Great Deal in Limbo Due to Deceased Owner

Great Deal in Limbo Due to Deceased Owner

Real Estate Investor · Brookville, OH · Member since 2017 · 19 posts · 7 votes

Hi BP!

I've got a deal I'm working on that's got me stumped... well, not completely stumped. I've got some ideas, but I could really use some advice on how to proceed.

At the end of the road I live on, there is a vacant SFR, which has been vacant for some time. I did some digging on the owner, and sent out a greeting card. Two days later, I got a call back from the owner's sister with some sad news. The owner of the home passed away about two months ago. She also informs me that there are some liens on the property, and, most importantly, that she would me more than willing to part with the house.

I did some digging on the liens, and found that there's maybe $15k (probably less) in debt tied to this property, between a handful of tax and mortgage liens. The house does need some repairs, but the ARV is in the neighborhood of $110k, so I know there's some potential before I get into estimating rehab expenses.

I reach back out to the deceased owner's sister to set up a time to go through the house. She tells me that she doesn't get out much, but could have her daughter meet me there. Only problem is, they need to find the keys. Then further conversation leads to another glaring issue. The sister does not have the funds to open an estate for her brother.

Now the keys are one thing. I'm more than willing to pay a locksmith on their behalf to gain access to the inside and assess the property, but I don't know how to handle the estate issue. This is where you come in.

How can I legally and ethically help this person set up an estate for her brother so that the estate can sell me the house? I have considered calling lawyers for her to find out if any will take payment after the case closes, but I have heard that it is illegal to refer someone to a specific lawyer. Is this true, or another one of those silly myths? Can I help her find a lawyer to get the estate process going to that I can buy? Can anybody provide any insight into how lawyers generally accept payment for probate cases? I plan to call around to learn more, but not before asking my good friends here. Thanks in advance for all your help!

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  • Rockledge, FL · Member since 2016 · 493 posts · 427 votes
    9y

    Josiah, 

    I haven't been in the situation and every state is different for probates. If this were me, I would disclose everything in writing. You have an interest in the property.  If it all goes south, you have all the paper you need to protect your assets. To be extra safe, you could get your own attorney to advise you. Generally a 30 minute consultation is well woth the cost, it might even be free. 

    I always make a habit (leftover from my broker day) to over disclose vs under disclose.  I also always gave a list of professionals vs one. Of course my top pick was the first one on the list.

    Good luck,

    Jim 

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