What is the process of a probate sale?

Posted by Techyscouts | Posted on 03/16/2020
  •  Probate

    • Wondering what a “probate sale” is? Los Angeles often has many investment properties under probate. These types of properties may be a great addition to your investment portfolio, depending on your real estate goals. Our team at Michael Millea specialize in helping clients successfully purchase a property within probate.

    What is a probate sale?

    Properties within probate essentially means the owner has died and the property is not within a living trust. Since there is no executor appointed, the property must be appointed an executor by an attorney or court confirmation before the property is sold. The court will ensure that the price of the home is fair, often at a discount when compared to the comparables in the area.

    What is the process of a probate sale?

    There are two kinds of probate sales: auction and offer-based. If an offer is accepted or an auction is won, the sale is still subject to court confirmation. It is important to hire an experienced probate real estate agent like Michael Millea, as probate laws are often more complex than those within a standard sale.

    Why are probate sales often “all cash?”

    Most probate properties are fixer-uppers and are sold “as is.” Given the complexity of probate properties, it is of utmost importance to perform thorough inspections and due diligence before buying the property. Mike Millea and his team are experienced in probate sales in Los Angeles; this is a key part in the process of successfully purchasing a probate property.

    Is it possible for a buyer to purchase a probate property with a loan?

    This is possible, however, probate properties in Los Angeles come with intense competition. There are often multiple overbidders that appear in court and the purchase price is typically driven up significantly above the original accepted offer. A buyer’s pre-approved amount can get outbidded when there is a lot of competition. Buyers can run into disappointment when bids go over the bank-approved amount.

    Contact Your Los Angeles Probate Real Estate Agent

    Buying probate real estate is a complex process, but with the help of an experienced probate real estate agent, it’s entirely doable. Mike Millea has helped countless homeowners and investors of all stripes find the best properties in the LA market and close for a great deal, and he has years of experience navigating the intricacies of probate. Interested in learning more about buying or selling probate property? Contact us today!

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