When in the Probate Timeline Can the Estate Sell Property?
First, understanding the whole probate timeline in California will give context when the estate can sell the house.
The probate timeline is daunting to many people who inherit a house through a Will or a trust where the real estate is not contended in the trust. It can be a long and difficult path to follow. The probate timeline can give people a general idea what is next in the probate process. There is a point in the probate process where the heirs can sell the property. Selling the property in probate can help the estate with funds needed to deal with estate issues. So it is important to know when it is legal to sell houses and other property in the probate timeline.
The probate timeline will help keep track of what has been taken care of in order. What are the next steps? The probate process can take a long time to complete. 12 to 18 months are normal time frames to complete, but not every probate in normal. Unless a living trust was created, heirs going through probate should get a lawyer who understands the process.
If there is real property that the estate will be selling a property buyer who knows probate or a real estate agent who has the experience and knowledge would be the best move. Dan Parisi a Realtor with the probate designation such as a CPRES (Certified Probate Real Estate Specialist) will save the heirs a lot of problems. learn more about – What to do with inherited property?
Now to details about the probate timeline:
Initially, the person (executors) seeking to become the personal representative for the estate is referred to as the “Petitioner”. The Petitioner’s contact information as well as their relationship to the deceased is provided on the Probate Petition form. Once the petitioner is appointed by the court, they then become the personal representative of the estate.
The Petitioner in addition to keeping track of all of the things required to complete the process, will have the added pressure of relatives and others that are waiting to get their share of the inheritance. This timeline will help keep the estate on track. And help the personal representative of the Estate communicate with the heirs with a timeline of the probate process.
The Probate Timeline
| Prepare and File Petition for Probate | 1-2 months |
| Court hearing on the Petition for Probate | 2-3 months |
| The following are issued: Letters of Administration, Orders for Probate, Duties and Liabilities, Issue Bond (if ordered), & Letters Testamentary (if not contested) | 2-4 months |
| Notice to Creditors | 2-4 months |
| Notice to Department of Health Services Inventory & Appraisement | 4-8 months |
| Pay State and Federal Taxes (if necessary) | 6-12 months |
| Allow or Reject Creditor Claims Possible Preliminary Distributions Notice to Department of Health Services (if deceased received medical) Notice to Franchise Tax Board (if heir is out of state) Claim of Exemption (if assets transfer to a minor) | 6-15 months |
| Receive Final Tax Letter from State and Federal (if appropriate) | 6-18 months |
| File Petition for Final Distribution and Accounting | 8-16 months |
| Hearing on Petition for final Distribution and Accounting Order Approving Final Distribution and Accounting Distribution of Assets to Heirs | 9-17 months |
| Final Discharge Order (indicates close of probate case) | 9-18 months |
| Final Distribution of Funds | 9-18 months |
Now, when in the probate timeline can the estate sell the property?
The key documents and point at which the heirs can sell property in probate is when the “Order for Probate” and the “Letters” are given to the estate by the court. Notice that the authority to sell real estate is early in the process.
How hard it is going to be to sell the house in probate is contingent on how the court gave authority. The court can give full authority or limited authority. This is a complicated subject and will have a more detailed description in another article. But for now, with a full authority given to the estate, it is much easier to sell the property. But with the right real estate agent or property investor, limited authority can move smoothly. However with a realtor who does not know what they are doing can create a real mess.
When a person inherits the residence with a reverse mortgage, they typically have a strict timeline to settle or payoff the loan, or sell, or return the residence to the lender with a deed in lieu of foreclosure. Also there can be issues if not all the inherited people agree what to do. Also responsibility for a mortgage after the borrower’s death depends on several factors.
When the personal representative of the estate has the “Order for Probate” and the “Letters” they can begin the process to sell the real estate property of the estate. Now would be a great time to contact us to see how we can help you sell property that is in probate.
