Probate Real Estate: What You Need to Know Before Selling or Buying in Probate

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What You Need to Know Before Selling or Buying in Probate

If a loved one passes away and leaves behind a house, you can’t just put it on the market right away. Instead, the property usually has to go through probate, a court process that makes sure everything is handled fairly and legally.

If you’re an heir, an executor, or even a buyer interested in probate properties, knowing how the process works can save you from stress and surprises down the road.

What Exactly Is Probate in Real Estate?

Probate is the legal process of transferring someone’s assets, like a home, after they’ve passed away. For real estate, this means the court oversees the sale or transfer of the property before heirs can officially inherit or sell it.

You’ll usually run into probate if:

• The home was owned solely by the person who passed (not in a trust or with joint ownership).

• There wasn’t a transfer-on-death deed.

• The property wasn’t already set up to go directly to heirs.

In short: if the property isn’t protected by estate planning tools, it’s going through probate.

Selling a House in Probate

Yes, you can sell a house in probate, but it’s not as simple as a traditional sale. Here’s what typically happens:

1. Executor or Administrator is Appointed: The court names someone (usually a family member or the person listed in the will) to manage the estate. This person is in charge of the home sale.

2. The Property Gets Valued: A probate referee or appraiser sets the fair market value.

3. Listing the Home: The house goes on the market with a real estate agent familiar with probate sales. Listings often mention that the sale is “subject to court approval.”

4. Court Approval (in some cases): Sometimes the judge must confirm the buyer and final price. This can add a few extra months to the probate timeline.

5. Funds Are Distributed: Once the sale closes, the money is used to pay debts and expenses. The rest goes to the heirs.

   
   

Probate Sale vs. Regular Sale

Here’s the big difference:

• Probate Sale: Takes longer (6–12 months on average), may require court approval, and can involve bidding in court.

• Traditional Sale: Faster, simpler, and more flexible for buyers and sellers.

That’s why buyers should be patient with probate sales, and heirs should expect more paperwork and delays compared to a normal transaction.

Can Probate Be Avoided?

The good news is, yes. Homeowners can save their family from going through probate by planning ahead. Some common tools are:

• Living Trusts – keeps property out of probate entirely.

• Joint Ownership with Right of Survivorship – the property automatically transfers to the surviving owner.

• Transfer-on-Death Deeds – available in some states, this lets you name who gets the property without probate.

  
  

Final Thoughts

Probate real estate can feel complicated, but it doesn’t have to be overwhelming. If you’re handling the sale of a loved one’s home, or if you’re looking to buy a probate property, the key is working with professionals who know the process.

A probate attorney and a real estate agent experienced in probate sales can guide you step by step, making sure the process is handled correctly and as smoothly as possible.

Have probate real estate questions? Call me today—I’ll walk you through the process.

📩 Contact me at TessMarquez.com | (626) 712-5156 or call/text anytime!

By Tess Marquez, Realtor & Probate Specialist | TessMarquez.com