Before You List the House

A short guide for personal representatives.

 

You have been put in charge of an estate. There is a house in it. Here is what to do, and in what order.

 

Keep this. You’ll use it more than once.

 

Do these five things this month

1. Call the insurance company

This is the one people miss, and it’s the one that can cost the most.

 

Most home insurance policies stop covering a house once nobody lives in it — often after 30 or 60 days. Nobody calls to tell you. You find out after a fire or a burst pipe.

 

Call the carrier. Say the owner died and the house is empty. Ask what you need to do to keep coverage. You may need a vacant home policy, which usually costs more, not less.

2. Leave the power and water on

It’s tempting to shut them off to save money. Don’t.

 

In our climate, a house without air conditioning quickly develops mold. A house with no heat can freeze pipes. Fixing either costs far more than the bill you saved. You’ll also need working utilities for showings later.

3. Secure the house

Change the locks, or at least find out who has keys. Bring in the mail. Keep the yard cut. A house that looks empty attracts problems.

4. Get a date-of-death value — in writing

This is what the house was worth on the day the person died. Not today’s price. Not the county tax assessment.

 

You will likely need this for taxes, and it usually saves the family a great deal of money. It’s much easier to establish now than in two years.

5. Order extra death certificates

Get six to ten certified copies. Every bank and office wants its own. Photocopies usually won’t work.

 

Then ask your attorney these four questions

Write the answers down. Everything else depends on them.

 

  1. Does the will let me sell the house? Some wills give the personal representative the power to sell. Some don’t. If yours doesn’t, there’s an extra court step first — and you need to know that before you talk to a buyer.

 

  1. Which court handles this estate? It’s the county where the person lived, not where the house is. This surprises almost everyone.

 

  1. Should the estate sell the house, or should it be signed over to the heirs first? Two different paths. One means you sign. The other means every heir signs. With one or two heirs, either can work. With six heirs in four states, the difference is enormous.

 

  1. When can money actually be paid out? Usually not right away. People who were owed money get eight months to come forward. If you pay the family early and a real debt arises afterward, you can be held personally responsible for it.

 

Things you can start right now, without waiting on the court

This is the part most families don’t realize, and it’s where months of savings are made.

 

You do not need court permission to:

 

  • Clean out the house
  • Get the house valued
  • Get contractor estimates
  • Keep insurance and utilities current
  • Cut the grass and maintain the property
  • Talk with the family about what everyone wants
  • Talk to a realtor about what the house is worth

 

Do all of that while the legal paperwork moves. Families who run both at once finish months earlier than families who wait.

 

About fixing it up

Do less than you think.

 

Big remodels almost never pay off on an estate house. You rarely get the money back; it takes months, and the estate pays taxes, insurance, and utilities throughout.

 

Worth doing: empty it out, clean it thoroughly, address any odors, cut the yard, and fix anything unsafe or anything that would prevent a buyer’s loan from being approved.

 

Usually not worth doing: new kitchen, new bathroom, new windows, landscaping projects, anything you’d do for taste.

 

Before spending anything, have someone who sells houses in that specific neighborhood walk through and tell you what actually drives prices there.

 

If you get a cash offer in the mail

You will. Empty houses attract postcards.

 

Some of these companies are legitimate. The offers are almost always well below market value — that’s their business model, not necessarily a scam.

 

Sometimes taking one is the right choice for a family. But find out what the house is actually worth first, so you’re choosing, not guessing.

 

Before you sign anything:

 

  • Let your attorney read it. If a buyer won’t allow that, walk away.
  • Ask for proof of funds
  • Ask whether they’re the real buyer or plan to sell the contract to someone else
  • Ask what happens if they cancel after inspection
  • Make sure you actually have the authority to sell yet. Some buyers push families to sign before that’s true.

 

Talk to the family early

Have this conversation in month one, while things are calm — not in month seven.

 

  • Does anyone want to keep the house?
  • Can that person actually get a loan to buy out the others?
  • If we sell, is everyone agreed?
  • Who is handling what?

 

Most family fights over an inherited house are really fights about a guess. When everyone is looking at the same real number from a neutral source, they usually get smaller.

 

Do not do these

  • Don’t pay estate bills out of your own pocket before asking your attorney
  • Don’t hand out belongings before asking, especially anything valuable
  • Don’t let the insurance lapse
  • Don’t shut off the utilities
  • Don’t sign anything a buyer hands you without your attorney seeing it
  • Don’t promise any heir anything until you know what’s possible

 

Your attorney vs. your realtor

Your attorney handles: who has authority, what the will means, court filings, deeds, who inherits, and what order debts get paid.

 

Your realtor handles: what the house is worth, what’s worth fixing, getting it cleaned out, marketing, negotiating, and getting to closing.

 

If your realtor starts answering legal questions, that’s a bad sign. A good one sends you back to your attorney.

 

Your attorney [FIRM NAME] [ADDRESS] · [PHONE]

 

Your real estate contact: Jim Mills, CRS, SRES, ABR, GRI The Mills Team — NextHome The Agency Group 843-830-3800 112 West Doty Ave, Suite C, Summerville, SC 29483 SC Real Estate License #98112

 

No charge and no obligation to ask questions. Most of the families Jim helps aren’t ready to sell when they first call.

 

← Back to Resources for probate counsel

 

Jim Mills is a licensed South Carolina real estate agent, not an attorney, a CPA, or an insurance agent. This handout is general information only. It is not legal, tax, or insurance advice, and it does not replace the advice of your attorney. Confirm your insurance coverage with your own carrier. Every estate is different — follow your attorney’s instructions over anything on this page.