What's a Certified Probate Real Estate Specialist?

When someone dies without a plan in place for their assets it can trigger probate. During this court-supervised process, the deceased’s estate must address outstanding obligations before it can transfer property to beneficiaries. When real estate becomes part of that process, an agent familiar with probate procedures can assist with the sale.

A financial advisor can assess the financial implications of inherited assets and incorporate them into your broader financial plans.

What Is a Certified Probate Real Estate Specialist?

A certified probate real estate specialist, or CPRES, has received additional education related to property transactions involving probate. Their training helps prepare them for issues that can arise when real estate belongs to a deceased person’s estate.

CPRES professionals are well-versed in handling real estate assets that have wound up passing through probate. They also have extensive knowledge of:

They are a valuable – and often necessary – partner when selling a property that’s in probate.

What a Certified Probate Real Estate Specialist Does

Probate property sales can involve deadlines, filings and other requirements that do not arise in a typical real estate transaction. A CPRES has additional training focused on real estate transactions involving probate. The designation can be useful when a sale involves estate-specific procedures, documentation or deadlines. However, the agent does not replace the estate’s attorney or personal representative.

A CPRES can also connect the estate with inspectors, appraisers, contractors and other specialists. Their work can help establish the property’s condition and value. They can also identify any additional work needed before agents list the property.

When the property is ready for sale, the agent can handle the usual real estate responsibilities. This includes listing the home, communicating with prospective buyers, negotiating offers, and assisting with escrow. Probate-related requirements still depend on state law and the authority granted to the estate’s personal representative.

A CPRES may also serve as a point of contact for the people involved in the real estate transaction. This helps a lot when several beneficiaries have an interest in the property.

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Why You’d Need a Certified Probate Real Estate Specialist

Elderly man works with his real estate agent.

There are a few ways to avoid probate. However, all of them will need to have been established before the death of your loved one. To avoid property passing through probate, the owner can:

Establish a living trust, which holds and distributes the assets upon the owner’s death.
Own a property that is considered community property with a spouse. This allows it to pass automatically to the remaining spouse upon death.
Utilize a joint tenancy with right of survivorship. This allows for shared ownership between two or more people and passes the asset to the remaining owners upon death.

Whether real estate must go through probate depends on factors such as how the property is titled, applicable state law and whether another arrangement transfers ownership outside the estate.

An estate may have to sell property to raise cash for outstanding obligations or to divide value among beneficiaries. When it comes to selling property – whether their primary home, rental house(s) or other real estate assets – an everyday real estate agent might not have the knowledge necessary to help you navigate the complicated probate process.dge necessary to help you navigate the complicated probate process.

Financial Steps to Take Before Selling Probate Property

Before listing the property, identify who has legal authority to act for the estate and whether the sale requires additional approval. The answer can depend on the will, the authority given to the executor or administrator, and state probate law. In some states and circumstances, a personal representative can sell without separate court authorization, while other sales require court involvement.

Next, calculate what the estate is likely to receive after the sale rather than focusing only on the listing price. Account for any mortgage or liens on the property, repairs, maintenance, insurance, real estate commissions, legal expenses and other costs associated with the transaction. You want to keep enough cash in the estate for debts and administration expenses before distributing anything to beneficiaries.

Consider getting an appraisal or other valuations before accepting any offers, particularly when it involves several beneficiaries. The personal representative should also confirm with the estate attorney how they can use the sale proceeds and when they can make distributions. State probate rules can affect both of these things.

Keep records of the property’s value, expenses and sale proceeds for the estate’s accounting and tax records. A financial advisor and tax professional can help evaluate how the proceeds fit into the estate’s finances and the beneficiaries’ broader financial plans.

Bottom Line

Notary seal and gavel on top of a law book.

A certified probate real estate specialist can help an estate market and sell any property involved in probate. The designation indicates they have additional training related to probate real estate transactions, but ultimately the executor or administrator remains responsible for the estate. The estate may also need an attorney for legal advice. Before selling, confirm who has authority to act, determine whether court approval applies in your state and estimate the estate’s net proceeds after debts and transaction costs.

Tips for Using a Certified Probate Real Estate Specialist

Consider working with a financial advisor if you have property assets that must pass through probate court. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Participating in the probate sale of a residence requires a clear understanding of how much you can afford to spend. A free calculator will give you a quick estimate of what is possible given your resources.