To begin with, let’s understood what a probate is. In simple terms, a probate is a court procedure for two things – first, an official approval of the will by court as the valid last will of the diseased and second, appointment of the person who will act as the executor of the diseased estate. Essentially a probate gives an executor the authority to act on behalf of the diseased.
Special subjects in your offer
The probability of hitting delays in the purchasing process in case of a probate is higher because the process in itself takes quite some time. So, when you make an offer on a home or a condo under probate, you will have all your usual subjects as a buyer such as inspection, financing and so on. Further, along with all this, you must also have a subject for the seller. One example of this is:
“Subject to the Seller receiving the following by _ (date)__:
“(1) a copy of a grant of probate or letters of administration that allow the Property to be sold; and
“(2) assurance that everyone entitled to claim under the Wills, Estates and Succession Act has waived or released their claims against the Property. This condition is for the sole benefit of the Seller.”
Now, just in case, the probate is not granted by the time you have reached the subject date, make sure that your offer does not collapse by adding an automatic extension of the subject. In this way, you are covered if probate has not been granted by your subject date and it will save you a lot of time and efforts, getting everyone sign an addendum.
It is also a good idea to add an additional clause for extending the closing date if probate is delayed. One example of this is: ““If probate has not been granted by the closing date, the closing date will automatically be extended to 15 business days after probate is granted.”
Typically, it is advised to make this subject to probate date two to three months away.
So, what next?
Once an accepted offer is handed to the party in charge of the probate, they will expedite the file and it goes from the bottom of the pile to the top at the lawyer’s office.
Once the buyer has removed these subjects the property is technically sold. This stands sold unless something unforeseen happens during the time the lawyers are granting probate. Until the executor removes their subject to probate, the listing will stay alive. This means that despite all the listing agent’s attempts to communicate that the property is technically sold, they will still be inundated with inquiries about the property.
So, when it comes to a probate sale, it is always a good idea to hire a real estate agent who has some experience in this area as there are many things that they would know that others would not necessarily understand or be able to execute.
As a Vancouver Real Estate Agent, Naz’s speciality includes homes for sale in the Vancouver Westside, Burnaby, North Vancouver, West Vancouver, and as well as condos in Downtown Vancouver.
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