There Is a Simple Way to Administrate Probated Estate Property
How can you Administer Probated Estate Property in California?
If you are the administrator or executor of an estate under the probate in California, many of the actions you take such as buying, selling, repairing, and or exchanging property must be submitted to the court for approval.
The procedure to request and obtain authorization from the court can be hard. This is why the California Probate Act allows the representative to do many things without having to obtain prior permission. This is called the Independent Administration of Estates Act (IAEA).
The IAEA helps in the forms of simple estates, even if large in value, where no disputes, conflicts or contests among heirs and beneficiaries occur. However, settling the estate under the IAEA can potentially save a lot of time and paperwork.
You Either Have Full or Limited Authority?
When you fill out your Petition Probate form, you either have full or limited authority to administer under the IAEA.
Whereas full authority gives all the powers under the Act, limited authority does not grant you the power to sell or exchange real property or to grant an option to buy real property and borrow money by a lien. In these cases you will have to ask the court’s permission.
Under the IAEA, the personal administrator has the power to do the following, without the court’s approval or notifying the beneficiaries:
- Allow, pay, reject or contest any claim against the estate
- Sell listed securities
- Make repairs or improvements to estate property
- Sell perishable or depreciating property
- Accept a deed in lieu of foreclosure
- Pay taxes and expenses of administration
In most cases, if you want to buy an estate property for your own account, exchange estate property for your own, or pay your own claims against the estate, then you will have to obtain approval from the court.
Other actions are possible to take without the courts supervision in the case of selling or exchanging real estate. This is including borrowing and or investing funds.
Talk to Southern California probate attorney Scott Grossman about your situation and any questions you might have. Call us at (888) 443-6590 for your FREE 30-minute telephone consultation.