Probate is the legal process that occurs in Ohio in order to ensure that your debts are paid. It also ensures that the legal title of all of your remaining assets is transferred to the heirs and beneficiaries that you have named. If you have a will, the process of probate will be used to determine whether this document is authentic and legally valid.
The usual cause of a probate sale
Probate sales usually tend to occur when a homeowner dies while still owing significant debts. If this is the case, some of the property you owned, such as your home, will be sold in order to satisfy the demands of your creditors. This can happen if your estate doesn’t have enough cash to meet their claims.
Any money that is left over after satisfying the creditors will then be parceled out to your family members or people you have named as beneficiaries. This will be dependent on whether or not you have left a will for your assets to be distributed from. This process will usually be handled by an executor appointed by the court.
Selling your home via the probate process
The executor that the court appoints will have the duty of overseeing the sale of your property, including your home. The court will first order a full appraisal of the value of all of the various assets in the estate. After the market value of your home has been determined, the court will set an official listing price.
The executor is required to petition the court in order to obtain permission to sell the home. This will occur when at least one buyer has locked in an offer. At this point, your heirs or other beneficiaries will be notified. As long as no one chooses to file an objection, the sale can move forward with permission from the court.
All potential buyers have to appear in court to officially submit their bids. The highest bidder wins. They must then submit a check for at least 10% of the sale price to the executor.