Probate is often applicable in most cases where the deceased left a will which cannot be executed by the Executor until after legal confirmation by the probate courts. Therefore the administration of the deceased’s estate is not valid without the due process of probate following suit.
There are some instances where probate may be notwithstanding in the division of assets, such as is the case with non-probate property, and this has been exhausted in the article on Probate and Non-Probate property.
So for the cases where probate applies, why would you sell a house in probate? Here are the reasons for selling real estate in probate:
To settle liabilities
Sometimes the deceased leaves behind a number of liabilities in terms of debts, taxes, and claims from creditors whose payment may not be realized without liquidating some assets from the deceased’s estate.
In such cases, the most prized assets, such as real estate, prestigious vehicles, a boat, etc, come in very handy in settling the liabilities through liquidation.
Monetary preferences of the heirs
The last will may have a number of heirs and beneficiaries named to inherit the deceased’s real estate properties, but the heirs may not be interested in taking up the property as is. Many heirs prefer having the inherited real estate turned into an equivalent monetary value that they can then make more use of.
No Share – Don’t Dare”
The last testament may have a provision for the deceased’s real property to go under joint custody or shared ownership amongst two or more heirs. However, inheritance is famed as the farm whose seeds seldom grow together—and some heirs would rather have a probate house sold at an undervalued price, than share the property with an estranged fellow heir.
Selling the house in probate naturally falls in place as a solution, even if only for the sake of peace and sanity—especially the Executor’s!
Cumbersome management of the inherited property
Managing real estate, and an inherited one at that, may not be as rosy as it is cut out to be... There are additional responsibilities and burdens attached to the property and they include:
· possible repairs and renovation costs
· pending or continuous mortgage payments
· associated property taxes according to the state laws
The tragedy of loss
Some people wouldn’t mind it or just don’t care altogether—but you can’t blame yourself if you’re not one of them! There are enough urban legends, superstitions and mysterious occurrences that may have worked their way on you. Now, what if the deceased was close to you...a relative, a loved one, and one whose house was left to you? It’s hard enough accepting your loss and coming to terms with the fact that they’re gone forever—so, what of living in their house? Figures! http://rhnws.wordpress.com/
There are some instances where probate may be notwithstanding in the division of assets, such as is the case with non-probate property, and this has been exhausted in the article on Probate and Non-Probate property.
So for the cases where probate applies, why would you sell a house in probate? Here are the reasons for selling real estate in probate:
To settle liabilities
Sometimes the deceased leaves behind a number of liabilities in terms of debts, taxes, and claims from creditors whose payment may not be realized without liquidating some assets from the deceased’s estate.
In such cases, the most prized assets, such as real estate, prestigious vehicles, a boat, etc, come in very handy in settling the liabilities through liquidation.
The last will may have a number of heirs and beneficiaries named to inherit the deceased’s real estate properties, but the heirs may not be interested in taking up the property as is. Many heirs prefer having the inherited real estate turned into an equivalent monetary value that they can then make more use of.
No Share – Don’t Dare”
The last testament may have a provision for the deceased’s real property to go under joint custody or shared ownership amongst two or more heirs. However, inheritance is famed as the farm whose seeds seldom grow together—and some heirs would rather have a probate house sold at an undervalued price, than share the property with an estranged fellow heir.
Selling the house in probate naturally falls in place as a solution, even if only for the sake of peace and sanity—especially the Executor’s!
Managing real estate, and an inherited one at that, may not be as rosy as it is cut out to be... There are additional responsibilities and burdens attached to the property and they include:
· possible repairs and renovation costs
· pending or continuous mortgage payments
· associated property taxes according to the state laws
The tragedy of loss
Some people wouldn’t mind it or just don’t care altogether—but you can’t blame yourself if you’re not one of them! There are enough urban legends, superstitions and mysterious occurrences that may have worked their way on you. Now, what if the deceased was close to you...a relative, a loved one, and one whose house was left to you? It’s hard enough accepting your loss and coming to terms with the fact that they’re gone forever—so, what of living in their house? Figures! http://rhnws.wordpress.com/
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