Real property often comprises the bulk of an individual’s estate whether it’s a family home or an investment property. Listing probate properties for sale can be more complex and require a specialized agent’s services due to the unique needs that these homes may present.  What follows below is a list of 5 common mistakes that can be costly if not avoided.

 

   1. Choosing Friends Over The Right Professionals To Do a Particular Job

Now that you might need a realtor you can find yourself surrounded by well meaning friends that want to help. You might have a realtor friend that specializes in a certain area of town or other type of real estate that wants to list the property for you.  By choosing the wrong or inexperienced agent you could run into extra stressful situations that could have been avoided all together.  For example, you may be encouraged to do all sorts of unnecessary and costly repairs to the home which can be a considerable amount of out of pocket, up front expense that may not pay off.

 

   2. Leaving The House Vacant For an Extended Period

Insurance companies don’t like to cover empty houses.  If a house sits empty for more than 60 days, it is possible that the insurance company could revoke important coverages.

 

   3. Not Securing and Maintaining Real Estate You Are Responsible For

Now that you are responsible for the real estate, that means you must make sure it’s secured and properly maintained.  If lawns and landscaping start to look overgrown, that could result in a fine by the city for a code violation.  One major interior issue could be if a pipe breaks or is leaking and no one discovers it for weeks, it could cost many thousands of dollars to repair.  The above could become a challenge for you, especially if you are not residing in the same city or state.  Because I specialize in these types of properties, I can help you to maintain the property utilizing the people in my network.

 

   4. Not Picking Up Mail From Decedents Property

This is a simple one. Ask the post office to forward all mail to an address or PO box that you have access to as soon as you can.  The reason being, you may miss out on important notices and claims from creditors and or lenders.  Another good reason is that you do not want the property to be too inviting for burglars or vandalism. When mail starts to pile up, it makes it obvious to the public that the property is vacant.

 

   5. Not Keeping Open Communication with Heirs

When you begin the probate process, it is crucial that all heirs are notified of the commencement and kept informed of the status of administration.  You want to communicate not only progress but any setbacks as well. The reason for this, as an example, is if an heir counts on his/her inheritance by a certain date based on the agreed upon goal you all set, then any delays could greatly impact the heirs life.  As a probate realtor, all the heirs will not only be kept in the loop but will receive biweekly updates from myself personally.

 

I will always conduct myself in a manner that is both sensitive and respectful to your family, with the number one goal of providing your family with the most economical and cost effective solution that will get the property listed and sold in the most time efficient way possible.  Below, I have included an example of title work on a property that I sold. As you can see, an inexperienced agent may feel a little overwhelmed trying to satisfy the requirements in order to close.  I have deleted the names of the parties involved along with any recording information.

 

 SPECIFIC REQUIREMENTS

(These are unique to this transaction)

 

TRUST - CERTIFICATE OF TRUST (Note: No action needed) [*]: To confirm the names of the current trustees of the Deleted Name Trust under agreement dated October 1st 2001, as amended, and their authority to sign transaction documents on behalf of the trust, we must receive and record a Certificate of Trust prepared in accordance with MCL 700.7913.

 

Note: A Certificate of Trust is a document that identifies the names of the trustees and the authority they have to act on behalf of the trust (including whether they have the authority to buy, sell, or mortgage real estate). The Certificate includes specific provisions that are required by Michigan Law.

 

Note: Unless otherwise agreed, a form of Certificate of Trust will be provided for the trustee(s) to sign when the transaction is closed.

 

LIFE ESTATE INTEREST [**]: We must receive and record a deed from Deleted Name (A) to terminate the life estate ownership interest that was created in the deed recorded in Instrument #20010456-0001234.

 

Note: A life estate ownership interest in property is an ownership right that only exists during a person's lifetime. It can be terminated by signing and recording a deed from that person. Alternatively, if this person is deceased, we can record a certified copy of the person's death certificate to remove the ownership interest from the public records. Upon request, we can provide a deed to be signed that will terminate the interest. A certified copy of a death certificate can be obtained from the county where the person died.

 

LIFE ESTATE INTEREST [**]: We must receive and record a deed from Deleted Name (B) to terminate the life estate ownership interest that was created in the deed recorded in Instrument #20010456-0001234.

 

Note: A life estate ownership interest in property is an ownership right that only exists during a person's lifetime. It can be terminated by signing and recording a deed from that person. Alternatively, if this person is deceased, we can record a certified copy of the person's death certificate to remove the ownership interest from the public records. Upon request, we can provide a deed to be signed that will terminate the interest. A certified copy of a death certificate can be obtained from the county where the person died.

 

 

 

SCHEDULE B-I (continued)

(Requirements)

 

LIFE ESTATE INTEREST [**]: We must receive and record a deed from Deleted Name (C), also known as Deleted Name, also known as Deleted Name, to terminate the life estate ownership interest that was created in the deed recorded in Instrument #20031345-1114567.

 

Note: A life estate ownership interest in property is an ownership right that only exists during a person's lifetime. It can be terminated by signing and recording a deed from that person. Alternatively, if this person is deceased, we can record a certified copy of the person's death certificate to remove the ownership interest from the public records. Upon request, we can provide a deed to be signed that will terminate the interest. A certified copy of a death certificate can be obtained from the county where the person died.

 

CONFLICT OF INTEREST - POWER OF ATTORNEY [***]: Documentation is required to confirm that Deleted Name, Power of Attorney Agent for Deleted Name, also known as Deleted Name, also known as Deleted Name, was previously authorized to convey the property to him/herself.

 

Note: It appears that a prior transfer of the property involved a potential conflict of interest when the Power of Attorney Agent transferred the property to him/herself. In order to confirm that the transaction was authorized, we must receive documentation that authorizes the transfer, which could include (i) a court order authorizing the transfer, or (ii) an affidavit signed by Deleted Name also known as Deleted Name that confirms that the transfer was proper.

 

WARRANTY DEED FROM INDIVIDUAL OWNER(S) TO BUYER [*]: When the transaction is closed, a Warranty Deed from Deleted Name , a married woman; as to an undivided 1/2 interest, to Deleted Name must be signed and recorded

 

Note: Every owner listed on Schedule A of the title commitment must sign the deed (this is typically signed at the closing, unless signed in advance).