Selling a House in Probate Ohio Guide
When a loved one passes and their home becomes an inheritance, it’s common for their heirs to consider selling it. The decedent’s will must be reviewed, and their estate and personal belongings distributed to beneficiaries according to its terms. In many cases, the estate goes through probate, where the executor is responsible for legally managing and distributing all assets and liabilities.
If someone doesn’t specify how their personal belongings should be handled after their death, managing their inheritance can become challenging. Selling a home in Ohio during probate can be a time-consuming and costly process. Fortunately, we’re here to guide you through your options and help you navigate probate smoothly.
Table Of Contents
- Probate Sale Meaning Ohio
- Probate Process For Selling Real Estate in Ohio
- When Can the Executor Sell the Probate Property in Ohio?
- Can You Sell a House Before Probate is Complete in Ohio?
- Do You Need to Go Through Probate to Sell an Inherited House in Ohio?
- Ohio Probate House Sale Issues
- Options You Can Consider When Selling a Probate House Ohio
- Probate House Sale Frequently Asked Questions
- Easiest Way to Sell a Ohio House in Probate
Probate Sale Meaning Ohio
In Ohio, probate is a legal process that formally recognizes a person’s death, allowing their beneficiaries to receive their share of the decedent’s belongings. When a Ohio resident passes away, an estate representative must arrange a court hearing to validate the will. If multiple heirs inherit a home, a judge may appoint an executor, administrator, or personal representative to handle its sale. According to Ohio law, the proceeds from the sale must be distributed to the beneficiaries before probate concludes.
Probate Process for Selling Real Estate in Ohio
1. File Probate With the Local Court
Probate begins when the estate administrator submits the decedent’s will and death certificate to the county clerk’s office in the decedent’s home county. After the estate documents are filed, the clerk schedules a public probate hearing. To ensure transparency and give individuals the opportunity to contest the will or file a claim, the court publishes notices online and at the courthouse prior to the hearing.
The Court Appoints an Executor
Before a property or personal belongings in probate can be sold, the court must appoint an administrator to manage the decedent’s estate. Typically, the personal representative is named in the will. However, if no will exists or no representative is designated, the court may authorize a steward, often the next of kin, to start the probate process and facilitate the sale of the inherited property.
Sell the Probate Real Estate
Get an Appraisal
Once appointed, the seller must have the house professionally appraised if they wish to sell it during probate. This appraisal sets the home’s value and asking price. Most probate courts require the property to be sold for at least 90% of its appraised value.
Petition to Begin the Sale
After the estate appraisal is complete, the seller can file a petition to sell the inherited house. This petition may specify whether the seller plans to list the home on the market, sell it to a cash home buying company, or auction it. Prior to the probate hearing, the seller can advertise the sale and disclose any current offers, allowing potential buyers to submit new bids at the hearing. It’s important to inform all interested buyers that the sale can only proceed with the court’s approval.
Court Hearing and Authorization of Sale
During the probate hearing, the judge may permit bids for the property. Once a bid is approved, the court will review the required documentation and authorize the sale. If any heirs object to the sale, it may be halted.
In certain cases, the probate process can be streamlined. The seller may file forms requesting the court to issue letters of testamentary, which grant the estate administrator the authority to manage estate assets and list the home for sale. To avoid a court hearing and bidding process, all interested parties must agree to proceed with the sale.
Known Probate attorneys in Ohio State
Tonya VanBenschoten, Probate Lawyer in Ohio
Contact information: (216) 400-0430, shurlaw.com
Robert G. Stiefvater, Probate Lawyer in Ohio
Contact information: (440) 580-0363, stiefvaterlaw.com
Daniel A. McGowan, Probate Attorney in Ohio
Contact information: (216) 242-6054, mcgowanlawohio.com
Probate Resources
When Can the Executor Sell the Probate Property in Ohio?
A seller can list an inherited home for sale as soon as the court grants probate. To minimize inheritance and capital gains taxes, the estate administrator should aim to sell the house promptly. In Ohio, selling a house in probate can typically take six months to a year, provided there are no issues with the estate, title, or will. However, if the will is contested, beneficiaries disagree, or the estate is intestate, the process may be extended. Additionally, if the estate needs to settle accounts, handle significant liabilities, or address a foreclosure, the court must review all offers and determine the winning bid before the property can be sold.
Can You Sell a House Before Probate Is Complete in Ohio?
Yes, you can sell an inherited house in Ohio before probate is complete. If a seller accepts an offer for a home in probate, the proceeds must be held in an escrow account. Once all outstanding debts, taxes, and bills are settled and probate is finalized, the remaining funds can be distributed to the heirs.
Do You Need to Go through Probate to Sell an Inherited House in Ohio?
In Ohio, probate is discretionary and not legally required after a homeowner’s death. It is typically initiated when someone dies owning real or personal property valued over $100,000.
Effective estate planning can help heirs avoid probate, reducing costs and saving time. Often, the decedent’s personal property can be directly transferred to heirs through the following methods:
Revocable Living Trust
A trust is a legal arrangement that manages assets for its beneficiaries. If a Ohio homeowner establishes a revocable living trust before their death, they can maintain control over their property during their lifetime and ensure it is directly transferred to their heirs upon their passing.
Transfer on Death (TOD) Deed
A transfer on death (TOD) deed enables a Ohio property owner to bypass probate by transferring their home directly to designated beneficiaries upon their death. To ensure the TOD deed is valid, the owner must settle all bills, fulfill financial obligations, and complete the necessary paperwork.
