Heirs Property And Generational Transition
Heirs property is land that is jointly owned by descendants of a deceased person whose estate was never handled in probate court and is passed down from generation to generation. These joint owners (heirs) have the right to use the property, but none of them have a clear title. Without proper documentation and a court proceeding to clear the “cloudy” title, third parties (like banks, mortgage lending companies and others have no way of knowing who is really entitled to the property and whether any creditor claims apply. This means that none of the heirs can sell, mortgage, or make any repairs the real estate. This poses particular challenges to farmland and is often considered a main cause of the decline in Black Farm Ownership from 20 million acres to less than 2 Million, nationally. Below is a collection of resources and partners dedicated to helping landowners solve this problem.
NC FarmLink
NC FarmLink is a program of NC State Extension that connects farmers, landowners, and service providers across North Carolina, helping to grow the state’s agriculture industry. NC FarmLink maintains databases of available farmland and farmers looking for land, and works with landowners and farmers to ensure an appropriate and lasting match is made.
NC FarmLink - Heirs Property Resources
The proportion of land owned by heirs is disproportionately high among racial and ethnic minority groups, low-wealth and low-income households, and other vulnerable populations who are less likely to conduct sophisticated estate planning. Relatively high rates of African American land loss during the 20th century likely contributes to the widening racial wealth gap by depleting existing assets and undermining the transfer of these assets across generations.
USDA Heirs Property resources
Heirs’ property is family owned land that is jointly owned by descendants of a deceased person whose estate did not clear probate. Without proof of ownership, it may become difficult for heirs to obtain federal benefits for farms and could also force partition sales by third parties. The 2018 Farm Bill authorized alternative documentation for heirs’ property operators to establish a farm number. A farm number is required to be eligible for many different USDA programs, including lending, disaster relief programs, and participation in county committees.
Legal Aid of North Carolina
Legal Aid of North Carolina (LANC) is a statewide, nonprofit law firm that provides free legal services in civil matters to low-income people in order to ensure equal access to justice and to remove legal barriers to economic opportunity. LANC has programs an staff dedicated to resolving heir property issues.
Conservation Trust for North Carolina
Throughout history, land conservation benefited from and contributed to inequities that exist today. Institutional racism in our country sought to marginalize people of color by blocking pathways to land ownership. These unfair and discriminatory practices that shaped access to land ownership means that today, our sector’s work does not benefit all people as we intend. By working with our partners to examine our relationships with communities we serve and the link between land conservation and racial equity, we can evolve the way we do our work to create a more just sector for all.
Heirs Property Retention Coalition
The Heirs' Property Retention Coalition (HPRC) was formed in the summer of 2006 as an organization of lawyers, advocates, and academics heavily involved in litigation, legislative reform, and/or scholarly study related to heirs' property, and in particular to the preservation of heirs' property within low income African-American communities. With an ever-expanding list of members and partners, HPRC has made significant progress on its goals in its short existence.
Carolina Farm Stewardship Association
The Carolina Farm Stewardship Association (CFSA) is a farmer-driven, membership-based 501(c)(3) non-profit organization that helps people in North and South Carolina grow and enjoy local, organic food. Founded in 1979, CFSA is the oldest and largest sustainable agriculture organization in the Southeast. For 43 years, we have successfully united farmers, consumers, and businesses to build a just, healthy food and farming future.
Uniform Heirs Property Act
The Uniform Law Commission (ULC, also known as the National Conference of Commissioners on Uniform State Laws), established in 1892, provides states with non-partisan, well-conceived and well-drafted legislation that brings clarity and stability to critical areas of state statutory law.