Trust Sale is the sale of a property that is held by a Trust. The original trustee is either under a conservatorship due to an inability to handle his/her affairs, or the original trustee has passed away. The assigned trustee of the property is directed to sell the property and to hold the sale proceeds in a Trust account for the beneficiaries.
Probate is a court-administered process of distributing a deceased person’s (or decedent’s) estate/assets according to their will if one exists or, if there is no will, to the person’s immediate spouse/children/siblings/relatives. Probate is the only way to transfer real property from the deceased person to the heirs in the event that no trust was set up prior to the decedent’s death.
Conservatorship sales in California are regulated by Probate Code and are conducted in probate court. One of the primary differences is that in a probate transaction the property owner is deceased; in conservatorship sales the property owner – the conservatee – is often very much alive and may even be living in the home that is for sale. The conservator acts as fiduciary, selling the property on the conservatee’s behalf, often to provide additional funds for the conservatee’s care.
Selling real estate under a Probate, Trust Sale or Conservatorship can be a demanding task. You need the expertise of committed, trusted and caring individuals who specialize in probate, conservatorship and trust real estate sales. We limit the AGGRAVATIONS of a Probate or Trust Sale by providing the Seller (who is either the Representative of the Estate or the Professional Fiduciary) all the necessary services that are needed during the selling process, while also making the process EASY & SMOOTH for the Estate Attorney. From initially listing the property, all the way to the closing of escrow, we take care of everything from A-Z!
For a FREE Consultation - contact Trust Sale Realty - Sergey Fednov Call Toll Free: 1-855-TRUST-55 ( 1-855-878-7855 ) Probate, Trust Sale and Conservatorship Real Estate Services: When you list a property with Trust Sale Realty and Sergey Fednov, you don't get passed along to someone else. Sergey Fednov privately work on each and every Probate & Trust transaction.Great Efficiency, Promptness, and Outstanding Communication Skills.
Specializing in Probate & Trust Real Estate Sales for Attorneys, Conservators, Professional Fiduciaries, Trustees, and All Personal Representatives Serving ALL of Southern California!Complimentary Property Valuations!
Will cover ALL marketing and advertising costs!
Brochures, Information Sheets and Highlight Sheets are produced for ALL Listings. Website Marketing for all our properties utilizing the following sites: TrustSale.com Zillow.com Trulia.com Redfin.com Homes.com HomesandLand.com Loopne.com Craigslist.com Yahoo.com Google.com Bing.com and lots of other popular websites as well as social networking sites including FACEBOOK, TWITTER, etc...
Probate Trust Sale Conservatorship Real
Estate Services for Sellers:- Getting real property sold involves more than simply placing it in the Multiple Listing Service (MLS) and posting a sign. Those steps are important, of course, but for Sergey Fednov & Trust Sale Realty, successful marketing includes close communication with the seller, as well as in-depth knowledge of the property and the neighborhood. - Here are some of the steps that attract buyers and produce outstanding results for sellers. (Naturally, marketing of any property takes into consideration the needs and preferences of the seller and may vary from this list.) - Work with seller to set price that will attract the maximum number of qualified buyers. - Work closely with attorneys, trustees, fiduciaries and other representatives of the seller to assure that the transaction is handled professionally to meet their expectations. - List with multiple Boards of Realtors and with more than one Multiple Listing Service. - Prepare property profile within two business days.
- Prepare Market Value Analysis.
- Provide detailed information on all comparable sales in the area.
- Prepare extensive on-line advertising: in addition to the Multiple Listing Service and multi-photo tours and property information on TrustSale.com - property appears on more than 55 websites. - Post For Sale sign on property with our direct number.
- Arrange 24-hour access for agents to show the property to prospective buyers (except for occupied and multi-unit properties).
- Counsel agents and prospective buyers on the offer process and all aspects of the real property transaction. - Assist with inventory of real property.
- Maintain frequent communication with the sellers, their representatives and other real estate services and professionals throughout transaction. - Place advertising in local and regional publications if needed.
- Hold broker caravan to attract agents and their buyers.
- Hold public open houses (if needed and there are no restrictions).
- Mail flyers to the surrounding community announcing the listing.
- Arrange showings for agents and prospective buyers if the property is occupied. (An appointment will be set within 24 hours of a request to view the property.) - Respond to all phone and email inquires on the property within the same day, seven days a week. - Promote word-of-mouth marketing by sharing listing information with skilled agents in the area and with past clients so they can pass along the information to their friends, family and associates. - Follow up with all showings to get feedback and to answer questions.
