Most people are not familiar with the law of wills, trust, or probate.

If you are faced with selling off real estate which hasn’t been willed to a specific beneficiary, this is where a probate court steps in to handle the selling of the estate.

The term probate is the legal process by which ownership of a deceased individual’s property is transferred to someone entitled to receive it. The probate process includes a procedure to determine and settle the debts and liabilities of the decedent.

With this kind of transaction, it is important to ensure that the executors have obtained the Grant of Probate. Once the Probate Court has proven the Will, it will be demonstrated in a document called a Grant of Probate.

This Grant of Probate proves that the executors have the authority to dispose of the property and are legally allowed to sign the contract and paperwork.

Here are some things  you need to know about Long Island NY probate sale:

You have to make an agreement with all parties involved

Before anything else, you need to determine if selling the property is the best idea. This is especially true if the inheritance is going to more than one person.

One sibling may want to keep the property. In this case, he or she may agree to buyout the shares of others. The property could also be sold in order to pay any outstanding debts the estate may have.

If the property is going to be sold, it is important that every person involved with the inheritance agrees with the decision.

You have to know the tax implications

You have to be aware of the tax implications associated with the sale of an inherited home. It’s important to understand that the tax is based on the value of the property on the day the previous owner died.

So if the house was bought 30 years ago for $50,000 but it was worth $200,000 when the owners died, the IRS would value the house at $200,000 for capital gains purposes.

You’ll owe taxes on whatever the difference is between what the home was valued for when you inherited it and the amount for which you sell it.

If the home was valued at $200,000 on the day the previous owner died and you sell it for $240,000, you’ll need to report the $40,000 for tax purposes.

However, if the selling price is less than the value, this won’t be an issue.

You have to prepare to sell the property

If all the parties involved agree with selling the property in a probate sale, the next step is to get it ready for the market.

This would be the best time to enlist the help of a professional who has experience with Long Island NY real estate in probate.

That would be me, Rene Perrin.

The probate process is not as simple as listing a home for sale. There is a defined legal process that must be followed to complete the probate sale.

I understand that the last thing a family in mourning wants to do is to deal with the probate court system. I can help you manage the estate settlement process and alleviate your stress and worry.

You can visit my website at http://LongIslandProbate.com/ for more information on probate sales.

Call me today at 516-802-3785!