Joint Ownership With Right of Survivorship
Joint ownership with right of survivorship is a legal arrangement where multiple people co-own a Ohio house. Upon the death of one owner, the surviving owner automatically inherits the property, bypassing the need for probate court.
Affidavit of Heirship
In Ohio, an affidavit of heirship is a sworn statement used to bypass probate and transfer ownership of a deceased person’s house directly to their legal heirs. This notarized affidavit identifies the heirs, outlines the division of the estate, and confirms the heirs’ property rights.
Ohio Probate House Sale Issues
Family Disputes
When family members disagree about how to distribute an inheritance, the probate process can become complex. If the will is contested or missing, or if multiple beneficiaries and creditors make claims, the court will appoint a probate lawyer to manage the dispute, and a judge will need to validate the will.
Outstanding Financial Obligations
Unpaid debts, taxes, and bills can delay probate and the sale of an inherited home. The seller must settle these obligations before the proceeds from the sale can be distributed to the beneficiaries.
Coercion
If an heir believes the decedent was coerced into changing their will, they can petition the court to invalidate the document.
Options You Can Consider When Selling a Probate House Ohio
Ohio inheritors who wish to sell a house in probate have a few options.
Listing the Probate Property With a Ohio Real Estate Agent
Pros
An experienced real estate agent can assist with pricing, listing, and marketing a house, helping sellers through the selling process. Realtors can represent the seller, host open houses, recommend upgrades, and use a multiple listing service (MLS) to attract higher bids. Expanding the pool of potential buyers typically makes the bidding process more competitive.
Cons
Working with a realtor can be costly and time-consuming compared to other selling methods. Typically, the seller is responsible for closing costs, selling fees, and the realtor’s commission.
Selling the Inherited Property to a Family Member in Ohio
Pros
If all the heirs agree to sell the inherited property to a family member who wants to purchase it, they can often expedite the probate process. Selling the house to a family member can be faster and simpler than selling it to an unknown buyer. This approach allows the family to keep the home while providing cash to the other heirs, benefiting everyone involved.
Cons
If heirs disagree on how to divide the decedent’s personal property, selling the residence to a family member during probate might lead to long-term dissatisfaction. Hiring lawyers to mediate and resolve the dispute can be both costly and stressful.
Selling a Ohio Probate House “As-Is” to a Cash Home Buyer
Pros
When heirs want to sell a probate house quickly without incurring fees or closing costs, they can work with a property investor or a cash home-buying company. Cash buyers streamline the process, purchasing homes “as-is” and eliminating the need for staging or repairs, which simplifies and accelerates the sale.
Probate House Sale Frequently Asked Questions
Can You Sell a House Without Going Through Probate in Ohio?
In Ohio, you can transfer a decedent’s personal assets, including real estate, without going through probate. Options to avoid probate include placing the property in a trust, which transfers it to a trustee upon the trustor’s death, or establishing joint ownership with right of survivorship. Additionally, estates valued under $100,000 are exempt from probate.
Can You Live in a House During Probate?
During probate, individuals such as the decedent’s surviving spouse or siblings can live in the family home, provided they follow the terms of the will or a lawful arrangement. They may need to prove residency or pay rent to the estate.
However, if the will requires the estate to sell the house, or if the seller chooses to sell it to settle outstanding debts, or if no will exists and Ohio law mandates selling the house to meet financial obligations, a judge may rule that the house cannot be occupied during probate.
Can You Empty a House Before Probate in Ohio?
Probate helps prevent fraud and ensures the decedent’s personal property is distributed according to Ohio law. It prevents anyone from removing the decedent’s belongings until a judge reviews the estate and appoints a steward to distribute its assets, including money and heirlooms, to the heirs. Once the probate court grants approval, the seller can clear out the house and decide to discard, donate, or sell any remaining items.
How Long Does It Take to Sell a House in Probate?
Selling a house in probate can take several months, and sometimes over a year. After the court validates the decedent’s will, it may take around six months to complete the probate process. Family disputes, title issues, unpaid debts, and other complications can further delay the sale.
Do All Heirs Need To Agree To Sell Inherited Property?
Inheritors who prefer not to keep the family home or handle the associated mortgage, insurance, and taxes may choose to sell it. Difficulties can arise if some heirs want to keep the home while others want to sell, or if multiple beneficiaries wish to co-own the property but one wants to sell. A real estate agent may advise that all beneficiaries must agree and sign the contract for the sale to proceed. A real estate attorney can offer relevant information, provide specific guidance to the seller, and help broker a solution that satisfies all parties.
Easiest Way To Sell A House In Probate
If you’re a Ohio seller seeking a straightforward way to sell an inherited house in probate, consider a cash sale. Selling a home “as-is” for cash can eliminate the need for mortgage payments, taxes, insurance, renovations, and repairs. With a cash sale, you avoid listing the house, paying realtors’ commissions, and you can be assured that the deal will be completed.
Legacy Home Solutions is a Ohio cash home-buying service that simplifies selling a home in probate. We purchase properties in any condition, old or new. If you need to sell your inherited house quickly, contact us today.
Selling an inherited house during probate can be complex, slow, and costly. A cash sale can expedite the distribution of the estate. We operate throughout Ohio, including Cleveland, Akron, Parma, Cuyahoga Falls, Lakewood, Euclid, Strongsville, Brunswick, and beyond. Our experts are available to discuss our process and help you move forward. Once you choose Legacy Home Solutions, you’ll be on your way to a smoother transition after probate.