- Handle offer and all subsequent paperwork.
- Once an offer has been accepted and a court date set, continue showing the property to attract overbidders.
- Update overbid information online and in the MLS.
- Continue advertising property in newspapers with overbid price.
- Complete reports accurately, quickly and efficiently.
- Streamline communication between all parties.
- Introduce qualified specialists outside the local marketplace as appropriate.
- Anticipate and solve problems before they cause delays.
- Counsel real estate agents on how to present an overbid in court.
- Open escrow and track progress.
- Close escrow.
1. FREE Property Management – Many estates suffer from deferred maintenance. At NO upfront cost. We take care of Everything from A to Z! We will re-roof, paint, carpet, and put your home into salable condition with reimbursement for these expenses coming only from proceeds at the close of escrow. At no additional cost, we can streamline the entire process from the removal of abandoned cars and selling house loads of furniture to monthly gardening and pool service. 2. Personal Property – We’ll photograph, itemize and inventory all personal property including cars, trucks and vans, and arrange with the Seller for the sale, disposal or donation of this property. 3. BPO – We’ll do a detailed Broker’s Price Opinion. This a valuable tool for negotiating with the Probate Referee. Our package will include a narrative summary, photos of the subject property, comparables, maps and letters of recommendation. 4. Evictions – We can help negotiate move out dates with eviction proceedings. 5. Lockouts – We’ll meet with the marshal at lockout and will videotape and itemize all personal property and arrange for storage of possessions. 6. Secure property – We’ll secure the property with combination locks and re-key the doors (with standardized keys when possible) and secure the premises. 7. Utilities – We’ll have utilities turned on and will handle billing, if the Seller so desires. 8. Occupancy Check – We’ll contact the power company to see if utilities are on, then go by the property to determine occupancy, talking to the neighbors and asking for their assistance if necessary. Then we’ll get occupants’ name and telephone number. 9. Bids – We’ll do initial walkthroughs with detailed repair lists and receive bids from approved contractors on all repairs. 10. Supervision – We’ll oversee and insure that all work is completed.
11. Inspections - We’ll walk through and inspect the property once a week every week. 12. Updates – We’ll do monthly marketing updates, 30 days sale and listing updates and property condition reports. 13. Combination Locks – We’ll put combination lockboxes on all properties as well as the local board key safes. 14. Marketing Plan – We’ll market the property using our extensive “Marketing Plan” 15. Negotiate – We’ll professionally negotiate all offers, preparing a written summary with comments for your files. 16. Escrows – We’ll follow through on each escrow until closing
For a FREE Consultation - contact Trust Sale Realty - Sergey Fednov Call Toll Free: 1-855-TRUST-55 ( 1-855-878-7855 )
For Attorneys:When a probate or trust calls for the sale of real property, one of your most valuable allies is a knowledgeable realtor. Realtor can provide you with information about market conditions, pricing and strategies. An experienced Realtor can also help you, and your clients, to understand the transaction – and to get the terms you want and need. Free of the emotional ties that sometimes complicate decision-making, a skilled Realtor can save you time, money and headaches and support you as you make important choices during the transaction.
So what qualities should you look for in a Realtor for probate and trust?
- Knowledge and experience. Your Realtor should be up to date on local and regional markets and experienced meeting the requirements of the court. - A skilled Realtor will “do it your way,” adapting easily to your preferences in methods and presentation. - Your Realtor needs an established network of qualified, trained associates throughout the region who can assist with properties beyond local neighborhoods. - Time is money. Your Realtor should be able to produce the reports you need, accurately and on time. Each step in the marketing and sale of real property must be handled promptly and professionally. - A qualified Realtor will make sure that you have the most current contract documentation and disclosure forms for real property transactions. - Your Realtor should be prepared to use aggressive marketing tactics – even after the initial offer has been accepted. - Your Realtor should be able to provide straightforward explanations in non-technical terms to lawyers, accountants, trustees, administrators, conservators and, of course, clients. - Other agents and service professionals are involved in aspects of almost every transaction. Your Realtor should be personable, well liked and respected among their peers.- Your Realtor should be available whenever you have a question – by office phone, cell phone, voicemail, e-mail – and prepared to respond promptly. - Your Realtor should be prepared to handle the offer and all the paperwork on the real property transaction. - Details are very, very important in every real property transaction, so look for evidence of care and accuracy in the Realtor’s presentation. - Finally, look for a Realtor who is trusted by your professional colleagues. Successful Realtors are full-time professionals and, like doctors and jewelers, develop long-lasting relationships with their clients. The time you invest now in your selection could yield a friend and ally for life.
For a FREE Consultation - contact Trust Sale Realty - Sergey Fednov Call Toll Free: 1-855-TRUST-55 ( 1-855-878-7855 )
Probate Real Estate Process:The process of selling real estate (real property) through probate or trust is a series of court-regulated steps that must be carefully monitored and managed. Deadlines are unforgiving, documentation is specialized and the court’s oversight must be honored throughout the marketing, offers, negotiations and sale of the property.
In addition to the personnel of the court, the sale generally involves the Executor or Administrator of the estate, the attorney representing the estate, a real estate agent representing the seller (the estate), one or more buyers who place bids with the court and the buyers’ real estate agents. Each of these individuals must follow the guidelines and deadlines of the court.
Because of the involvement of the court, probate and trust sales have a vocabulary all their own (seeglossary). They also involve various disclosure documents and contracts that are not used in other real estate transactions.
If you are selling or buying real property through such a transaction, your real estate agent should be experienced in probate and trust sales and be able to explain the language, the documentation and the steps in the process. Clear communications are vital.To help you understand the probate and trust sale process, here is a list of some of the steps involved in a typical transaction:
Appointment of the Administrator or Executor of the estate. In most cases, the decedent’s will names an Executor who is designated to handle the distribution of assets, including real property. If no Executor is named, if the named Executor is unwilling to serve or if there is no will, the court appoints an Administrator to carry out these duties. The Executor or Administrator is the person who has the authority to list and sell the property; the sale cannot proceed until that person has been identified.As provided in the Independent Administration of Estates Act (IAEA), the Executor establishes a list price for the real property. The price takes into account the appraisal by the Probate Referee and is usually determined with the assistance of a real estate agent experienced in probate and trust sales. The property is then listed for sale through that agent/broker.
The real estate agent markets the real property to the public as aggressively as possible to attract the highest offer.
This generally involves a number of approaches, including signage, newspaper advertising, listing on one or more real estate websites and hosting open houses for other real estate agents and potential homebuyers. The real estate agent will also schedule appointments to show the property to interested parties who inquire directly.While buyers of probate and trust real estate may be looking for a bargain, their range of offers are limited by the court. An accepted offer must be 90% or more of the Probate Referee’s appraised value.
Once a buyer is found, the real estate agent assists the seller in negotiating terms that are satisfactory to both parties.When the property has an accepted offer, a Notice of Proposed Action is mailed to all heirs, simply stating the terms of the proposed sale. The heirs have 15 days to review the notice and pose any objections. If there are no objections, the sale may proceed without a court hearing.
If the Executor/Administrator does not have full independent powers under IAEA, or if one of the heirs poses an objection to the Notice of Proposed Action, notice of the sale must be published in a generally distributed local newspaper (unless the will does not mandate such action).
The attorney for the estate then applies for a court date (the “confirmation hearing”) when the sale will be executed. The court date is usually within 30 to 45 days of the date the application is filed.
A copy of the application and details concerning the sale are mailed to all interested parties.
Even after the court date has been set, the real estate broker should continue to show the property and advertise the home to potential buyers in the hope of securing an “over-bidder” and thereby raising the sale price.
During the court confirmation hearing, the previously accepted bid may be overbid by another interested party. In such a case, the overbidding party must appear at the hearing with a cashier’s check (no personal checks accepted!) in an amount totaling at least 10% of the minimum overbid price in order to successfully overbid. The minimum overbid is determined by the following formula: 10% of the first $10,000 plus 5% of the balance of the accepted offer.EXAMPLE: A property is listed at $200,000. The accepted offer is $175,000.
The minimum overbid is calculated as follows:Accepted offer = $175,000
+.10 x $10,000 = $1,000
+ .05 x $165,000 = $8,250
_________________________
x .10 = $18,425 amount of cashier’s check
If there is more than one overbidder, the highest bid ‘wins.’ The winning bidder gives a cashier’s check to the Executor/Administrator and escrow is opened. Escrow will close approximately 30 to 45 days from the court hearing.
