Value, Sell or Transfer Car From Deceased Estate

In some states/territories, the relevant transport department needs to be notified of the death. simplyEstate has compiled the process for your convenience below.

• Sole Ownership;
• Joint Ownership; and
• Leasing.

18.2.1 Sole Ownership

If the deceased person was the sole owner of the car and other vehicles, then those vehicles will generally fall within the Estate and either its sale proceeds or the vehicles will be distributed as outlined in the Will or based on the state/territory legislation.

18.2.2 Joint Ownership

If the deceased person owned the car and other vehicles with another person jointly, then those vehicles will in most instances pass to the surviving joint owner. You should share this information with the surviving owner, so the vehicle can be transferred into their sole ownership as per instructions by state/territory at the end of this Step below.

Further instructions about the vehicles and distribution may be noted in the Will.

Note: Where both joint owners have passed, those vehicles will generally fall within the Estate.

18.2.3 Leasing

If the deceased person owned the car and other vehicles under a leasing agreement, then you will need to review the lease contract and talk to the leasing company. In most instances the agreement would still continue and agreed payments may need to be maintained unless you can negotiate a deferral of payments until the Deceased Estate is fully administered.

The Will may contain specific details and instructions about the distribution of the car and other vehicles. It needs to be noted that the requests in the Will should be upheld to the extent permitted by law.

As with all assets and liabilities of the Estate, you will need to get a good understanding of the car and other vehicle's value for the purposes of tax, Grant of Probate application and final distribution. A general rule is to either get a valuation by an independent specialist for a fee, or three valuations by independent dealerships to give you an average valuation.

Use the Carsales valuation tool to get an estimated car value.

Note: the value of all assets and liabilities are as at the date of death.

You may have asked yourself: “Can I sell the deceased person’s car before Probate?”

It is not uncommon that the Executor or Administrator either require to or wish to sell the car and other vehicles and then distribute the cash proceeds.

It needs to be noted that a vehicle license transfer may only occur once a Grant of Probate or Letters of Administration are obtained from the Supreme Court (see Step 27 – Grant of Probate Application or Applying for Letters of Administration).

You should return the driver's license of the deceased and number plates of vehicles registered solely under the deceased person. You may be able to claim a refund of the remaining part of the fees paid in some States/Territories.

If a refund is applicable, it will need to be paid into the deceased person's Estate and registered on your Assets & Liabilities Inventory. More on how to create a deceased person's Estate bank account can be found in Step 19 – What Happens to a Bank Account When Someone Dies.

You may have asked yourself: “Is it illegal to drive a car registered to a deceased person?”

It is not recommended to drive a deceased person's car that was not yet transferred and insured in the intended owner's name. In some states it is prohibited to do so.

Even if the vehicle is insured, both the Estate and the driver may become liable for damages resulting from an accident and lack of third-party insurance, often linked to the registration.

simplyEstate has compiled the most common information and process by state/territory to help you as follows: