<description>&lt;p dir="ltr"&gt;Today we’re going to talk about whether probate properties need court approval to be sold, and how to handle the current problem tenant residing in the property.&lt;/p&gt; &lt;p dir="ltr"&gt;This question was from a person new to probate who was both an agent and an investor. She was trying to help the seller who inherited the property but was stumped by how to proceed with this unusual and very sticky situation.&lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;Here’s the situation in a nutshell:&lt;/p&gt; &lt;p dir="ltr"&gt;The seller inherited a property with a non-paying tenant who also happened to be a relative. To make things even worse, the tenant refused to let the new owner into the condominium for inspection or to show the property so it could be sold. The new owner was reluctant to evict the relative but found himself in a really uncomfortable position. He inherited a property he couldn’t even enter and was getting no rent on the property. &lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;What would you do in this situation?  &lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;Listen in to hear more about what I had to say.&lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;[00:00 - 02:33] - Opening &amp; Question Overview&lt;/p&gt; &lt;ul&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Question comes from real estate investor &amp; realtor, wants to purchase inherited duplex&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;One unit occupied by problematic non-paying tenant who is a family member&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Asks if court approval is needed beyond typical probate court&lt;/p&gt; &lt;/li&gt; &lt;/ul&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;[02:34 - 04:19] - Tenant Issues &amp; Offer Considerations&lt;/p&gt; &lt;ul&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Tenant not paying rent, only utilities, refused $700 cash for keys offer&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Not allowing showings or access to property&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Should factor in lower offer price &amp; costs for repairs&lt;/p&gt; &lt;/li&gt; &lt;/ul&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;[04:20 - 05:56] - Probate Court Approval Process&lt;/p&gt; &lt;ul&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Requires probate court approval but standard, no special approvals&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Attorney can provide proper contract language on closing timeline&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Good to know local state laws, can have small regional differences&lt;/p&gt; &lt;/li&gt; &lt;/ul&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;[05:57 - 07:27] - Financial Impacts &amp; Offer Adjustments&lt;/p&gt; &lt;ul&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Estimate 4-6 months before re-renting: eviction, clean up, repairs&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Factor in costs for lost rents during this period&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Adjust offer price accordingly&lt;/p&gt; &lt;/li&gt; &lt;/ul&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;[07:26 - 10:07] - Closing Tips&lt;/p&gt; &lt;ul&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Don't reveal as owner to tenant, pose as property manager instead&lt;/p&gt; &lt;/li&gt; &lt;li dir="ltr" aria-level="1"&gt; &lt;p dir="ltr" role="presentation"&gt;Check local laws, get probate investing starter kit &amp; resources&lt;/p&gt; &lt;/li&gt; &lt;/ul&gt; &lt;p&gt;&lt;strong&gt; &lt;/strong&gt;&lt;/p&gt; &lt;p dir="ltr"&gt;Resources Mentioned in this show:&lt;/p&gt; &lt;p dir="ltr"&gt;&lt;a href= "https://probateinvestingsimplified.com/starterkit"&gt;FREEBIE: Probate Investing Starter Kit&lt;/a&gt;   &lt;/p&gt; &lt;p dir="ltr"&gt;&lt;a href= "https://probateinvestingsimplfied.com"&gt;Probate Investing Simplified Course&lt;/a&gt;         &lt;/p&gt; &lt;p&gt;&lt;strong&gt; &lt;/strong&gt;&lt;/p&gt; &lt;p dir="ltr"&gt;Key Quote:&lt;/p&gt; &lt;p dir="ltr"&gt;"I would tell the seller that unless I could see the unit, I would have to assume that it's trashed” - Sharon Vornholt&lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;WANT TO LEARN MORE?&lt;/p&gt; &lt;p dir="ltr"&gt; &lt;/p&gt; &lt;p dir="ltr"&gt;Connect with me through my &lt;a href= "https://sharonvornholt.com/"&gt;website&lt;/a&gt;, &lt;a href= "https://www.instagram.com/sharonvornholt/?hl=en"&gt;Instagram,&lt;/a&gt; and &lt;a href= "https://www.linkedin.com/in/sharonvornholt"&gt;LinkedIn&lt;/a&gt;&lt;/p&gt; &lt;p dir="ltr"&gt;Or you can send me an email at sharon@sharonvornholt.com&lt;/p&gt; &lt;p dir="ltr"&gt;Be sure to check out the &lt;a href= "https://louisvillegalsrealestateblog.com/"&gt;Louisville Gals Real Estate Blog&lt;/a&gt; and my course &lt;a href= "https://probateinvestingsimplified.com/"&gt;Probate Investing Simplified&lt;/a&gt;.&lt;/p&gt; &lt;p dir="ltr"&gt;Learn more about this podcast on &lt;a href= "https://itunes.apple.com/us/podcast/sharon-vornholt-lets-talk/id784109559?mt=2"&gt; iTunes&lt;/a&gt;, or &lt;a href= "https://www.stitcher.com/podcast/sharon-vornholt/louisville-gals-real-estate-blog/e/42515974"&gt; Stitcher&lt;/a&gt;.&lt;/p&gt; &lt;p dir="ltr"&gt;If you liked my show, please LEAVE AN HONEST REVIEW, like, and subscribe!&lt;/p&gt;</description>

