The Role of a Probate Realtor And When You Need One
When a homeowner dies intestate (without a will), it can trigger a lengthy legal process called probate. During this legal process, a court sorts through a deceased person’s property and determines which assets belong to whom. And if you’re on the buying or selling end of a probate home sale, it can be shocking to find out just how different the full process can be from a standard sale.
Simply put, if you’re trying to buy or sell a home, and the homeowner died without a clear trust, you may need to start looking for a probate real estate agent to help you through the process. Here we’ll explain how probate home sales work, as well as the actions you can take if you need to start a probate sale.
Note: A Realtor® is not the same as a real estate agent, though they’re similar. Realtors are licensed real estate agents and professionals who are official members of the National Association of Realtors. They subscribe to the Code of Ethics & Standards of Practice, designed to ensure that real estate professionals serve the best interests of their clients.
Traditional home sales vs. probate home sales
There are major differences between standard home sales and probate home sales. According to Rick Ruiz, a top Las Vegas real estate agent who has probate expertise and 22 years of experience, the differences between standard home sales and probate sales boil down to two key things:
1. The time the process takes
2. The uncertainty both buyers and sellers may feel as the process drags on
“The purchase or the sale has to be ratified by the court because when somebody doesn’t die with a clear will, trust, title, et cetera, the court serves as the fiduciary for the state and has to ensure that the estate does get the maximum possible price and proceeds for the sale,” Ruiz explains.
Standard home sales tend to happen faster than probate sales. That’s because with traditional sales you act in your own interests, whatever that means to you. You can set your own timeline for the home sale, for example, and you’re free to list your property at any time and at any price.
With traditional sales, it often takes about three weeks to get an offer for your home — and you are free to choose whether to accept the offer. Once accepted, you’ll likely have a 30- to 60-day escrow period, and once all the final contracts are signed, you can sell the home without any need for court supervision.
Alternatively, when you’re the executor or personal representative selling a home during probate, you act in the interest of the decedent’s estate. This means you need to follow state probate laws and any potential directives from the probate court judge when setting the price and, in some cases, the timeline.
Due to these regulations, probate property sales can be significantly different from a traditional home sale. “It takes the seller longer to dispose of the asset because of the need to hire a probate attorney, do the discovery process, and get the administrator appointed,” Ruiz says.
