Inherited home in Las Vegas, Nevada
The first thing you have to know when interested in buying an inherited home while in probate is the sale can be performed but you have to be patient and follow certain rules.But first things first. Let’s understand first what probate is and how it works in Nevada. Probate is the process whereby a probate court settles an estate. The purpose of probate is to prevent fraud or an unjust distribution of the estate among heirs, after someone's death. There are two scenarios here:
- If there is a will, the probate court should determine if the document is permissible to probate and given legal effect
- If there is no will, (the person dies intestate), the probate court appoints a Personal Representative, usually the surviving spouse or an adult child, responsible to distribute the decedent’s property based on hereditary succession and more precisely according to the laws of Descent and Distribution. The court gives the appointed Personal Representative the legal authority to inventory and gathers the assets owned by the estate, evaluate them, pay the bills, creditors and taxes unpaid and then distribute the assets or the proceeds to the heirs/beneficiaries.
Gross Value of the Estate including the inherited home
- You can use an affidavit procedure, if the gross value of the estate doesn’t exceed $100,000 and if there is no Nevada real property, in case of the spouse. For all the other heirs/beneficiaries the gross value drops to $25,000. Calculate gross value without deducting the mortgage or other liens.
- Summary probate, if the gross value of the estate doesn’t exceed $200,000, with the court approval
- Full probate if the estate exceeds $200,000.
Nevada probate procedure requires:
- Within 30 days of the death, the Will, if one exists, must be on file in the same county where the decedent lived.
- Petition for Probate must be also filed to request the appointment of an executor. If there is no Will, the Court will appoint a Personal Representative of the estate.
- Court will require a notice to be given to all heirs/beneficiaries and an announcement to be published in a newspaper (where the decedent lived) to let potential creditors learn about the proceedings. There is a three months window for a creditor to make a claim.
- Via a "Letters Testamentary" the court will give to the executor/Personal Representative the legal authority to act on behalf of the estate.
- An inventory of all estate's assets (including the inherited home) must be performed and filed with the court
- After the executor pays all creditor & taxes, they may file a Petition to close the probate with the court.
- The Court, at its turn, will issue an Order, distributing the estate's property to the heirs/beneficiaries.