Let's Talk Real Estate Investing with Sharon Vornholt

Sharon Vornholt

Do Probate Properties Need Court Approval to Be Sold?

NOV 30, 202310 MIN
Let's Talk Real Estate Investing with Sharon Vornholt

Do Probate Properties Need Court Approval to Be Sold?

NOV 30, 202310 MIN

Description

Today we’re going to talk about whether probate properties need court approval to be sold, and how to handle the current problem tenant residing in the property.

This question was from a person new to probate who was both an agent and an investor. She was trying to help the seller who inherited the property but was stumped by how to proceed with this unusual and very sticky situation.

 

Here’s the situation in a nutshell:

The seller inherited a property with a non-paying tenant who also happened to be a relative. To make things even worse, the tenant refused to let the new owner into the condominium for inspection or to show the property so it could be sold. The new owner was reluctant to evict the relative but found himself in a really uncomfortable position. He inherited a property he couldn’t even enter and was getting no rent on the property. 

 

What would you do in this situation?  

 

Listen in to hear more about what I had to say.

 

 

[00:00 - 02:33] - Opening & Question Overview

  • Question comes from real estate investor & realtor, wants to purchase inherited duplex

  • One unit occupied by problematic non-paying tenant who is a family member

  • Asks if court approval is needed beyond typical probate court

 

[02:34 - 04:19] - Tenant Issues & Offer Considerations

  • Tenant not paying rent, only utilities, refused $700 cash for keys offer

  • Not allowing showings or access to property

  • Should factor in lower offer price & costs for repairs

 

[04:20 - 05:56] - Probate Court Approval Process

  • Requires probate court approval but standard, no special approvals

  • Attorney can provide proper contract language on closing timeline

  • Good to know local state laws, can have small regional differences

 

[05:57 - 07:27] - Financial Impacts & Offer Adjustments

  • Estimate 4-6 months before re-renting: eviction, clean up, repairs

  • Factor in costs for lost rents during this period

  • Adjust offer price accordingly

 

[07:26 - 10:07] - Closing Tips

  • Don't reveal as owner to tenant, pose as property manager instead

  • Check local laws, get probate investing starter kit & resources

 

Resources Mentioned in this show:

FREEBIE: Probate Investing Starter Kit   

Probate Investing Simplified Course         

 

Key Quote:

"I would tell the seller that unless I could see the unit, I would have to assume that it's trashed” - Sharon Vornholt

 

WANT TO LEARN MORE?

 

Connect with me through my website, Instagram, and LinkedIn

Or you can send me an email at [email protected]

Be sure to check out the Louisville Gals Real Estate Blog and my course Probate Investing Simplified.

Learn more about this podcast on iTunes, or Stitcher.

If you liked my show, please LEAVE AN HONEST REVIEW, like, and subscribe!