No will equals possible mess!

[softy515]

Sure. As a general statement, the personal representative has a duty to maximize the value of the estate. There is some common sense applied to that general principle. Most personal representatives don't sign up for the job of voluntarily becoming a temporary landlord (as opposed to having to become one because the estate contains pre-existing rentals). But, it is fine to do so.

Be sure to have a tax pro familiar with estate income tax returns lined up.

Oh yes! For sure!

Can't way we prefer to become landlords and it will be a last resort. I actually just wanted to put my daughter in the house so that it wasn't vacant.

It is just an idea we are kicking around.

How about this:

We decide between the 3 of us to NOT sell the house. We manage to be able to pay off all bills without selling it. (Not sure that will be the case unfortunately but time will tell.) We decide to settle the estate, the house in all kids names and we rent it for a year or two in the hopes the market improves THEN selling the house.

Is that possible?

 

[anteater]

How about this:

We decide between the 3 of us to NOT sell the house. We manage to be able to pay off all bills without selling it. (Not sure that will be the case unfortunately but time will tell.) We decide to settle the estate, the house in all kids names and we rent it for a year or two in the hopes the market improves THEN selling the house.

Is that possible?

Sure. Since there is no will that gives explicit instructions about disposing of assets, an in-kind distribution of the net assets is acceptable.

Co-ownership has its perils. But, as long as the "team" is working out of the same playbook...

As I respond to most posts "about the market improving"... What is it that you know about the market that other market participants don't? Not saying that it won't improve. Not saying that it will improve. Only that it is uncertain.

 

[softy515]

What goes up, most go down? Markets fluctuate..... but no, I don't 'know' anything. Just assuming it can't get much worse and eventually will get better.

But oh yes, it COULD get worse. However, if we were renting at least we would have that income.

It's all a gamble in the end. Sigh.

 

[tranquility]

It's all a gamble in the end. Sigh.

No, it's not. Only when you play like you own the assets both legally and beneficially do the problems really arise.

Here you are thinking about what you should do. Most times, that will lead to a lawsuit against you and the co-administrator for breach of fiduciary duties.

You need expert advice.

 

[softy515]

Quick question, as we are inbetween attorneys.

My sister got a call from a credit card company my dad had a balance on. They are trying to offer a deal.... pay now and we will knock so much off. Pay now meaning by 3 today.

First attorney did say to only pay bills related to the estate like utilities, taxes, upkeep and insurance.

We are meeting with what will hopefully be our attorney next week so I don't really have one to consult at the moment.

Should we take the deal or make them wait?

Thanks all!

 

[tranquility]

Who knows?

Is it a valid debt? Would payment favor this creditor over others? Would a payment reopen SOL?

As a professional fiduciary, the answer is easy. Just put it in the pile with the other notified creditors and don't start dealing with anyone until you start dealing with everyone.

To someone who may get a benefit from things, the answer is harder. Even if something is a really good idea, without professional guidance you are at risk of a fiduciary breach.

 

[softy515]

I am sorry, what is SOL?

 

[anteater]

I am sorry, what is SOL?

Statute of limitations.

But, unless this is a credit card that your father had not been paying for quite a bit, SOL probably does not apply.

Perhaps, I am a bit less cautious than Tranq. But, if I were absolutely certain that there are sufficient assets to satisfy all possible creditors and this creditor is willing to provide a written statement that the obligation is considered satisfied, I'd probably go for it.

But, I would also bet that some sort of "deal" will be available in a couple weeks. After all, one of the first principles of sales is to create a sense of urgency in the prospect. And that is what the collector is doing.

 

[tranquility]

Perhaps, I am a bit less cautious than Tranq

Remember, this is an intestate succession where:

In steps brother (who has been banned from the properties per my Dad's written noticed hung on the property. Long story short, brother has stole from Dad on and off for years!). Brother wants access to the house now. He claims we are breaking the law but not giving him keys.

I'd bet money is going to be in litigation.

But, I would also bet that some sort of "deal" will be available in a couple weeks.

Which would certainly be an argument for fiduciary breach (for the payment) if professional advice was not sought first.

 

[softy515]

Statute of limitations.

But, unless this is a credit card that your father had not been paying for quite a bit, SOL probably does not apply.

Perhaps, I am a bit less cautious than Tranq. But, if I were absolutely certain that there are sufficient assets to satisfy all possible creditors and this creditor is willing to provide a written statement that the obligation is considered satisfied, I'd probably go for it.

But, I would also bet that some sort of "deal" will be available in a couple weeks. After all, one of the first principles of sales is to create a sense of urgency in the prospect. And that is what the collector is doing.

Thanks anteater,

We still don't have a full picture of debts but I highly doubt they will exceed the sale of the home. Worse case scenerio would be some of the proceeds of the forth property would be available for debts.

I also believe this deal will be available, maybe even a better one. And by then we will have an attorney to discuss this matter with.

However, everyone's answers helped us decide to say no at the moment.

 

[softy515]

Would it be to my benefit to consult an attorney on my own? The reason being is that my siblings don't seem to be taking this process serious. It is almost as though they think as long as we all agree to things nothing else matters. But many here have opened my eyes and while I try to explain it, it falls on deaf ears.

As you all know, this probate process has BARELY gone anywhere. Got an attorney, we thought but then he bailed. All that is done at this point is we got appointed as representatives of the estate and we got our 'letters' and opened a bank account.

We have been selling minor things and putting the money into the estate account, tracking everything.

But then without my knowledge my sibling put a for sale sign at the house and are planning to show it. Outside the fact the house is trashed..... can we even do this?

If I should see an attorney to protect ME, I will. I don't want to end up getting into trouble. The attorney we are meeting with Monday is just going to 'guide us' and to be honest, I am not feeling so confident with that arrangement either.

 

[tranquility]

Hmm...it seems like there is a problem with having more than one administrator. If only someone could have warned the OP.

As to the attorney, I think the estate's attorney will be fine. At some point, if you can't control the other administrator or trust what she does, you may need another for yourself. But for right now, having the estate pay for one probably won't hurt you.

 

[anteater]

Hmm...it seems like there is a problem with having more than one administrator. If only someone could have warned the OP.

Stop gloating, Tranq. It's unseemly. (Besides, I get to call, "First!)

At some point, if you can't control the other administrator or trust what she does...

Who says that it is the "she sibling?" Maybe it is the maverick sibling that put up the For Sale sign. And, it was only recently that everybody was on the same team working from the same playbook. (Sorry, softy, I could not stop myself.)

Outside the fact the house is trashed..... can we even do this?

Sell the house? Sure. You have your letters of administration. The court is not going to butt in unless some interested party gets ticked and runs to the judge. And the judge is likely to say, "What's your problem, dude? I gave softy those letters for a reason. Stop bothering me. I have a tee time coming up."

 

[softy515]

Well, I will just leave you wondering which sibling it was. though it hardly matters.

I am paranoid. I am cautious. It must be that "fiduciary breach" word being thrown around. But thanks for answering my question in regards to selling the house.

 

[softy515]

PS. We are still on the same play book..... get this finished as quickly as possible!

But I also want to do it correctly.