Can you sell a house that’s in probate? The answer is “yes!”
That said, there are many considerations to keep in mind when looking to sell a house that’s in the probate process.
Probate is complex, to say the least. Trust and Will defines it as “a court-supervised proceeding that authenticates your Will (if you have one) and approves your named Executor so he or she can distribute your property and belongings…”
Keep reading to discover everything you need to know about how to sell a house in probate.
Here’s How to Sell a House in Probate in Five Steps
- The probate court will appoint an estate executor or administrator if none was appointed by the decedent (AKA person who has died) or confirm the appointed person.
- The executor will need to get information about the valuation of the house and other estate assets, including a house appraisal. Per this helpful blog on How to Sell a House During the Probate Process, “The appraisal must also meet stringent requirements. The appraisal will be the basis for the asking price of the home. Probate courts require that the property sells for at least 90% of the home’s appraised value.”
- The executor will hire a real estate attorney to assist with the sale.
- The executor must list the house for sale. When an offer is made, a court hearing must also take place. At the court hearing before the finalization of the sale, potential buyers will be allowed to bid on the property.
- The court will approve an offer, all parties will close, and funds will be distributed to any creditors first, and then the remaining funds will be distributed to any heirs.
Selling a House in Formal vs. Informal Probate
The above process pertains to “formal probate”. Sometimes, an estate will undergo “informal probate.” This usually occurs in cases when a will and trust were established. In these instances, the process of selling a house in probate may be much simpler and less structured.
We recommend that you reach out to us at The Sierra Group so one of our experts can explain the differences between selling a house in formal probate vs. informal probate. We are experienced in probate home sales, so we can break things down for you more clearly.
But what’s the takeaway? Regardless of what type of probate is involved, houses are sold in probate, according to LegalZoom, “when there is not enough cash to pay the debts of the estate. For example, if the deceased left a home worth $100,000, $2,000 cash, credit card debt of $20,000, and no other assets, the home would need to be sold to pay off the debt and settle the estate.”
Can the Executor Sell a House That is in Probate?
Yes! But the executor alone cannot generally sell the house. In other words, the executor can sell a house in probate, but they must first get the permission of all heirs.
How Our Home Buying Process Works
It may be easier than you think to sell your loved one’s house in probate, at least, that is if you sell to The Sierra Group! Our hassle-free process starts when you contact us. Then, we inspect the property and present an offer. Lastly, you receive an offer and get paid cash at closing.
Looking for a simplified way to sell your house during probate? While we can change probate laws, we can certainly help you work within them to get your house sold quickly and easily!