Q&AMost common Questions & Answers:
What is a trust?
A situation in which one person (or entity) holds the legal title to a property for the benefit of another.
What is a probate?
Why do some probate properties not require court confirmation?
If a probate property is a Trust Sale or if the Executor/Administrator of the estate has been granted “full independent powers” under the Independent Administration of Estates Act (IAEA), the sale may not require court confirmation. If the Administrator has full independent powers, he or she may elect to list the property for sale. Once an offer is accepted, the estate’s attorney mails out a Notice of Proposed Action stating the terms of the proposed sale to all the heirs. The heirs then have 15 days to object to the sale. If there is no objection within 15 days, the sale goes through without any court hearing required. (Regardless of the details of the probate transaction, sellers are strongly encouraged to work with a professional probate attorney to protect the estate’s best interests.)What is a Property Profile?
Should I make repairs before listing a probate property for sale?
No. In California, probate properties are sold “as-is.” If you make repairs you may inadvertently conceal something about the condition of the property. Even a coat of paint can unintentionally conceal a defect. Except for removing personal possessions, clearing out trash and cleaning up the entryway and yard, it is important to leave the property in its present state and let the buyers do their inspections and satisfy themselves as to the condition of the property.What do I need to do to prepare the property for sale?
Your agent should be able to recommend a number of qualified specialists to help you prepare the property for sale, including removing belongings and obtaining professional cleaning. Your agent should also assist you in conducting an inventory of the real property for sale and in preparing a comprehensive property profile.
How can I choose the best list price?
Once a property is listed, how will it be marketed?
Your agent should pursue a number of strategies to expose your property to likely buyers. They include signage on the property, newspaper and internet advertising, direct mail, open houses for agents and the public and personal networking among successful agents who may represent qualified buyers. Your agent will conduct showings for interested buyers and their agents, will answer questions about the property and will continue to promote the property in order to secure the highest offer. Your agent should also communicate with neighbors in the immediate area, keeping them informed about the price and other details about the property. Ask your real estate agent for a written marketing plan and for explanations of how various types of marketing will benefit the sale.Do I have to pay up front for all this marketing and advertising costs?
No, there should be no advertising or marketing up-front fees.Is the paperwork different in a probate sale than a traditional real estate transaction?
Yes. In most real estate transactions, the seller is required to disclose information about the property, including defects, construction conducted without a permit, evidence of pest or water damage, etc. Because sellers of real property through probate, trust or conservatorship may never have lived in the property that’s being sold, special disclosure forms take this into account. Probate and trust sales require special disclosures, listing agreements and purchase contracts. In California, the California Association of Realtors has standardized forms specifically for probate transactions.Should I use the same agent who helped me sell my own house?
You are free to choose any real estate agent you like, but it is important to remember that probate real estate sales are complicated legal matters. Most real estate agents are not experienced or well-versed in the probate process. It makes sense to choose an agent who specializes in probate and trust real estate, and who understands the intricacies of pricing, marketing and presenting such properties. Your agent will represent your interests throughout the transaction; being able to understand and explain the process is essential.What is a Conservatorship?
A conservatorship occurs when a person or organization is authorized to care for the finances, health and assets of another person who is deemed partially or completely unable to take care of such needs. In California, a conservatorship is established through a court proceeding. In some areas, a conservatorship is called a “guardianship of the estate.”
When a Conservatorship is Necessary?
A court-appointed conservatorship may be required when a person has mental or physical problems that impede his or her ability to manage financial affairs, health and assets. In order for the court to appoint a legal guardian or conservator, the impaired individual would also lack any person who is legally sanctioned to assume responsibility for his or her care. Additionally, it would have to be found that the disabled person would be inadequately protected by other means of assistance with regards to financial management.
What is the The Process for Appointing a Conservator?
