Are you planning to buy real estate in Kentucky? In some ways, one of the riskiest moves you can make is to buy it at a probate sale. However, you can also come upon some amazingly lucrative bargains. The trick is to know what you are doing. You also need to know the terms and conditions that apply in this case.
What happens at a probate sale?
Buying real estate at a probate sale can be a complex and tricky process. It begins when someone dies intestate. This means that they did not leave a will. All of the property that they leave behind enters a process that is known as probate. This will be overseen by a probate court. They may decide to sell off certain assets.
If they do decide to sell real estate, it must be sold at the best possible price. This is to make sure that the value of the estate itself is as high as possible. The proceeds of the sale will go to the heirs or representatives of the deceased. Meanwhile, you may become the new owner of a real estate property.
How is this different from a regular sale?
A real estate sale that occurs through probate is a completely different process than the one you may be used to. Probate sales are overseen by a court rather than a private owner, real estate company, or bank. As a result, the rules that govern the process are not the same.
The listing price of the property will be set by the court after an appraisal. At this point, you may step forward with an offer. You must confirm your offer with a 10 percent down payment. The representative of the estate will then accept the highest bid.