Deceased Owner - Taxes owed on a property

Deceased Owner - Taxes owed on a property

Investor · Freehold, NJ · Member since 2017 · 51 posts · 12 votes

Hey Bigger Pockets, 


Quick question for you here that I would love to get some feedback on with regards to a property I recently came across...

1. There is an owner listed as well as two co-owners for a property. The "main" owner is currently deceased... The siblings are the surviving parties. Is this something that the co-owners will need to handle to be able to sell the property? What steps would need to be taken (other than telling them to speak to an attorney) - which they do not have the money for, based on my conversation with them.

2. There are taxes owed over the past two years that are yet to be paid. If I did want to purchase this home, I can obviously take the amount off of the price. However, will that need to be done prior to closing? Again, they do not have the money to pay the taxes (or else they would have been paid). If I decide to move forward, how can I secure the home ?

Thank you again for your help. Looking forward to hearing about (creative) ways and potential ways to work around this assuming I decide to move forward. 

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Investor · Sacramento, CA · Member since 2010 · 161 posts · 29 votes
8y

@Rich Solano How is the deed taken title to ? It may need to be probated depending on the deed. Are you looing to wholesale the deal, If so taxes can be taken out of the sale in escrow. Pm me

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  • Investor · Sacramento, CA · Member since 2010 · 161 posts · 29 votes
    8y

    @Rich Solano How is the deed taken title to ? It may need to be probated depending on the deed. Are you looing to wholesale the deal, If so taxes can be taken out of the sale in escrow. Pm me

  • Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
    8y
    The taxes are simply paid off at closing by the title co, deducted from the seller proceeds.....SOP.
  • Tom GimerBusiness Member
    DMV · Member since 2017 · 3k+ posts · 3k+ votes
    8y

    Pull the deed. Who are the current owners and how do they hold title? Unless there was a joint tenancy (or a trust or life estate) the probate process will be required. Wholesaling a probate property is more difficult because of the PR's fiduciary duties to the Estate to get FMV.

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  • Investor · Freehold, NJ · Member since 2017 · 51 posts · 12 votes
    8y

    @Tom Gimer @Wayne Brooks thank you for the feedback. Much appreciated!

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