Here’s everything you need to know about the Probate House Sale
Whenever one comes across the term Probate House Sale, he/she keeps on thinking about what a Probate actually is. Well, probate is the legal procedure in which a deceased person’s assets are distributed to their heirs or beneficiaries, and all the processes concerning the distribution of those assets are taken care of by the executor of the estate. The entire probate process is sometimes lengthy, complex, and expensive as well, leaving people feeling overwhelmed and confused. Various obstacles are presented by a Probate House Sale for both the buyer and the seller which makes sealing a suitable deal quite difficult.
What is actually meant by Probate?
Before getting a clear idea as to how probate affects the buying and selling of a house, we need to first understand the meaning of probate. As mentioned above, probate is a legal process that follows someone’s death in which a thorough evaluation of their assets is carried out by an executor of their will. This typically involves the sale of any real estate whose sole proprietor was deceased. And, here is where we are going to put our main focus.
The executor, i.e., the person who is responsible for carrying out the wishes laid down in someone’s will, sells the deceased’s assets in order to pay off any taxes owed or debts, before distributing what is left of the estate to their beneficiaries. Here is how a Probate House Sale usually goes on:
- A notice is served to the creditors by the executor of the estate.
- They then take complete control over any assets that were owned by the deceased. This may include shares, property, and bank accounts, which are known as Probate Assets.
- All outstanding taxes or debts need to be cleared before using these probate assets and before anything can be distributed. This is usually achieved by selling off some of the properties which help in funding the cost involved with administering an estate. The fast execution of this process is very important which will help ensure that the beneficiaries do not lose out on funds or valuable investments due to them their loved one’s estate.
The Benefits associated with buying a Probate House
When compared with the regular properties that are listed on the market for sale, buying a probate property can reap several benefits.
Firstly, a Probate House for Sale tends to be very affordable. The reason behind their reduced price is the issues involved during the entire probate process such as taxes and large debts that needs to be paid off before inheritances can be granted to the beneficiaries.
Secondly, a Probate House for Sale tends to be sold in a very neat and tidy condition as the executors take great care to sell all the deceased assets as soon as possible and thus hand over the remaining estate. Thus the buyers can move straight into their new home without spending a lump sum on renovation or redecoration.
10 questions that you need to ask before purchasing a Distress Sale Property
Find out the owner of the property
Deploy your property lawyer or reliable agents to visit the area where the property is located. In this way, you can easily find out the owner of the property.
Find out whether it’s a family property
A Family Property can be quite cumbersome to purchase. If the Distress Sale Property is a family property, then you need to make sure that all the parties are involved in the transaction.
Who is the owner selling the property?
In most cases, it is the seller who tells you who is selling his Distress Sale Property, for relocation purposes or to settle medical bills.
Find out about the history of the land where the property is erected
Check to see whether the location has a bad reputation for incessant armed robbery, cultism, and avoidable violence. This is one of the most important things before you decide to invest in a property where you will not be able to live or rent a property.
Examine the topography of the area
There are some real estate investors who prefer to buy plots of land during the rainy season. They do so to get a better insight as to whether the place is completely dry land as claimed by the seller or a swampy one that cannot be inhabited except during the dry season.
When compared to the actual market value, you can get a Distress Sale Property at a much cheaper price. Thus, you can make a double profit from your investment within a short span of time. Remember that when you are purchasing a Probate House for Sale or a Distress Sale Property, never be in a hurry and do your findings before payment.