Deceased owner heirs trying to sell

[Fernando]

So the title company has access to something the county does not?

Title makes sure that the seller is the owner and has authority to sell.
Basic Title 101 concepts.
Learn what Title can do.

 

[Mark K]

Hello everyone,

I got a reporting issue just wanted to see how other appraisers report it. The public owner of record is deceased. Three heirs are selling the property. One is the power of attorney.

If the owner is deceased, the POA means nothing. The POA extinguishes on death of the owner. At death, owner is then the Estate of XXXXXX and the Personal Representative (Executor) is in charge of the estate, including selling the real estate. The will tells the Executor how the proceeds are to be distributed.

At closing the title company will want a copy of the will and death certificate and a copy of the trust documents, if any. The Executor or the Successor Trustee will sign all documents.

Just note in the report that the owner died on _____ date and the current owner is The Estate of zzz. No big deal.

 

[shrubberyvaluation]

Hello everyone,

I got a reporting issue just wanted to see how other appraisers report it. The public owner of record is deceased. Three heirs are selling the property. One is the power of attorney. The realtor gave me this information rather than the lender or AMC. Also, no public record data is verifying this other than one of the heirs shares the same last name as the public records owner. All three heirs are on the purchase contract. How do I report this? "Is the property seller the owner of public record" - No? Any thoughts would help.

Check no and explain.

 

[Dublin ohio]

Title makes sure that the seller is the owner and has authority to sell.
Basic Title 101 concepts.
Learn what Title can do.

A title search reveals nothing more than what is recorded

 

[sputnam]

I would report the seller as the Estate of zzz, or just their (owner of record's) name, and then explain. The power of attorney does not transfer ownership, only control.

POAs end upon death. In other words.. if you have a Power of Attorney for someone, the POA becomes invalid at the moment of their death. Control shifts to the executor of the estate and/or the heirs. If you are the appraiser, you report the Owner of Public Record. That requires you to check the public record. It does not require you to become a title examiner or to comment on issues of a legal nature. Report what you know. What shrubbery said is spot on.

 

[Tom D]

If there was a will the seller of the property is the executor of the estate, not the heirs. The agreement of sale usually says executor.
The heirs cannot be the sellers, since they do not own it yet, nor has it been transferred to them. Unless it was transferred by the executor to them to close the estate, but typically not.
Have some of you never sold real estate, or understand r.e. legals.

 

[Terrel L. Shields]

I would guess one of the heirs is not POA but rather the trustee. The court appoints the trustee or administrator. The trustee petitions the judge to appoint them and the judge approves the final sale. The trustee has a number of obligations including maximizing the sale and managing for the entire set of heirs. You cannot take liberties with the sale, cannot sell to yourself without restriction, and can be sued if you fail.

 

[Tom D]

Hello everyone,

I got a reporting issue just wanted to see how other appraisers report it. The public owner of record is deceased. Three heirs are selling the property. One is the power of attorney. The realtor gave me this information rather than the lender or AMC. Also, no public record data is verifying this other than one of the heirs shares the same last name as the public records owner. All three heirs are on the purchase contract. How do I report this? "Is the property seller the owner of public record" - No? Any thoughts would help.

I have never heard of power of attorney for the deceased. Was there no will or probate. Only power of attorney while living, or the executor of will, or trustee of court should be on the agreement of sale. The heirs mean nothing unless they are on the deed. Anyway, the title co has the say on who has the power here to sell it. It's more of a legal issue than an appraisal issue. Don't over think your responsibility on the owner side line, just note what you see. Estate of...

 

[Elliott]

I was once a PR for an estate. Not knowing about the state of the probate, will, or trust, it is virtually impossible to know the state of the title. As has been said, appraisers are not the title company. Whatever the controlling document indicates as the owner with a paren (Estate), is adequate for mortgage work.

 

[Fernando]

In CA real estate form, it has been amended with seller stating that they have authority to sell.
That's helpful and a reference.