Inheriting a property after losing a family member or beloved friend can be an overwhelming experience. With or without a will, estates must go through the process of probate. Naturally, if there is a will, the process is much smoother. The home would be in perfect condition in an ideal world, with the mortgage paid off and no debts filed as liens against the property. Typically, however, most properties fall short of this mark. In Oklahoma, there are two paths to selling real property owned by an estate. They both require probate, but one is much more efficient than the other.
The easiest way to sell property in a probate or estate administration is through a Section 239 Sale. This is a reference to title 58, section 239 of Oklahoma statutes. This type of sale is preferable because it doesn’t require ongoing court oversight of the sale process. The personal representative can simply hire a realtor (if they choose), list the property, accept an offer from a cash home buyer like Petit Home Solution-We Buy Houses, sign a contract, close, pay off any mortgage or liens, and take receipt of the proceeds.
The financial obligations assigned to the property carry over to the beneficiaries, along with the mortgage, insurance, taxes, and any monthly bills. The expenses which accumulate during the probate process are a heavy financial burden. Selling the property as quickly as possible is often the best solution for all involved. Read on as we explore five tips for selling a probate property in Oklahoma.
Section 239 Sale
- File a probate and set a date for an initial hearing.
- At the hearing, the court will sign an order admitting a will to probate (if there is a will), identify the heirs at law of the deceased, identify any beneficiaries named in a will, and appoint a personal representative.
- The personal representative can then file a petition asking the court for an order allowing the Section 239 Sale and must also file a consent to the sale signed by all of the heirs and any beneficiaries named in a will.
- If everyone consents to the 239 Sale, the court will sign the order allowing the personal representative to sell the property without any additional court oversight.
The Probate Timeline
In essence, probate is the process of the prooving of the will; the courts ensure that the deceased’s instruction for the disbursement of their property is completed and require that a judge oversee the process. Because of the legalities involved, our first tip for selling a probate property in Oklahoma is to understand that when a property is in probate, you must prepare for a lengthy period before the beneficiaries can sell the property. You will also need to keep a close eye on deadlines, carefully complete any paperwork, and follow the rules and order of operations set out by the probate court.
Can List it as an FSBO
Suppose you’re not concerned about investing money into the property to prep it for sale yourself, making any necessary repairs. In that case, our next tip for selling a probate property in Oklahoma is to consider selling it as an FSBO or for sale by the owner. Should you follow this course, be sure you understand the laws surrounding disclosure. Even if there’s an issue with the home you aren’t aware of, the buyers could take legal action against you as the seller in the future. Finally, to determine a realistic price point, you should compare similar properties nearby that have recently sold. Just don’t skip on the high-quality photography and staging of the home, as the tech-savvy buyers of today will typically scroll by properties that don’t present well online.
Can Owner Financing Your Self
Now, for those with no time constraints, a great tip for selling a probate property in Oklahoma is to consider offering owner financing. You’ll need to do the same prep and repair work and are still under the same risks from disclosure after the sale. In this arrangement, you’ll be offering the opportunity of homeownership to buyers who may not be quite ready to assume a conventional mortgage. As they save towards their downpayment and get their credit prepared for the lender’s approval, you’ll be making a higher profit on the property. In addition, for the courtesy of taking your home off of the market for this period, you can set the sale price higher than the current market because you risk the market taking off and potentially selling at below market value in the future.
Can List it with an Agent
If the property is in great shape or can afford to make all of the repairs required to bring it up to par, selling a probate property in Oklahoma with a real estate agent may be your best route. Even after the commissions, broker fees, and closing costs, some properties are better suited to this method of home sales and can provide the beneficiaries with a sizeable profit. Just remember, a real estate agent cannot provide you with the closing date for sale or even guarantee the property will sell; if you or the other beneficiaries are in a financial bind, this may not be a suitable sales method.
Can Direct Sale
Our final tip for selling a probate property in Oklahoma is to consider making a direct sale; you’ll save valuable time with a guaranteed closing date. As professional investors themselves, direct buyers don’t work on commissions; instead, they work full-time buying properties for cash, in as-is condition, and rehabilitating them, one by one in Oklahoma. As a result, direct buyers know the current real estate market exceptionally well. After taking the time to talk to you about your property and any hurdles that you’re facing with the probate property, a direct buyer will help you understand your options so you can make an educated decision. To this end, they can provide you with a realistic estimate detailing how much you would profit from each type of sale vs. the offer for a direct sale, which you’ll agree is fair.
Doesn’t it make sense to talk to a direct buyer like those at Petit Home Solution-We Buy Houses before you decide on one of the more common methods of selling a Oklahoma property? Contact Petit Home Solution-We Buy Houses today at (918) 324-3848 .