Losing someone you care about is emotionally difficult in any circumstances. If you’re left in charge of settling their estate—and especially of selling their home—you’re also bound to encounter some additional challenges. First and foremost, there’s the pressure associated with wanting to fulfill the wishes of your deceased friend or loved one. Handling their biggest asset comes with some major obligations, and it can feel overwhelming at times.
While overseeing the sale of an estate home is a major responsibilty, understanding the process and your role in it will help you keep things as simple as possible. If you’re an executor who’s been tasked with selling an estate home, here’s what you need to know.
Your responsibilities as an executor
As an executor, your job is to hold an estate in trust, manage it, and distribute it. One of the most important steps you’ll be responsible for is collecting and taking inventory of the assets belonging to the person who’s passed away. You’ll also pay off their debts, and divide the remainder of their estate amongst their beneficiaries. Of course, this includes any proceeds from the sale of their home.
You’re expected to carry out your duties in a timely manner, which means you’ll need to figure out how you’ll prepare and list the home of the deceased relatively quickly. The right legal counsel and real estate professional can provide guidance while you act as a decision-maker.
Starting the probate process
Before you can take on your role as executor, you’ll need to make it official. You’ll take this step by going through probate, which entails filing the required documents (such as proof of death and the necessary forms) with the court. If you’re named as executor in the will, this process will be fairly straightforward.
Typically, you can expect to wait 6-8 weeks to attain probate—though it sometimes takes longer. You won’t have the authority to transfer ownership of the property to a buyer until this step is complete. Fortunately, there are a couple of ways of approaching the listing and selling process in the meantime.
Completing the sale
Once the wheels are turning, you’ll want to start assembling all of the documents you’ll need to complete the transaction. Ask the real estate lawyer exactly what they’ll require from you, and get to work securing up-to-date property tax information for the deceased.
When it comes to the timing of your sale, you can always wait until you’ve attained probate before you close. Unfortunately, this timeline won’t work for every buyer. Alternatively, an escrow agreement (whereby the buyer can occupy the property before they officially own it) may work best for both parties. In this situation, they could start renting the home—and pay for ongoing costs such as property taxes and utilities—from closing day up until they take ownership. This money could then go towards paying the mortgage during this period.
Finding the right professionals
From performing the right home preparations to working out the timing of each step, selling an estate property can be complicated. You’ll find that expert guidance is the key to ensuring that everything goes smoothly.
A knowledgeable agent and real estate lawyer will be your most helpful resources throughout the process. When you start your search for the right professionals, be sure to ask about their experience in situations like yours. Don’t forget that advice from experts you trust is truly priceless.
In most cases, executors are compensated for their work. That said, the greatest reward is knowing you’ve done your part to fulfill the wishes of the deceased. With some careful thought and guidance, you can do just that.
Have a question about selling real estate? Reach out today to learn how I can help!