Homes are sometimes a part of a person’s estate, which means the home may have to be sold through probate. The probate process involves several steps to ensure the assets of the person who passed away, also known as the decedent, go to the intended heirs or beneficiaries.
In a normal home sale, the seller decides to sell, lists the property, decides what offer to accept and formally closes the sale. That’s not the process that occurs when a home is sold in the probate process.
What happens when a home in probate needs to be sold?
In order to sell a home in probate, the estate must have a personal representative to oversee the sale. The personal representative will contract a realtor to list the home and oversee the real estate transaction. The probate process on selling the property differs depending on whether the decedent left a will or not and whether the property was their primary residence, exempt homestead. But once the closing is done the title is transferred to the new owner.
What happens after the closing?
Once the house is sold and the closing is completed, the proceeds from the sale are dispersed in accordance with the law, which also involves paying off creditor’s claims before disbursing the remaining funds to heirs or beneficiaries.
Selling a house in probate can be a complex undertaking that’s also time-consuming. These sales often take longer than traditional sales. Because many variables can affect the process, it’s best to work with someone familiar with selling homes in probate.