Are you wondering “Can a house can be sold while it is in probate in Ohio? The answer is yes. However, like any real estate transaction, it is crucial to carefully follow your state’s specific rules and regulations. Throughout the sale, the probate court will oversee every detail, requiring the executor to review and approve all sale terms. While navigating this process can be intricate, having a clear understanding of it can help streamline the proceedings.
Can A House Be Sold While In Probate In Ohio?
Naming of the Administrator or Executor
When the deceased individual’s will names a specific person willing to serve as the executor, that individual is formally appointed as the executor. In cases where no executor is designated in the will, the court or other family members will appoint a close relative to serve as the administrator.
Appraisal
Securing a reliable and licensed appraiser is crucial for the next phase of the process – appraising the property. It’s essential that the appraised value is accurate since the property should ideally sell for a minimum of 90% of this value. Choosing a reputable appraiser is key to ensuring a successful transaction.
Sale
This is the crucial stage where the possibility of selling a house during probate in Ohio starts to take shape. One of the initial steps involves your agent listing the property on a multiple listing service to inform potential buyers that it is a probate sale.
When an interested buyer presents an offer with a 10% deposit, you have the choice to accept or reject it. If you decide to accept the offer, it will be contingent upon court confirmation. Your probate attorney will need to submit the offer to the court for approval. Assuming all parties agree, a court date will be scheduled for the finalization of the sale.
Once the court has accepted and confirmed the offer on the probate property, a Notice of Proposed Action will be sent to all heirs involved. This notice outlines the terms and conditions of the proposed sale, giving heirs a 15-day window to review and raise any objections they may have. If no objections are raised within this period, the sale can proceed without the need for a court hearing.
Overbidding
Here’s where things start to get a bit more intricate. Prior to the court’s confirmation and endorsement of the initial buyer’s proposal, the judge will invite individuals in the courtroom to make bids on the property. In the event that no one places a bid, the sale will proceed following the standard procedure outlined earlier.
In the event of an overbid, the initial buyer’s 10% deposit must be returned before the new sale at the higher bid price can move forward. Once the overbid is approved, the new purchaser will need to provide a 10% deposit, typically in the form of a cashier’s check. This deposit for the accepted overbid is submitted to the executor/administrator during the confirmation hearing for the winning bidder.
Once the court confirms and approves the sale, a contract can be signed. This type of contract is specialized as it must be contingency-free, and escrow typically closes shortly after the hearing, usually within 15 days.
Navigating the intricacies of selling a house during probate can be daunting. Seeking guidance from a knowledgeable attorney is highly recommended to ensure a smoother process.