When parents pass away, they often leave behind a large assortment of assets and belongings that their adult children must determine what to do with. One major asset that many grieving children are left with is their parents’ home.
Often, the easiest and most straightforward way to deal with this inherited property is to sell it. But waiting until the end of probate may incur steep expenses, such as monthly property taxes, utilities, mortgage payments, and more.
You may wonder: “Can I sell my deceased parents’ house without probate?” The answer depends on how your parents structured their estate plans and whether you can legally bypass probate to take ownership of this asset.
What Are Arizona’s Probate Laws?
When a person dies, their estate must generally pass through probate before beneficiaries can take possession of inherited assets. Probate is a court-supervised legal process that involves:
- Authenticating the deceased person’s will (i.e., proving that it is valid)
- Appointing a person to handle the decedent’s affairs
- Taking inventory of the decedent’s property
- Paying the decedent’s taxes and debts
- Distributing the person’s property according to their will or state law
You may know that you will inherit your parents’ home after their passing. But often, you must go through the real estate probate process before you can legally take ownership of the home and gain the right to sell it.
Why Is It Beneficial To Sell an Inherited Home Without Probate?
The probate process can take anywhere from several months to a few years to finalize. During this time, you (or your parents’ personal representative) would need to continue paying the ongoing costs related to the house out of your parents’ estate. These costs may include:
- Mortgage payments
- Utility bills (heating, cooling, electric, gas, etc.)
- Property taxes
- Upkeep costs (lawncare, HVAC maintenance, pest control, etc.)
- Repairs for breakdowns
These costs typically come from the estate, thereby decreasing the inherited funds available at the end of the probate process. If the decedent’s estate does not fully cover these costs, they might come from the sale proceeds instead.
The sooner you can sell the home, the faster you can rid yourself of these ongoing payments. This is why many people explore selling a house without probate or methods for transferring property after death, thus bypassing or avoiding probate.
Instances When You May Be Able To Sell Before Probate
If you want to sell your deceased parents’ house without probate, you have a few options to explore. Your eligibility for these options depends on how your parent structured their estate plan and whether or not their estate meets certain requirements.
First, Arizona has a small estate affidavit that a decedent’s personal representative can file to request the transfer of assets without formal probate. You may be eligible for this affidavit if the total value of your parents’ personal property is less than $75,000 and the total value of their real estate is less than $100,000.
You would need to fill out the official small estate affidavit form and include an itemized list of your parents’ assets and properties, along with their valuation. Then, you would need to have a notary sign the document. You could then present the affidavit to the entity holding the assets to claim them.
If your parents’ estate does not qualify for this affidavit, your other options for selling inherited property without probate would depend on whether the property was in a trust or whether the decedent’s will included other provisions for obtaining and selling it. For example:
- The property was in a living trust. Property held in a living trust can often be transferred directly to the beneficiary upon the trust grantor’s death, bypassing the need for probate. If your parent placed the home in a living trust, this can significantly help streamline the process.
- The home had a transfer-on-death deed. Perhaps your parent had a transfer-on-death deed that designates a beneficiary who would inherit the property upon their death. This type of deed would also enable you to bypass probate to take ownership of the home.
- You had joint tenancy with right of survivorship. This allows two or more individuals to jointly own property. The surviving owner automatically inherits the deceased owner’s share of the estate without needing to go through the probate process. It requires the property to be titled with joint tenancy.
Each of these options requires very specific circumstances to exist. In many cases, a decedent’s surviving children cannot avoid probate but must instead wait for this court process to finalize before they can take possession of their inherited assets.
If you are unsure whether any of these exceptions applies to your case, you may want to meet with a probate attorney. They can advise you on whether there is any legal way to sell your deceased parent’s home without first going through probate.
Arizona’s Intestate Succession Laws and How They Apply
Arizona is one of nine states that are considered “community property states” for inheritance purposes. In these states, property acquired during a marriage is considered jointly owned, which means each spouse is generally entitled to one-half of the property upon the other’s death.
Under these laws, a decedent’s spouse may have the right to sell the house before the probate process begins. This might make sense if:
- The house is too large for the surviving spouse to manage
- The living spouse cannot afford the mortgage or property taxes on the house
- The living spouse is moving into assisted living
- The living spouse offered the house to their adult children, who do not want it
If one of your parents is still alive and shared ownership of the house with your deceased parent, you can discuss this option with them.
Tips for Streamlining the Home Sale After Probate
If you are unable to bypass probate to sell your deceased parents’ home, you will need to wait months or over a year for this process to finish before you can legally sell the property. Taking steps to streamline the home sale can help you avoid paying any more mortgage payments or property tax bills than you need to, regardless of whether you need to go through probate or not.
Begin Sorting Through Belongings As Soon As Possible
Even if you cannot legally gain ownership of the home until after probate, you may still have access to it in the meantime. You should begin sorting through your parents’ belongings as soon as possible, as this is often a time-consuming task and must be completed before you can sell the home.
(If you do not want to take possession of any of the belongings in the home, you can look into ways of selling the property without clearing it out first, such as through a cash sale.)
Discuss Options With Any Other Beneficiaries
Before probate is finalized, you can also begin speaking with other beneficiaries about how you will divide this asset. You may choose to:
- Sell the home and divide the proceeds
- Share the home and all of the costs involved in its upkeep
- Allow one or more beneficiaries to buy out the other beneficiaries’ share
Many people find selling the home and dividing the proceeds to be the easiest option.
Consider Alternative Methods of Selling
Inheriting a parent’s property after their death can be overwhelming, especially when you are also navigating probate, grieving their loss, and dealing with other legal stressors. It is worth exploring alternative methods of selling the property that may be faster and easier than listing it on the real estate market.
For example, you can consider selling the home to a cash buyer, such as Joe Homebuyer. We provide fair cash offers for homes across Arizona and make the selling process hassle-free by:
- Closing on your preferred date, often within seven days of you reaching out to us
- Waiving all listing fees, commissions, and closing costs, so you walk away with the full value of our offer
- Buying the home as-is, meaning you don’t need to make any repairs or stage the home
- Taking care of clearing out the home of belongings, if preferred
In contrast, listing the home on the real estate market can be expensive and time-consuming. It might sit for months, during which time you would still need to continue making mortgage payments and other ongoing expenses. You would also need to pay real estate agent fees and commissions out of the sale proceeds and spend time and money making the home market-ready.
If you want to avoid this stress, a cash sale through our reputable buyers may be a good option to consider.
Request a Competitive Cash Offer From Joe Homebuyer
Can you sell your deceased parents’ house without probate? You might be able to, depending on the circumstances. However, the majority of homes require probate before beneficiaries can take ownership.
Once the house is legally in your possession, Joe Homebuyer can streamline your selling process. Request a free, competitive cash offer today by calling 602-461-8088 or filling out our online form.