The exact procedure for appointing a conservator will differ from one area to another, but the usual process is as follows: The individual or organization that wishes to be appointed as conservator files a petition with the local probate court. The petition is often filed by a relative, a close friend, or an administrator for a health care facility or nursing home. Along with the petition, medical affidavits and/or other sworn statements are typically submitted testifying to the person’s disability, and identifying the individual or organization wanting to be named as conservator. The documents may simply ask for a conservator to be appointed. The probate court then arranges for an evaluation of the disabled person. This evaluation often involves a court-appointed “guardian ad litern” who gives a report to the court on behalf of the disabled person. This guardian will educate the disabled person concerning the person’s legal rights and inform the court of the person’s desires. The guardian may also speak with the petitioner and other parties involved in order to give a complete report to the court. The court may also designate a doctor to examine the disabled person. In the event the disabled person disputes the appointment of a conservator, a trial is scheduled in which the presiding judge determines if the petitioner met the required burden of proof for the designation of a conservator. The court conducts a hearing where witnesses give sworn testimony supporting the claims of the petition, if the disabled person agrees to the appointment of a conservator or is incapable of responding to the questions because of disability. If a conservator is designated, then the judge furnishes the conservator with legal documents, often referred to as “letters of authority.” These documents will legally allow the conservator to act in the stead of the disabled person (the conservatee).
What are The Conservator’s Responsibilities?
The conservator’s primary duty is to make an account of the disabled person’s health care, food, shelter and assets. The conservator is required to keep track of all expenditures and assets for the estate of the disabled person. These numbers usually have to be reported to the court on a yearly basis (in some cases, more frequently). If the conservatee has assets that may assist in the individual’s care, the conservator may request permission from the court to rent or sell these assets. For example, if the conservatee has a home, the conservator can request permission to sell or rent the home, depending upon whether or not the conservatee will be able to return to the home or if the conservatee needs money for their health care.
Probate Glossary:
- Beneficiary: A person who inherits when there is a will.
- Conservator: A person who has the court-appointed fiduciary responsibility for the care of another adult.
- Conservatee: The person whose care is provided for under a conservatorship.
- Conservatorship: A court proceeding wherein a judge appoints a responsible person (conservator) to care for another person (conservatee) who cannot care for him/her self or his/her finances.
- Custodian of the Will: The person in possession of the will when the person who wrote the will dies.
- Decedent: The person who died.
- Executor: A person named in a will and appointed by the Court to carry out the decedent’s wishes. This person is usually named as the seller of the real property.
- Heir: A person who inherits.
- Intestate: When someone dies without leaving a will. When there is no will, the sale of the decedent’s real property often requires court confirmation.
- Intestate succession: The order of who inherits the property when the decedent does not have a will.
- Legatees, or Devisees: People who are named in a will.
- Personal Representative (Administrator or Executor): The person responsible for overseeing the distribution of the estate.
- Probate: The process of deciding where, how and to whom to distribute the decedent’s estate, such as the real property.
- Probate real estate sale: The transfer of legal title (ownership) of real property from the estate of the person who has died to his or her beneficiaries or to a buyer under the supervision of the Court.
- Probate referee: Before real property can be sold through probate, it must be appraised. This is done by a probate referee. In California, probate referees are appointed by the State Controller and assigned to a particular case by the court clerk. They are paid for this service directly by the estate, usually a percentage of the appraised value.
- Real Property: The term used to refer to real estate (land and buildings) in probate and trust sales.
- Testate: When someone dies leaving a will.
- Trust: When a person (trustee) holds property at another person’s (Settlor’s) requests for the benefit of someone else (Beneficiary).
- Will: A legal document that lists a person’s wishes about what will happen to his/her personal and real property after death.
Selling real estate under a Probate, Trust Sale or Conservatorship can be a demanding task. You need the expertise of committed, trusted and caring individuals who specialize in probate, conservatorship and trust real estate sales.
Have more questions? We’re always available to answer them. We are sensitive to the need for confidentiality, clear thinking, timely explanations, aggressive marketing, astute negotiations and, in many cases, quick sales.For a FREE Consultation - contact Trust Sale Realty - Sergey Fednov Call Toll Free: 1-855-TRUST-55 ( 1-855-878-7855 )
If you have questions about a personal or family trust, please consult your attorney.
These pages do not offer legal advice or attempt to define the many types of trust, but provide general information for trustees and their representatives who might be facing the sale of real property. I also offer some resources for individuals purchasing property offered through a trust sale. Real property often comprises the bulk of an individual’s estate, whether it’s a family home or an investment property. The sale of real property through probate should, of course, be managed to the maximum benefit of the heirs even as it protects the heirs and the interests of the decedent.California Probate Code is very specific in its instructions to both sellers and buyers. Please browse this website sections for helpful information and contact us direct if you have questions or would like to discuss the sale of real property through a trust.
For a FREE Consultation - contact Trust Sale Realty - Sergey Fednov Call Toll Free: 1-855-TRUST-55 ( 1-855-878-7855 )
