There are a series of steps for dealing with property through probate in Bexar County. Each of the steps are regulated through the courts and each step has to be monitored and carefully managed. There will be deadlines set that have to be followed and everything has to be well documented. There are some ways to handle selling a house in probate in San Antonio and certain steps that will occur during the process.
An Executor or Administrator is Appointed
If the deceased left a will which named an executor, and the person is willing to perform the duties, they will be appointed as administrator. If the will did not specify an administrator, or it nominated a person who is no longer alive or one who is not willing to serve, an administrator is going to be appointed. Most of the time, the courts appoint a person who is an heir, or someone who is suggested by an heir.
Can I sell an inherited house?
This is an important question for those who want to know how to sell an inherited house. If you are the administrator, or executor, with “full independent powers,” you can list the property for sale. However, selling the house is not a requirement, but it is possible to sell an inherited house. Once the property is listed for sale and there is a contract on it, the administrator has to send out a “Notice of Proposed Action” which states all the terms of the sale. The heirs of the property have 15 days to object the action. If they do not object, the seal can proceed without having to have a court hearing. If the administrator doesn’t have “full independent powers,” or there are heirs with objections to the sale, then there are other steps to take including:
· An offer can be accepted as long as it is at least 90% of a probate official’s appraisal. If the buyer is unable to follow through with the purchase, then their 10% deposit is forfeited.
· After an offer is accepted, it has to be filed with the court and a hearing will be set. Court hearings usually happen within 30 to 45 days after the petition. The heirs all get the details of the offer and the sale.
· During the court hearing, other buyers can over-bid the offer that has been accepted. The bid must be at least 10% more than the accepted offer and they buyer has to be able to present a check for that amount at the hearing.
What happens in probate when there’s a mortgage?
There are a lot of questions about when a family faces probate with a house with a mortgage. It is very possible for a house to still have a mortgage on it and yet be bequeathed to a beneficiary. The problem is, the mortgage doesn’t just disappear because someone dies. The decedent might have insurance so that the property is paid for upon their death, but if they do not, the heirs can inherit the house along with its payment. Some states have a “due-on-sale” clause stating that a mortgage has to be paid off if the house is transferred to a new owner. This is not so in Texas, but in most states if you inherit a house with a mortgage, you have to pay off the mortgage inside a predetermined time frame.
In Texas and other states that do not have this law, the beneficiary can take ownership of the house and assume the payments left on the mortgage. However, they do not have to keep the house with its mortgage. They also have the option of making the payments, refinancing the loan, or selling the property.
Can a House in Probate go into Foreclosure?
The loan did not disappear when the borrower died; and the lender still has a lien on the property. When the house is in probate, the administrator is held responsible for making the mortgage payments on time when they are due. They can use cash from the estate to make these payments. If payments are not made as scheduled, the lender can begin the foreclosure process. A foreclosure can begin and proceed just as if it would if the borrower was still living. The inheritor can sell the house even if it is in probate if foreclosure process has not been started.
Sell the Property to a San Antonio Real Estate Investor
There can be several issues that come up when selling a house in probate. Sometimes it only works if the closing can occur in a timely manner. The most important factor is that the representative has the authority to be allowed to sell the property. Once it’s established they can legally
sell the decedent’s property, then they can sell it. One of the most viable options is to sell the property to a real estate investor. They purchase property for cash as a way to invest in real estate. The process is very easy and it is quick and the closing can be done in a matter of days. Even if the decedent didn’t execute a will or leave someone the power to sell, the court can authorize a representative who can sell the property.
Selling to a real estate investor in San Antonio, it’s a cash deal and the closing will be done in just a few days so the cash can be disbursed to heirs once any debts have been paid. In many cases, the house is in disrepair when it is inherited. Trying to go through a realtor, is impossible since it is costly to have to make all the repairs before putting it on the market. When a real estate investor purchases the home, they will take it as-is. This means they will be responsible for any needed repairs once they purchase it. This can keep a probate house from going into foreclosure where none of the heirs benefit.