Selling a House in Probate in Toronto– What You Need to Know

selling a house in probate in toronto

Thinking of selling a house in probate? We are here to help.

What is Probate?

Probate is a legal term for a will being validated in court and accepted as the last statement of the deceased. The will appoints an executor who is then responsible for handling the debts, credits, investments and belongings of the deceased. When a will is in probate, it is going through the validity process; this can be a challenging situation for the executor who is trying to collect money from the deceased’s bank, or trying to gain the rights for selling a house in probate. Most financial institutions will need to confirm that the estate trustee is validated to receive the property, money or assets.

Can I Sell a House Without Probate?

If you are choosing to sell the house without probate, you will need to ensure that you have all of the legal documents for that property and will also require a team of professionals to help guide you through the process. In special circumstances, the courts will allow a house sale without going through the probate process, but there are several stipulations that will go along with the sale. Ensure that the real estate agent representing you is experienced in pre-probate sales and that they have the necessary skills to push for a fair sale. You will also need to consult a real estate lawyer to learn about selling a house without probate, or what steps are necessary to rush the probate process in order to sell.  Selling a house in probate is often the wisest choice, as the executor is named the legal owner of the property during the process and it is a simpler process.

Selling a House in Probate – Is it Possible?

Selling a house in probate in Toronto, although easier than selling a home without it, still poses several challenges depending on what actions have been taken by the court at that point. Once the will, asset or estate is in probate, the court requires multiple documents from the executor to proceed and the estate lawyer is responsible for handling the deceased’s finances until probate is complete. The steps required from selling a house in probate include:

  • Getting the home appraised by a certified appraiser professional:  Once the worth of the home is determined, this is the dollar amount that the house must be listed as.
  • Determine your selling plan and present it to the court: If you are choosing to sell the home on the open market in a “regular” transaction, selling the home for cash or listing it at an auction, the court will need to receive your petition and legal appraisal.
  • List the house once approval is received: If you have all of the required documents, a legal appraisal amount and a plan of action, it should not be too difficult for the court to grant permission and you can return to selling the house in probate.
  • Proceed with a firm offer to sell the home: The buyer of a house in probate must be able to prove financially that they can cover all costs and expenses incurred with the home. Once this has been proven, the sale of the house will proceed as normal.
  • When selling a house in probate, prior to petitioning to sell the house during probate can be easier once the following have been determined:
  • All inheritors of the will are in agreement that selling the house in probate is the smart choice, therefore giving the executor permission to petition.
  • If the debt of the deceased exceeds their credits, the courts are indebted to sell assets in order to pay off debts. This can make selling the home a speedier process.
  • If the deceased has already mentioned selling the home in their will, selling a house in probate is much simpler as it is granted already.
  • If you are unsure of where in the probate process you are, or are at a loss regarding the legalities surrounding probate for a Toronto home, take a look at this article to understand a bit more about beneficiaries and when probate is required.

The Probate Process is Complete – What Does that Mean?

If the probate process is complete and the will of the deceased is deemed valid, selling a house is a much less stressful scenario for the executor and beneficiaries. While selling a house in probate can lead to a few complications, the biggest concerns afterwards include:

  • Ensuring the house is listed at the appraiser’s price and that the offer is coming in at 90% of the appraised value. This is to ensure that all beneficiaries are receiving a fair settlement and that the executor is not listing a low-ball price to entice a quick sale.
  • The buyer must have proof to cover all of the expenses of the house in order for the purchase to be valid.
  • Once the offer is accepted, the court will issue a notice to all of the beneficiaries of the proposed sale and they have a period of time to raise objections regarding the sale. If you as the executor had received permission prior to the probate process, this should not be an issue.

Selling a House in Probate – Cash Settlement

Inheriting an unwanted house is another burden bestowed upon heirs while going through the emotions of losing a loved one. If the thought of selling a inherited house is daunting and time consuming, consider contacting us – we buy houses for cash in the Toronto area. Our team of experts can also help you navigate the waters of selling a house in probate, and can let you know if selling your house for cash is a viable option. To chat with us, fill out the form below or give us a call – you are under no obligation to sell to us once we evaluate the home and make a cash offer. Selling a house in probate is made easy with a quick cash offer.