The process of selling real property in Probate may involve a series of court-regulated steps that must be carefully monitored and managed. Deadlines are unforgiving, documentation can be specialized and the court’s oversight must be honored throughout the marketing, offers, negotiations and sale of the property.
In addition to the personnel of the court, sale of real property in Probate may involve a Personal Representative (PR) of the estate, Conservator of a protected person, the attorney representing the estate or protected person, a real estate agent representing the seller (the estate or protected person), one or more buyers who place bids with the court, and the buyers’ real estate agent. Each of these individuals must follow applicable law and the deadlines of the court.
If you are selling real property in Probate as a PR or Conservator, you should choose a real estate agent who is experienced, and who can explain to you the language, documentation and the steps in the sale process. Clear communications are vital.
To help you understand the process a little better, here is a list of some of the steps involved in a typical sale of real property in Probate transaction:
Appointment of the PR (in matters involving death of the homeowner) or Conservator (in matters involving a protected person). In most cases, the decedent’s will names a PR who is designated to handle the distribution of assets, including real property. If no PR is named, if the named PR is unwilling to serve or if there is no will, the court appoints a PR to carry out these duties. The PR is the person who has the authority to list and sell the estate’s property.
A Conservator is a court appointed person who makes financial decisions on behalf of a protected person. The Conservator is the person who may have the authority to list and sell a protected person’s real property.
Establishing List Price and Listing of the Real Property. The PR or Conservator establishes a list price for the real property. In deciding on a list price, the PR or Conservator may take into consideration valuation determined by a real estate appraiser and/or a market value opinion of a real estate agent. The property is then listed for sale with a real estate agent.
As your Probate Realtors, Steve and Ann will complete and provide to the PR or Conservator a Comparative Market Analysis (CMA) of the real property. The CMA includes the selling price and specifics of recently sold properties in the area, and a comparison of these recently sold properties to the real estate in Probate. There a number of specifics for each recently sold property that are considered, including square feet, number of bedrooms and baths, number of days on the market, and condition of the property. Analyzing the comparisons, and considering the current market, Steve and Ann will provide the PR or Conservator with a suggested price at which to list your real property for sale.
Marketing the Real Property. The real estate agent markets the real property to the public as aggressively as possible to attract the highest offer. This generally involves a number of approaches, including signage, newspaper advertising, listing on one or more real estate websites and hosting open houses for other agents and potential homebuyers. The agent will also schedule appointments to show the property to interested parties who inquire directly.
Steve and Ann will also complete and provide to a PR or Conservator a marketing plan for your real property. The marketing plan will detail each individual effort to be taken by Steve and Ann to ensure your real property’s availability is known by the largest number of possible and qualified buyers.
Accepting an Offer to Purchase the Real Property. Any offer received by a real estate agent must be presented to the PR or Conservator. While buyers of real property in Probate may be looking for a bargain, a PR or Conservator owes a fiduciary duty to the estate or protected person to maximize the sale price. A real estate agent should be ready and capable to explain the strengths and weaknesses of each offer.
Steve and Ann will present you with each offer to purchase your property. Additionally, they will provide you with a pro/con term-by-term analysis of the offer, along with their opinion of how to respond to an offer: accept, counter or reject.
As your Probate Realtors, Steve and Ann will make sure you well taken care of and informed about every step of your sale of real property in Probate. We will put you on the right track to selling your real property in Probate according to law and the court’s direction, quickly and at the best price. Contact Steve anytime for a free Comparative Market Analysis of your real property at: firstname.lastname@example.org, or you can call him at: 720.297.9459