Pennsylvania has passed a groundbreaking new law that directly affects what happens to a person’s property when they die without a will and without any surviving family members.

As of January 23, 2026, Act 50 of 2025 officially ended the long-standing policy that sent these estates entirely to the state. Critics often referred to the old system as a 100% tax on intestate estates.

This change impacts estate planning, real estate transfers, and local communities across Pennsylvania.

What Changed Under Act 50 of 2025?

Previously, when a Pennsylvania resident died intestate (without a will) and had no legal heirs, their assets were transferred directly to the Commonwealth of Pennsylvania.

Under the new law:

• When no heirs are found, the estate is now placed into a permanent community endowment fund

• The fund is managed by the community foundation serving the county where the individual lived

• The assets are used to support local charitable and community needs

• Only if no community foundation exists can the assets eventually transfer to the state

This makes Pennsylvania the only state in the U.S. to redirect intestate estates to local charitable causes first.

Why This Matters for Homeowners and Real Estate

This law has meaningful implications for:

1. Vacant and Abandoned Properties

Homes that once sat in legal limbo may now be:

• Maintained through community foundations

• Sold to benefit local programs

• Reinvested into neighborhoods instead of being absorbed by the state

2. Estate Planning Awareness

This law highlights the importance of:

• Creating a will

• Naming heirs or beneficiaries

• Planning for what happens to your real estate after death

Without a plan, your home may no longer go to the state — but you also lose control over who benefits.

3. Community Reinvestment

Funds from these estates will now:

• Support housing programs

• Assist local nonprofits

• Strengthen county-level initiatives

Your local community benefits instead of the money leaving the area.

Source: Gettysburg Times, January 25, 2026