House buying and probate

Alfrescodave

My son is considering buying a house that is subject to probate. As might be expected, there is conflicting information from EA and buyer as to whether or not the house purchase can be completed prior to probate being granted.

Surely the value of the house (once sold) is fundamental to the probate process or is the advertised house price adequate information and so house cannot be sold until probate is granted?

Have also posted this on the Probate site

davidmcn

It certainly can't be completed before probate is granted, as the buyer can't get a good title without probate. The value does need to be estimated in order to apply for probate, if necessary it can be adjusted after being sold on the open market and any Inheritance Tax paid/refunded as appropriate.

getmore4less

depending where they are in the process getting the grant may not be an issue.

Often it is the seller not being motivated to sell or in conflict that causes delays.

if there is any living owner then the grant for a deceased owner is not required although many think it is.

Alfrescodave

getmore4less wrote: »

depending where they are in the process getting the grant may not be an issue.

Often it is the seller not being motivated to sell or in conflict that causes delays.

if there is any living owner then the grant for a deceased owner is not required although many think it is.

The owner has died and the executor (son) is extremely keen to sell ASAP

Surrey_EA

Alfrescodave wrote: »

Surely the value of the house (once sold) is fundamental to the probate process or is the advertised house price adequate information and so house cannot be sold until probate is granted?

The value of the property on the date of death is the important figure, as far as the probate office/HMRC are concerned.

Hoploz

It cannot be sold until probate is granted. Probate is granted based on a valuation only. The buyer could get paperwork underway before its granted but best to wait as you have no idea how long it's going to take.

PassingOutInTheParade

Alfrescodave wrote: »

The owner has died and the executor (son) is extremely keen to sell ASAP

Just a word of warning on this.

I am now 12 weeks into the purchase of a Probate property. I was assured there needed to be a 'quick sale' as there are land charges accruing on it.

It now transpires that the executor hasn't even applied for Probate yet! They have given no reason for this but have yet again given assurances that it will be done this week, when they get time.

I feel as though I am wasting my time while they mess me around and cost me money in rent and storage fees.

I'd recommend waiting until you have proof of them having the grant of Probate before entering into the transaction. Unless, of course, the gamble is worth taking. The will and grant can be downloaded for £10 from the Govt website.

westernpromise

You can only apply for probate when you have a complete statement of people's affairs. This can take time. You need everything valued as at the date of death including house contents, jewellery, collections, cars, etc.

Just tracking down investments alone is time consuming because the executor can only obtain this information by providing original or certified copy death certificates to the holders.

12 weeks is nothing to be honest. I did a very simple estate that took 2 months and another where it took 6 months to apply and 2 more to get probate. The grant of probate is what the executor needs to evidence that s/he has title and hence the right to sell.

Hoploz

Same here as above - it took us 6 months to get everything in place for making the probate application.

PassingOutInTheParade

So here we have a few examples of how long a 'quick sale' can take when Probate is involved.

On the other hand, I have had relatives gather all the information, apply for, and receive the Grant within 6 weeks. Shows how it can vary depending on a lot of factors inc. how many accounts the deceased had, and how motivated the executors are.

In my experience. the estate agents phrase of 'no chain' means 'this could take a very long time'.

davidmcn

PassingOutInTheParade wrote: »

On the other hand, I have had relatives gather all the information, apply for, and receive the Grant within 6 weeks. Shows how it can vary depending on a lot of factors inc. how many accounts the deceased had, and how motivated the executors are.

Also in many cases the executors will already have been administering the deceased's finances prior to their death as attorneys, so will already have all the details readily to hand.