At the beginning of probate when there is a petition to administer the estate the court will appoint someone to be the personal representative of the estate. This is often the person that was named as the executor in the will, unless that person is unavailable, unwilling, or there is a challenge from someone else. Once the personal representative is appointed, the court will also appoint a probate referee. This person is charged with valuing the estate including the personal property and real property. There is a form that the personal representative is supposed to fill out within 60 days which gives the value of the estate for both tax purposes, and in order to settle the estate.
The referee will determine the fair market value for the estate and in the case of a probate sale that needs court confirmation the general rule is that the offers should be within 10% of this value. It is possible to sell the home for less, but a little trickier and often involves re-doing the appraisal. The sales that require court confirmation can not be confirmed until the referee has valued the estate.
If the personal representative has full authority to sell the real property without court confirmation then the sale can go through, but the probate can not be completed and the monies distributed until the referee has done his or her job.
If you have any questions about buying or selling a home in probate in San Mateo County or Santa Clara County, please feel free to contact me. I am an experienced probate realtor.
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