Probate Real Estate
Probate Real Estate – Who Wants to Live at Grandma’s?
By Buyincomeproperty.com
Nov 28, 2005, 17:38

The biggest problem with probate real estate is simply getting a good evaluation of the market value of the property. While an appraisal is generally accepted as the ultimate evaluation, there are some things you can do as you look over probate real estate properties and get a feel for the value.

The entire process of settling the estate of a person who has died is called probate. That process can be remarkably brief or incredibly drawn out. When there’s probate real estate involved, it often involves a set of heirs who are simply hoping for a quick sale. Often, children live out of town or even out of state, the property may have been sitting vacant, and there may even be the issue of years’ worth of “stuff” still stored at the house. It cal all be a hindrance to even the seasoned real estate investor’s effort to get an idea of the value of the probate real estate.

The first thing to realize is that your own prejudices and preferences will likely never surface so readily as when you’re dealing with probate real estate. Some of the probate real estate properties will be older homes with out of date furnishings, designs and color schemes. You’ll find incredibly unique things in probate real estate such as a telephone nook – things you may not even be familiar with. The key is to not judge the probate real estate value by only a few items that catch your attention or make you wonder why anyone would have thought this a good idea.

Just as in wholesale real estate or property that will be flipped, probate real estate is often used as investment property. As a real estate investor, you likely have practice looking past the flowered linoleum and the old-fashioned kitchen to see the bigger potential of the probate real estate. But that’s not all you need to do as you look at this type of property.

Retro has never been more in style than now, and that kitchen you’re envisioning as “gone” may actually be a real benefit as you seek to market the home. Check cabinets, flooring, plumbing and other major systems for rot, leaks and problems, but don’t automatically assume that you’re going to have to gut a 40-year-old kitchen and start over.

The bathroom is another area in which retro is a positive. Claw-footed tubs are in great demand and customers are paying top dollar to have these “dinosaurs” installed. If your probate real estate has been maintained well, there may be no major financial requirements in these areas.

There are some aspects of older homes typical of probate real estate that are less attractive. Single-paned windows are often drafty and may need to be replaced. Heating and air conditioning units may be outdated and less-than-efficient in your probate real estate.

At the end of the search, you may find that you’ve wasted your time on a particular probate real estate property, but you may also find that you’ve located a house that will be in immediate demand with nothing more than new flooring and a good cleaning. Just remember to use your common sense as you consider probate real estate.