When a house is sold, does the beneficiary get that money or does it go into the Esatate Account ?

Question

Parents died, left 2 houses for two siblings to sell. If one of the houses sells first, does siblings get half of that after lawyer, realtor and exector get [paid, or does it go into the Estate Account? The will stated that the siblings get half of everything.

Answer 1

If siblings "get half of everything" and left the two houses to sell, then the houses should be sold, the proceeds to the estate, and the siblings each get half of everything. They might also agree to have the houses appraised at fair market value and then split the difference with other assets of the estate, so they do not have to actually sell the houses. In any case, the house "left" to an heir does not PASS to the heir (clear title) until the estate is settled (all taxes, liens, creditors, priority gifts are paid off). This is so the executor doesn't have to "take back" the house to cover the other expenses of the estate.

Answer 2

It should go into the estate account very briefly then be given to the heirs. The reason it goes to the estate account first is that any taxes that may be due must be paid before it is transfered to the heirs. Also, I don't know when the parents died, so there could be last expenses like the funeral or hospital bills that have to be paid. It is greater protection for the heirs to run the money through the estate account, but this should not sit in the account for very long. Don't be reluctant to push the executor for a quick accounting and disbursement of the funds.

Answer 3

When I represent a Buyer, I'm the one that writes all the checks. When the Seller is an Estate, I write that check to "x, Executor of the Estate of y".

I am not going to take responsibility for what the Will says will ultimately happen to that money. It's not my problem, it's not my authority, that's for the Executor.

The last thing in the world I want is for you to get half the money, and then your brother claims you should have only gotten 1/4 because you owe him money or the Will didn't say what you told me.

If I'm representing the Buyer, the money goes to the Estate first, no exceptions.

Answer 4

It depends on the will, but usually what happens there is executor that handles the details, when it houses sell, the money going the estate. When all the details are settled,the executor gives out the funds along the wishes of the decease

Answer 5

The money goes into the estate account. There is no beneficiary of real property. That term applies to life insurance, annuities and IRA's.

Answer 6

after the taxes bills and the rest have been paid, then what is left over, will be split