Do you have questions about selling a home or real estate in a Minnesota Probate?  Read on for answers.

Selling a Home or Real Estate in a Minnesota Probate

This post will examine a number of issues and problems which may arise from the sale of real estate by a personal representative and their attorney.  There are special circumstances surrounding the management, sale, and distribution of real estate in a Minnesota probate.  At times, the sale or real estate in a probate can be tricky.

Powers of a Personal Representative to Sell Real Property

To begin, it is important to keep in mind that Minnesota law provides detailed guidance on the sale of a home or other real property in a probate.  Specifically, Minnesota statutes provide the personal representative of an estate broad powers over real estate.  The applicable statutes are in section 524.3-715.  Some of the most important powers include:

• the power to gather and invest the real estate
• the power to make any necessary repairs to the real estate
• the power to subdivide and develop real estate
• the power to sells, mortgage, or lease the real estate
• the power to execute deeds and other documents of conveyance

Finally, a personal representative can enter a lease which may exceed the anticipated length of the probate estate.  Clearly, Minnesota law grants a personal representative extensive powers over Minnesota real estate in a probate estate.

Management of the Real Estate

If a deceased person had an interest in a home or other real estate – be it in Minnesota or elsewhere – a personal representative must think about many issues when the probate begins.

A personal representative, and their attorney, should be concerned about proper liability and/or casualty insurance on the property.  Obviously, it is extremely important that a home or other real estate is insured.  Often the insurance on a home may lapse at death.  Or, there may be contractual obligations which must be taken care of quickly upon death.  One simple example is the failure to make premium payments which often results in a lapse of insurance coverage.

Another concern of the estate will be the mortgage on the home or other security agreement.  Obviously, if the real estate has a mortgage on it, the personal representative needs to be concerned about how it will be paid so that it does not go into foreclosure.    Furthermore, many companies are concerned about vacant properties and what to do about them.  Much like a mortgage on a parcel of real property, the personal representative should be concerned about property taxes and other costs like leases .

If you or someone you know has questions about selling a home or real estate in a Minnesota probate, please contact Joseph M. Flanders at Flanders Law Firm LLC.

Free Initial Consultations

Questions about first time personal representative duties?  Contact the Flanders Law Firm today.  The firm offers free consultations to all potential clients and Dakota County probates.  Call (612) 424-0398.

Do you have questions about starting an informal probate in Minnesota?  Read on.

An informal probate proceeding starts when an “application” is filed with the appropriate probate registrar in the county of venue.  What does that mean?

In essence, the proper venue is a the place where the deceased person (decedent) lived permanently at the time of his or her death.  There is a question of interpretation of the term “permanent”.  If you have questions, a MN probate lawyer should be consulted.

Starting an Informal Probate in Minnesota

The application must contain certain information.  The required information is set forth in Minnesota Statutes, section 524.3-+301, the MN probate court rules, and the local county level rules.

The probate application must be accurate in its details.  This is because the information in the application is the basis for all subsequent finding made by the registrar.  Once the application is signed by the personal representative of the estate, the attorney and the personal representative can set up a meeting with the county registrar.  Whether a meeting is required is up to the county and registrar.  Check your local rules to see what is required in your county.  Sometimes the hearing may only be a telephone call with the registrar.

Items which need to be in the Probate Application

Some of the major items that must be in the probate application include:

• The decedent’s full legal name, any prior names
• The decedent’s date of birth and date of death
• The personal information of the personal representative
• An explanation of why venue is proper in that particular county
• An explanation of whether a Will existed or whether the decedent died intestate
• A list of the “interested parties” or the heirs and creditors of the estate
• Whether the will requires a bond
• Whether the will requires a formal or informal personal representative
• Whether there are any complications with the heirs
• Whether there are any complications with the Will
• An identification of the property and debts of the estate
• Other information

There is no right or wrong answer to exactly what has to be in a probate application in Minnesota.  However, a probate attorney should be consulted to make sure all the requirements are met. Every case is different and different laws apply to different facts.

Appearances of Counsel

Appearance requirements also vary from county to county for informal probates.  In many counties, the application may be filed by mail and no appearance is necessary.  In other counties, a formal attorney appearance may be required.  Sometimes a mail filing is sufficient; however, many counties are now requiring e-filing.

