Probate/Successor Trustee Sales

Selling a house for a probate estate executor or a successor trustee requires three times the skill and expertise of selling a house for a homeowner who simply wishes to move.

As with any house, the agent must help the homeowners determine the proper price, guide them in preparing the house for sale, market extensively, negotiate on their behalf, and solve all the annoying problems that come up on the way to closing.

Sellers with homes in probate or held in trust need an agent who offers a bit more.

Sellers who have recently lost a loved one need an agent with the patience and empathy to assist and guide them when they may be in a highly emotional state. It isn’t easy to face selling a house while grieving the loss of the loved one who occupied that house.

In fact, there are times when taking care of necessary details is simply “too much” for a loved one to handle. They need an agent who will step in with a helping hand.

That’s why I maintain a list of reliable service providers. It’s also why I’m always happy to relieve my clients’ burden by managing the process of emptying the house, holding estate sales, cleaning, and getting the home prepared for sale.  I also have contractors available to do inspections and provide repair estimates, and I am glad to do market comparisons to help clients decide whether to make repairs or sell as is.

And then there is the legal side of selling a home in probate or held in trust.

Agents working with trusts and probate need specialized knowledge in order to keep their clients safe from the pitfalls inherent in these sales.

In California, the process of selling a home in probate includes filing petitions, attending court hearings, and adhering to rules of the court, including timelines. To best help my clients, I work in concert with their attorneys and stay abreast of their individual timelines to help them remain in compliance.   

As a probate listing agent, I know and understand the Independent Administration of Estates Act (IAEA), which gives California executors certain powers to sell estate property with either full or limited authority. There is a difference, and it is important to know how to proceed with each. I’m also familiar with the Court Confirmation and Overbidding Process, which can make a sale less predictable and requires agents to set buyer expectations about possible delays or additional requirements.

And, since California often makes changes and adds regulations, I stay abreast of all the legal news that might affect my clients.

All home sellers must complete disclosure forms, even when they have not lived in the house.  To avoid future liability for my clients, I take time to assist sellers in disclosing everything they know about the house.

Understanding trusts is crucial to assisting a successor trustee in the sale of a house.

The trust documents, rather than the court, lay out the guidelines for agents to follow.

One of my first duties, even before listing the house, is to confirm that the individual acting as the successor trustee has the legal authority to sell the house. My understanding of trust documents is essential, as it is the trust document that tells me whether the decision-maker is the trustee or one or more beneficiaries.

Since the original trustee was free to add any conditions he or she wanted, I read these documents carefully to make sure I help my clients follow them to a T.

Selling a house in probate or in a trust is a cooperative endeavor.

Successful sales result from cooperation between the seller, the real estate agent, service providers who ready the house for sale, inspectors, appraisers, attorneys, and tax professionals.

Working in concert with the trust and probate attorneys leads to smoother transactions, while consulting with a tax professional can save clients thousands of dollars.  Selling a house in probate or in a trust can affect both capital gains and estate taxes that will be owed by the heirs. Sometimes, timing matters a great deal.

Since I understand these issues, I consider it part of my duty to inform clients when they need to consult a tax professional.

Assisting executors, successor trustees, and heirs is gratifying…

It makes me feel good to know that when I orchestrate a smooth and successful transaction for people who are grieving, I have made a necessary task a bit easier for them.

I appreciate having that opportunity.