California Probate Realestate to much work for Estate Administrator.
California probate realestate is perhaps one of the best kept real estate investing secrets. Locating probate real estate requires a visit to the local courthouse and a few hours researching public records. However, the payoff is worth the effort and could potentially result in enormous return on investment.
Oftentimes, California probate properties can be purchased for pennies on the dollar. When property owners die without a Revocable Living Trust, real estate and assets must be transferred to Probate in order to appraise their estate. Even if the decedent executed a Last Will and Testament, everything they owned is held in probate in order to ensure all creditor and tax debts are paid. Banking and investment accounts are frozen until specific forms are filed with the tax assessor's office. This process generally takes a minimum of 45 days.
In some instances, Estate Administrators are forced to sell realestate in order to pay outstanding debts or avoid foreclosure. Other times, they may choose to sell property to eliminate the burden of maintaining it.
In many cases, probate executor do not have the time or money to maintain realestate. If the property has a mortgage note, the decedent's estate is responsible for making payments until the estate is settled. Additionally, basic upkeep, home repairs, and lawn care must be maintained. This can become quite costly and quickly deplete the estate's financial assets.
Selling California probate realestate can save the estate a tremendous amount of money. In many instances, assets can be tied up in probate court for several months. Depending on the circumstances and complexity of the estate, probate can last as long as three years. If the decedent does not have enough money to cover expenses, the only thing family members inherit is a financial burden.
When the estate is unable to pay the mortgage note there is a strong probability probate realestate will fall into foreclosure. Many Estate Administrators do not realize they have the option of selling real estate during the probate process. By taking time to search probate records, investors can locate Estate Administrators and contact them to negotiate a deal.
California probate realestate is purchased through the Estate Administrator. If multiple heirs exist, they must all agree to sell the property. California probate realestate can be sold either through the Court Confirmation process or the Independent Administration of Estate's Act (IAEA).
Investing in California probate realestate can be a profitable venture. However, it's important to become educated on the pros and cons of probate real estate investing, as well as possess a high level of integrity and excellent communication and negotiation skills.
Probate real estate investing requires working with people who are oftentimes grieving the loss of a loved one. Selling the decedent's property can be emotionally painful. Investors who possess compassion and present decent offers can excel in California probate realestate investing.