The answer to the often-asked question “Can a house be sold while it is in probate in Lehigh Valley, PA PA?” is “Yes”, but as is true of any home sale, you must adhere carefully to your state’s pertinent rules and regulations. The probate court oversees every step and detail of the sale, and as the executor, you’ll also need to review and approve all sale terms. While the process can be complex, gaining a clear understanding of it can help make things run more smoothly.
Can A House Be Sold While In Probate In Lehigh Valley, PA PA?
Appointment of Administrator/Executor
When a will is left behind, it often designates a specific individual to serve as the executor—the person responsible for overseeing the estate’s affairs. If the named individual is willing and able to fulfill this role, the probate court will formally appoint them as the executor. This official designation grants them the legal authority to manage the deceased’s assets, pay debts, and distribute the remaining property according to the will.
However, situations arise where no executor is named in the will or where the designated executor is unable or unwilling to serve. In such cases, the probate court steps in to ensure the estate is properly managed. The court will typically look to the deceased’s closest relatives to appoint someone as the administrator of the estate. This person, while performing many of the same duties as an executor, operates under the court’s guidance and approval, especially in the absence of a will.
Whether acting as an executor or administrator, this role carries significant legal and financial responsibilities, making it crucial for the appointed individual to understand the probate process and seek professional advice if needed.
Appraisal
The next crucial step is to have the property professionally appraised to determine its fair market value. It’s essential to select a licensed and reputable appraiser with experience in probate property valuations to ensure accuracy and reliability. Keep in mind that the property must sell for at least 90% of the appraised value, as required by law. This makes choosing the right appraiser even more critical, as an inaccurate valuation could delay the sale or create complications with the probate court. A qualified appraiser will provide a detailed, well-documented report, ensuring you have a solid foundation for pricing the property appropriately.
Sale
At this stage, the process of answering the question, “Can a house be sold while in probate in Lehigh Valley, PA, PA?” begins to take shape. The first step involves your agent listing the property on a multiple listing service (MLS) to notify potential buyers that it is a probate sale.
When a buyer expresses interest, they submit an offer along with a 10% deposit. As the executor, you have the option to accept or reject the offer. If you accept, the offer must then be submitted to the court for confirmation, a step that is typically handled by your probate attorney. Once the court agrees to the terms, a date is set for the final sale approval.
After the offer is accepted and court-confirmed, a Notice of Proposed Action must be sent to all heirs. This document outlines the terms and conditions of the pending sale, giving heirs 15 days to review and raise any objections. If no objections are filed within this period, the sale can proceed without the need for a court hearing.
Overbidding
Here’s where the process becomes a bit more complex. Before the court confirms and approves the original buyer’s offer, the judge will invite anyone present in the courtroom to place a higher bid on the property. If no one submits an overbid, the sale proceeds as originally planned.
However, if an overbid is made and accepted, the original buyer’s 10% deposit must be refunded before proceeding with the sale at the new bid price. The new buyer is then required to provide a 10% deposit in the form of a cashier’s check, which must be presented to the executor or administrator during the court hearing where the overbid is approved.
Once the court confirms and approves the new sale, the parties can sign a contract. This contract differs from standard agreements as it cannot include contingencies, and escrow typically closes quickly—within 15 days of the hearing.
As you can see, selling a property during probate involves intricate rules and procedures. To navigate this process smoothly, it’s highly recommended to consult an experienced probate attorney for guidance tailored to your situation.