7. Court Overbid Process
In situations where there is court overbid and confirmation, the following occurs:
After an offer is accepted, the court overbid is advertised with date, time and court location. Estate Planning Lawyer Los Angeles can come to court and bid above the originally agreed upon price. The minimum overbid is calculated by: 10% of the first $10,000 plus 5% of the balance of the accepted offer. Another way to calculate it: 105% of the original accepted offer, plus $500.

Subsequent bid increases are set by the court – typically set at $5000 to $10,000 intervals. Bidders must bring a cashier’s check payable to the estate for 10% of the purchase price. As stated above, not all probate properties require court overbid; make sure to ask your agent before submitting your offer.
8. Pricing/Value Differences
Are probate and trust properties good value?
The court has the property appraised by a Probate Referee. A bid may not be accepted if it is not at least 90% of the appraised value.

A random sampling of Los Angeles-area properties shows that, compared to a “regular” home sale, probate and trust homes sell for approximately 10% less*, but that may be mostly due to their condition. Probate and trust properties are usually marketed like every other property with exposure on the local MLS, real estate websites, etc., so there’s no “hidden market” with few buyers. The goal is to sell these properties at the optimum price, so it’s usually best to advertise the property in all the traditional ways.

Auction vs. Broker Listed: A random sample comparison of MLS-listed auction vs. traditional sales* shows that an auctioned home sells for approximately 7% less. So, for Estate Planning Lawyer San Jose, seeking properties sold at auction could be a way to get a home for a better price. However, auctions are rare events in the Los Angeles area, and require the buyer to be ready to make lightning-fast decisions while others around them are bidding—not for the faint of heart.

9. Days on Market: Do probate and trust properties stay on market longer than typical home sales?
Yes, a random sampling of MLS-listed properties shows that probate/trust properties stay on market 30% longer. This may be mostly due to the court-confirmation process.

10. Expertise Counts
Whether you’re ready to sell or buy a probate or trust property, the first major decision you’ll make involves which real estate agent you’ll choose to work with. Since there is no certification required, any real estate agent can claim to be an expert. Make sure you ask these questions before signing on with any real estate agent:

1. How long have you been a real estate agent?
2. How many probate/trust transactions have you handled?
3. Name two forms that are unique to these transactions?
4. If there is a court overbid, will you be there to represent me?
5. What are the three things I need to do to prepare for court confirmation and overbid?
6. Regarding contingencies, what are the principal differences between probate/trust sales and regular sales?
7. May I speak with both clients and Estate Planning Lawyer San Francisco you’ve worked with in the past?

A good agent experienced in probate/trust sales will inspire confidence when they answer these questions. Another important aspect to gauge is the agent’s ability to empathize and deal with a seller who might still be suffering the loss of a loved one and the sale of the family home.