Deceased Owner?? Whats my process?

Question

Hi all, an absentee homeowner appears to be deceased..  What is my process from here? find family?

Sharon Vornholt · Answer

Nichole-

Treat this as a probate. The executors are often from another state. This information should be public record. The probate will take place in the state where the property is located.

Make an offer on the property just like you would any other property and name the Executor/PR as the person in the contract; they are the person that can legally sell the house.

Say that closing will be no sooner than ___ days (as long as you can get) and is subject to court approval. Your goal should be to tie up the house until you can buy it. You can start looking for a buyer as soon as you get an approved contract from the Executor or PR.

Get a non-refundable deposit of $1000-$1500 from your buyer which will be another investor. They will know how this process works, and be willing to wait for the process to work itself out if you have a good deal.

Hope this helps.
Sharon

Sharon Vornholt · Answer

Rick Harmon-

I'm not sure I understand the question. "People really don't believe it's that easy, do they"?

For me, it really is that simple. Probates make up about 50% of my business. You always have to have a motivated seller; that's a given. I am not competing for properties in great shape that can be listed on the MLS. My niche is to buy those that don't; the ones in a decent neighborhood that either need a lot of repairs, updating or both. I don't buy in bad areas. Executors/PR's don't want terms. They only want one main thing; the cash that's in the house. The estate has to be closed and the debtors paid. That's it.

You may have to offer up something else to seal the deal, and I usually do. You just need to find out what that "something else" is that they want or need. I have found that it is usually turns out to be that I will finish cleaning out the house. They often spend a year getting things they want out of the house, then they just can't finish the job. They can't dispose of the rest of the stuff, so they are stuck. If you can provide a solution, then they get "un-stuck".

I am primarily a wholesaler now, and  have done many, many probate deals. They are just as easy to wholesale as any other kind of house.

Regarding your statement about doing deals that people don't understand - I don't find probates require any special skills. You just have to have a good understanding of the basics, a good closing attorney and they are no different than any other deal. They may take a little longer at times, but they aren't harder.

Wayne Woodson · Answer

I agree with Sharon with one added tidbit. Make sure you send a letter to both the Executor's and attorney. That why you cover both angles and will get a better response.

Mark Wuollet · Answer

Nicole,

I agree with Sharon, but have one point to add. You may want to verify with your state laws to see if there is any regulations or stipulations in regards to probate sales.

Good Luck!
Mark

Rick H. · Answer

Sharon Vornholt  People really don't believe it's that easy, do they?

The mechanics may vary by state statute or even local court rules, but the more important part is that you have a seller who wants to sell for price & terms acceptable to the buyer.

I've done many, many probate deals but never acted as broker between seller and buyer. I know human nature and I would much prefer a seller who wants someone else to deal with a matter and is willing to exchange equity for that value.

Also, I prefer deals that other people don't understand and/or do not have the resources to deal with. Much better position to be in.

Sharon Vornholt · Answer

This is a great place to learn Nichole. I'm glad to help.

Wayne  Woodson. You can certainly do that. But I mail to about 800-1000 probates every 4 to 6 weeks. It would just be too costly to double that number. Most of the time if the attorney is listed as the Exector, then I would just mail to them anyway. Otherwise, I mail to the individual.  Over the years I have found that the Exector/PR makes the decisions, not the attorney's in my area. I perfer to mail to attorneys that handle a lot of property as a separate mailing. Their name will come up repeatedly in the notices.

@Mark Wuollet. You will always have to follow the probate requrements, but the property will almost always be sold so that has never been an issue for me.

I just write the contract, give it to the person, and they take it to the attorney. That attorney takes care of the rest. I also go ahead and forward it to my attorney. He will run the title and we know early on if there are any issues to be cleared up.

It's no different than any other contrct Nicholle.

Sharon

Nichole Gabriel · Answer

Thank you Mark Wuollet and Wayne  Woodson!!!  Very good points!

Nichole Gabriel · Answer

Sharon Vornholt!  Thank you so much!  you are so awesome!!! I love you and don't even know you!  haha! You have been so instrumental in my education! :)

Deceased Owner?? Whats my process?

Most Popular Reply