The answer to the often-asked question “Can a house be sold while it is in probate in Baltimore MD?” is “Yes.”
The probate court will observe every step and all aspects of the sale. The executor must also monitor and agree to all the terms of the sale. Following your state’s pertinent rules and regulations carefully is a must because it can be a complex process but understanding it will make things a little smoother.
Can A House Be Sold While In Probate In Baltimore MD?
Appointment of Administrator/Executor
If the decedent’s will designated a specific person as the executor and that person is willing to act in that capacity, then he or she is officially appointed as the executor. If on the other hand, no one has been designated as executor in the will, then the court and/or other relatives will appoint a near relative to act as administrator.
Appraisal
Getting your property appraised by a reputable and licensed appraiser is the next step. You need to make that your property may sell at least 90% of the appraised value that is why getting an appraiser that can get it right is important.
Sale
This is the step where the answer to “Can a house be sold while it is in probate in Baltimore MD?” begins to become a reality. And you’ll start by having your agent list the house on a multiple listing service so that buyers will know it’s a probate sale.
A buyer that is interested will make an offer along with a 10% deposit. You may accept or reject the offer but if you will accept the offer, then it is subject for confirmation. The offer must be submitted through a probate attorney to the court for confirmation and if everyone agrees to it then they will set a date for the sale to be finalized in court.
When the offer on the house in probate has been accepted and confirmed by the court, a Notice of Proposed Action must be mailed to all the heirs. This document states all the terms and conditions of the proposed sale. Heirs then have 15 days to review the notice and raise objections if they have any. If none of the heirs has any objections, the sale can go forward without a court hearing.
Overbidding
Now, here’s where it gets a little complicated. Before the court confirms and approves the original buyer’s offer, the judge will ask those present in the courtroom if any of them would like to bid on the property. If no one does, then the sale proceeds in the standard fashion mentioned above.
If, however, there is an overbid, the original buyer’s 10% deposit must be refunded before the new sale at the new bid price can proceed. When the overbid is accepted, the new buyer must then put up a 10% deposit, which is required to be a cashier’s check. This check for the accepted overbid deposit is presented to the executor/administrator at the winning bidder’s acceptance hearing.
The contract may be signed after court confirmation and approval. This is a specialized kind of sale contract because it cannot have any contingencies, and usually escrow closes soon after hearing within 15 days.
As you can see, there are some complicated rules for selling a house while in probate. It is advised to consider contacting an attorney for more specific help.