditor written notice (section 8-103).
Some regular estates qualify for modified administration, which can reduce paperwork when certain conditions are met. My article on modified administration covers it.
What this means for selling the house
In either type of estate, the house can be sold once someone has been appointed and has letters of administration. Practical differences:
- Timing. A small estate may get to the point of selling sooner, simply because there’s less process.
- Creditor period. In a regular estate, many families wait until the creditor period passes before distributing sale proceeds, even if the house sells sooner.
- Accounting. In a regular estate, the sale shows up in the inventory and accounts, so keep the settlement statement and records of any expenses paid.
My article on selling before probate closes explains how families handle that timing.
A quick worked comparison
Imagine two families. In the first, Mom owned her house jointly with Dad, who survives her. The house passes to Dad by survivorship, and her remaining assets are a small bank account. That estate may qualify as small, or may not need much administration at all.
In the second, a widowed father owned his house alone. Even a modest house puts the estate above $50,000, so the family opens a regular estate, files an inventory within 3 months, and plans around the 9-month account and the creditor period.
These are hypothetical illustrations. Your estate’s facts decide which path applies.
Where to start
Visit or call the Register of Wills in the county where the person lived. The statewide site, registers.maryland.gov, has forms and contact information. My guide to the Register of Wills for heirs explains what to bring, and my inherited house page covers selling.
What is the small estate limit in Maryland?
$50,000 of property subject to administration in Maryland, or $100,000 if the surviving spouse is the sole legatee or heir.
Does the house count toward the small estate limit?
If it was titled in the deceased person’s name alone, generally yes. A house held jointly with survivorship rights or in a living trust usually passes outside the estate.
Can a small estate sell a house?
Yes. A personal representative appointed in a small estate can sell property as directed in the process. Talk with the Register of Wills about the steps.
How long do creditors have to file claims in a regular Maryland estate?
Generally the earlier of 6 months after the date of death or 2 months after the personal representative mails written notice to the creditor.
Talk through your situation
If you’re sorting out an estate and wondering how a sale of the house would fit, call or text me at (410) 498-7473. I’m glad to explain how I work with personal representatives.