Estate questions.

[looney2ns]

I realize I'm asking this on the internet. I have no expectations of any lawyers giving me specific legal advice. But any info is greatly appreciated.

Friend of ours mom passed a way. No will, left a house with a mortgage on it. No other family members names on the deed.

What happens to the house? Kin isn't responsible for the loan as long as they didn't co-sign, correct?

Lady was a hoarder in a way, QVC's fault.

Basement is full of items that have never been opened.

Lots of other stuff through out the house.

Our friend is the last one in the family tree, has no money, mom didn't leave any money.
Can't afford to take off work to deal with much hands on issue's such as clearing out the house.

What is the friends obligations at this point? How quickly must any issue's be resolved?

I'm thinking an estate auction is a viable option.

Thoughts?

 

[ziggy]

Your friend could petition the court to be named as 'personal representative' of the estate. Even then your friend has no responsibility for the mortgage. That problem belongs to the bank. The family should get together and divvy up the personal property, hopefully in an amicable way. If that won't be happening, then maybe just wait for someone else to be named as P.R. Is there equity in the house? Is the stuff inside just junk or valuable items? Oldest child or the one living nearest should probably ask to be named as PR. Will $ in the bank cover final expenses? Are there other debts? Lots more questions than answers here.
If all else fails, hire an attorney. But remember, there may not be onough in the estate to pay the attorney, so tread carefully.
Just some random thoughts for you to consider...

 

[Tactically Fat]

In short, the home will be sold (in some manner) and the lein holder will have dibs on the monies.

All the "junk" will probably be sold either via garage sale, ebay, or auction. Auctions are a rip off unless A) it's well advertised and B) there are items that people actually want.

Went through this over the last 3 years with my mother-in-law's estate.

 

[david890]

\What is the friends obligations at this point? How quickly must any issue's be resolved?

I'm thinking an estate auction is a viable option.

IANAL, but without a will, it will be up to a court to assign an Executor. If your friend can't take time off work, don't petition to become the Executor.

Is the equity in the house worth the cost of cleaning the house and disposing of all the stuff? Talk to the bank for the equity issue. If not, let the bank deal with it. Hiring an auctioneer will be expensive, and if there aren't enough "quality" items in the stuff, a pro likely won't want to deal with it.

What is the general condition of the house? Roof good? Gutters good? Any moisture in the basement? Hoarding can hide a lot of problems, including mold, water infiltration, pests, etc. I've watched "Hoarders" on TV, and in one case, when a room was cleared, they found an exterior wall had rotted completely at the base of the wall; you could see into the yard. At that point, the city just condemned the building. So, your friend probably can't get an accurate value on the house without clearing it out, and that might cost more than the value of the house. Catch-22.

See if your friend can call in a city health inspector; they should do it for free (that's their job, after all), s/he will know what to look for (mold, termites, roaches, etc.) and will likely have experience with other hoarding situations. They may not be able (legally) to give your friend a valuation on the property (look to tax records for that), but they should be able to give your friend a rough "worth it/not worth it" answer.

 

[Informed Decision]

By some chance there may have been a clause written in to the house loan something about the loan is paid in the event of death? If so then survivorship then owns the house free & clear with all the contents. Might be something to check in to.