When dealing with probate real estate sales, understanding the reality around the situation could be the difference between maximizing the estate sale or not. Estate administration aims to foster a systematic allocation of a deceased person’s property. It involves the distribution of both assets and liabilities.
Probate administration is a legal process that entails assessing a decedent’s assets and determining the sharing among the beneficiaries. The whole process runs in Probate Court.
With the many laws, steps, and actions required to ensure the probate process is successful, your best bet for a smooth process is to hire professional help. When it comes to real estate sales within probate, the services of The CREM Group lie your best chance of maximizing all your court-administered real estate sales in Los Angeles and Orange County.
The CREM Group provides clients with a combination of licensed attorneys and real estate brokers to safeguard and maximize all their real estate sales.
Here are some general probate tips:
Get an Estate Representative
An estate representative is an individual to supervise the estate. It could be someone named in the will or appointed by the Court. In case there is no will or no one mentioned in it, or the appointed one is unwilling to serve, the Court appointed one takes charge.
The estate representative gathers assets, pay the decedent’s debts, and ensures the beneficiaries get all the inheritance. To ensure everything runs smoothly, they mostly hire a probate attorney to run the legal aspects of the process.
When is a Home Sold in Probate Court?
If the decedent instructs the selling of property in his will, the personal representative is responsible for fulfilling his wishes. If the interested parties wish otherwise, they have to get the green light from a court order.
If there is no will or no mention of the property, the representative is responsible for selling the property. Most of the time, selling the property is necessary to finance the decedent’s taxes, debts, and estate administration expenses.
The personal representative has to have the authority to make decisions. The probate authority comes from the Court during the issuing of administration letters. The letter indicates the identity of the personal representative and whether they have full or limited authority as accorded in the Act of Independent Administration of Estates.
Selling of Probate Homes in Los Angeles and Orange County
The following are five ways The CREM Group can help sell your probate real estate in Los Angeles and Orange County.
- Real estate agent
- Private sale
- Public auction
- Private auction
- Trust department
Using a Probate Real Estate Agent in the Listing of the Home for Sale
In California, the representative doesn’t need to sell the property with the help of an agent. The personal representative is the seller in a probate real estate sale in the State. However, the Court has to confirm the sale unless the representative has full authority under the Independent Administration of Estate Act.
Without full authority, the representative has to petition the court for confirmation. It is prudent to seek help from a licensed probate real estate agent to ensure the sale goes through with no mistakes.
What Price is the Probate Home Sold For?
The property has to go for not less than 90% of the appraisal value determined within a year of the probate sale. The terms of the sale are subject to the Court’s approval and rules, which could vary from state to state.
What About the 10% Deposit?
In the state of Los Angeles and Orange County, the representative decides whether you pay the 10% deposit or not. It is not in the law, and the personal representative holds the final say. However, the probate realtor can discuss the advantages and disadvantages of a lower deposit with the estate representative. A lower deposit can attract more buyers with higher offers.
What About Notice of Sale?
There will be no need for a ‘Notice of Sale’ if the will directs the sale of the property, gives authority for the representative to sell, or if the estate representative has full authority subject to IAEA.
However, without the above directives, the Court requires a ‘Notice of Sale’ before the probate sale. The notice goes in a legal newspaper and provides the public with information about the estate sale.
Unless the representative has full authority subject to IAEA, the Court requires confirmation of sale. The personal representative has to petition the Court within 30 days of approving an offer.
In the hearing, new bidders get to try their chance to purchase the property. The Court will then approve the sale to the first bidder or a new buyer, depending on who wins the auction.
The Crem Group Probate Real Estate Sales
The process runs smoothly with the help of experienced attorneys and real estate brokers. Call The CREM Group for probate real estate sales in Los Angeles and Orange County.