Can You Sell A House In Probate? (Yes – Here’s How)
Dealing with the estate and assets of a loved one, after their passing, can be an emotional and legally complex process.
A major asset that often needs to be addressed is the deceased's home.
Many people find themselves wondering - can you sell a house that's tied up in probate?
The short answer is yes, you can sell a house while it's in the probate process.
In this post, I’ll explain what a probate sale is and how the sale process works. Plus, I’ll also show you how to sell a house in probate step-by-step.
What Is A Probate Sale?
A probate sale is a court-supervised sale of a deceased person's real estate.
Probate sales happen when the deceased did not leave behind a will detailing how assets should be distributed or if the will is unclear.
During probate, the court appoints an executor or administrator to handle the deceased person's assets (including the house), pay off debts and taxes owed.
They can choose to sell property while it is in probate if deemed necessary or beneficial.
The proceeds from the sale would then become part of the overall estate.
How Does A Probate Sale Work?
The process works like this:
- The court appoints an executor (if there’s a will) or an administrator.
- The executor / administrator gets a home appraisal.
- They petition the court to sell the house.
- The court authorizes the sale.
- List the property for sale.
- The executor then review the offers and negotiate.
- The offer is sent to the court and they decide if it should be accepted.
- If approved, the court sets a date to confirm the sale.
- Executor signs a contract with the buyer. And finalize the sale.
Also Read: Selling Inherited Property
Can You Sell A House That Is In Probate?
Yes, you can sell a house that is currently in the probate process.
If you are the executor of the estate, you have the ability to petition the court to allow the sale, that is part of the probate estate as long as the sale benefits the beneficiaries.
An administrator can sell a house in probate too.
It is usually preferable to sell a home rather than distribute it directly.
This simplifies matters, avoids ownership conflicts between heirs, and ensures liquid assets to pay any debts and taxes.
How To Sell A House In Probate
If you are the executor, here’s a step by step guide on how to sell the house in probate:
#1 Hire Your Team
The very first thing you should do is hire an attorney who specializes in probate law.
They can advise you on the specifics required in your state and local jurisdiction.
And you'll want to hire a knowledgeable real estate agent too. They'll market the home effectively and ensure the sales process goes smoothly while maximizing the value.
Having these people on your side will make the probate sale so much easier.
#2 Get A House Appraisal
Before listing the home for sale, you'll want to get an official appraisal done to determine the current fair market value.
This professional valuation will not only help you price the listing appropriately, but will likely be required by the probate court when submitting the offer.
Be sure to get an appraiser who understands the local real estate market.
#3 Petition The Probate Court
The attorney you hired should prepare and file a petition with the probate court seeking authorization to list and sell the property.
The judge will review the petition and supporting documents, including the appraisal, and issue an order allowing the sale process to begin if everything is in order.
If the estate is still being administered, the court may also require regular sales updates and final sale approval.
#4 List The Home For Sale
With the Grant of Probate in hand, now is the time to list the home on the open market.
Your agent will handle staging, photography, listing copy and advertising to present the property in the best possible light.
Be prepared to accommodate buyer requests for showings on short notice.
Your agent should screen buyers to ensure they are pre-approved and serious about purchasing the home.
Sell To A Cash Buyer
One way to simplify the probate sale process is to sell the home to a cash buyer.
This avoids financing contingencies and appraisal issues that can delay closings.
Cash buyers are willing to purchase homes “as-is”, allowing you to forgo repairs and updates and put the money from the sale to use sooner.
#5 Review And Consider Any Offers
As offers come in, your real estate agent will review them in detail with you and your attorney.
Ask plenty of questions before accepting or countering an offer.
Remember, the goal is maximizing the value of the sale for the estate.
Also Read: When Should You Accept the First House Offer
#6 Submit Offer To Court
Once you’ve accepted an agreeable offer, the proposed sales contract must be submitted to probate court for approval, along with any other requested supporting documentation.
The judge will review the offer and issue an order authorizing the sale if appropriate.
The rest of the closing instructions may also be included in the court order.
#7 Close The Sale
After you get the approval, move forward with the closing process under the guidance of your attorney and real estate agent.
After closing, you'll need to report the sale proceeds to the court and propose how to distribute the funds appropriately to cover debts, taxes, fees and disbursements to heirs
FAQs
Can The Executor Sell A House That Is In Probate?
Yes, the executor named in the will has the legal authority to sell the house as part of their responsibility to manage the estate.
Can You Sell a House Before Probate?
No, but you can market the property before obtaining the Grant of Probate. A final sale cannot be completed until legal authorization is granted.
Does It Take Longer to Sell a Probate House?
Probate sales can sometimes take longer than typical real estate transactions due to the legal procedures involved. It can take around 45 - 60 days to complete.