Profile picture for d stephens

When the owner of a house dies and the house goes into default can the house be sold?

I want to know the owner of a house dies, can the the house be sold?Should'nt next of kin be notified if the the house loan goes into default? 

  • Question refers to 220 S Five Mile Rd, Boise, ID 83709
  • November 24 2009
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

 
 

Answers (2)

Great questions!

Keep in mind that everything is "sellable" including the house but the problem is you would not be able to get "clear title" based on the owner dying.  It is kind of like buying a used car and not being able to register it if it was stolen, then sold to you. If you paid cash, thought you bought it, and found out it wasn't theirs to sell, you have a legal battle on your hands.

If you get a mortgage to buy a home, they typically require obtaining Title Insurance to make sure their are problems (in this case, they need a copy of a will showing who the executor of the estate will be or if there was no will, it will have to go to probate to determine how to handle the estate).

As far as the second question, the mortgage company will never contact next of kin due to confidentiality issues.   I know of one case when a person co-signed on a loan for a family member, and the bank wouldn't even give them data since they were not the "primary" borrower.

I probably should have looked into buying that home contingent upon getting it rezoned commercial and used it for my Real Estate office but I like being a Virtual Real Estate company with no bricks and mortar offices (especially in this market)!

 
  • December 16 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

The estate can go into probate if there's no will.  Until the courts decide whose property it is, no one can sell it.

In the meantime, the family members can still pay the mortgage.  Believe me, the bank will take the money.
  • November 24 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.