How Probate Works After a Death in Michigan

Michigan’s probate system includes a small estate process worth understanding clearly, plus a popular real estate planning tool many homeowners use to avoid probate entirely.

Where is probate filed in Michigan?

Probate is handled through the Probate Court in the county where the deceased lived.

What is the current small estate threshold?

Michigan offers two simplified small estate processes, both governed by a threshold that adjusts annually for inflation under MCL 700.1210. For deaths in 2026, the threshold is $53,000 - after deducting funeral and burial expenses, and for real property, after deducting liens and encumbrances (up to $264,000 for a mortgage). This figure changes each year, so it’s worth confirming the current amount for the specific year of death. See our companion piece explaining both simplified options in more depth.

Can the small estate process include real estate?

It can, through the Petition and Order for Assignment (Form PC 556) - a 2024 law change (2024 PA 1, effective February 21, 2024) allows this, subtracting up to $264,000 in mortgage debt when calculating the estate’s value against the threshold, something that wasn’t previously possible in Michigan’s small estate process.

What is a Lady Bird deed?

Many Michigan homeowners use a Lady Bird deed (an enhanced life estate deed) specifically to pass a home to heirs automatically at death, entirely outside of probate - regardless of the estate’s overall value. This is a distinct planning tool from the small estate process described above, worth discussing with an estate attorney well before it’s needed.

Does Michigan have a state estate or inheritance tax?

No - Michigan does not currently have a state estate or inheritance tax.

What should I do next?

Confirm the exact threshold for the specific year of death rather than relying on a figure from a prior year, since it adjusts annually. If real estate is involved, check whether the Petition and Order for Assignment fits given the 2024 mortgage-deduction change, or whether a Lady Bird deed was already in place to keep that property out of probate entirely.

Add this to your Final Day Plan: whether you’d want to set up a Lady Bird deed for your home - it’s a genuinely popular, simple way many Michigan homeowners keep real estate out of probate regardless of value.

Michigan law can change, and the small estate threshold specifically adjusts every year. This is general educational information, not legal advice - consult a Michigan-licensed attorney for guidance specific to your situation.