If you have questions about your county, contacting the probate registrar’s office is a good idea.  The probate registrar’s office may be able to provide the local probate rules to you.

Meeting with the Probate Registrar

After the application is filed and accepted, a meeting with the probate registrar should be scheduled.  The attorney and personal representative should bring the application and the will, as well as any other supporting documentation.  The attorney should also be sure to bring the personal representative’s acceptance of appointment and oath.  This is an important document because it provides the basis for the personal representative’s fiduciary duty to the rest of the heirs.

Once the meeting with the probate registrar is over, the registrar will either approve the application or ask the estate to re-file as a formal administration.  Whether a formal administration is required is a subject of another post.  As always, for questions on starting an informal probate in Minnesota, an attorney should be consulted.

Free Initial Consultations

Questions about starting am informal probate in Minnesota?  Contact the Flanders Law Firm today.  The firm offers free consultations to all potential clients.  Call (612) 424-0398.

Starting a Minnesota probate estate usually means filing a “Petition” or “Application” with the district court located in the county of the deceased person’s (decedent’s) last known address.  Attorneys call this “venue”.

Whether a Probate Petition or Application should be used depends on the nature of the estate.  For question on this issue, a probate lawyer should be consulted.

Minnesota Probate | Choosing Informal or Formal

Basically, if problems or issues may arise from the estate administration, a formal probate is usually the best option.  This means that the personal representative’s actions will always be approved by the court.  This protects the heirs because the court is supervising the personal representative.  This protects the personal representative because the court will approve their decisions without fighting or back-biting from angry heirs or siblings.

Below are common issues which the law firm has seen created by heirs in starting a Minnesota probate estate:

• Distributions will be made to a minor heir or devisee (person who receives money from the estate)
• There may be confusion about the identity of heirs
• The whereabouts of heirs is unknown
• There is a possible issue with the state due to lack of heirs
• There may be an inaccurate description of the heirs.
• There may be illegitimate children of the decedent
• The requirements of the Will cannot be satisfied and the personal representative needs court approval
• There are existing disputes among the heirs and the personal representative
• An heir or devisee caused the decedent’s death

Starting a Minnesota Probate Estate | Problems with the Will

Furthermore, common issues that arise which create the need for a starting a formal estate include:

• A problem with the Will
• The original Will is lost
• There are handwritten changes to the Will
• A separate writing is listed in the Will but cannot be found
• The court cannot understand the Will
• There is a need for a will construction due to an confusion or mistake in the Will
• The Will does not contain a residue clause
• The Will fails to nominate a personal representative

Real Estate in the Initial Probate

If the probate proceeding includes real estate, the real estate (home or otherwise) will need to be included.  This means finding the legal description and deed containing the last known ownership interest on the real property.  This can be found at the county recorders office in the county where the decedent lived or where the real estate is located.

Also, keep in mind that if the real estate will not be sold during the probate, a personal representative will likely want to proceed in a formal administration.  This is because many county recorders offices will not recognize a probate registrar’s determination of the heirs, which may cause the title to be unmarketable when it is later transferred to another party.  If, however, the intent is to sell the property during the administration, or if the will includes a specific person who will get the home or real estate, in most cases, a personal representative can proceed in an informal probate.

In all cases, if you have questions about how to deal with real estate in a probate, a lawyer must be consulted.  Failure to properly title and transfer real estate is one of the most common reasons for personal representative liability for negligence in handling the estate.

Insolvent Estates in a MN Probate

An insolvent estate is one which has more debt than assets.  In other words, the deceased person owed more money to people than they actually have in their estate.

Having an insolvent estate is one prime reason to start a formal proceeding.  This means that the personal representative and the lawyer will be responsible for, essentially, cleaning up the estate, paying bills, and then filing a closing statement with the court.  It is easy to understand how people or companies might be made when they do not get paid what they feel they are owed.  However, this is often the job of the probate estate.  The personal representative and the attorney should be very careful in this situation.  Finally, again, court supervision of the probate estate is ideal.

Free Initial Consultations

Questions about starting a Minnesota Probate?  Contact the Flanders Law Firm today.  The firm offers free consultations to all potential clients.  Call (612) 424-0398.