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When a buyer makes an offer on a Mountain View, or any Silicon Valley Short Sale they ocassionally want to purchase some of the furniture in the house.  Sometimes there is a couch that fits perfectly in the family room, or a dining room table that is too big for the seller's new house and they want to sell it. It's ok to do that, right?

NO NO NO NO NO!!!!!!!

Should I say it again?  Ok, NO DO NOT DO IT!!!!!

Here is why.  The seller is not allowed to have any gain from the sale of the home.  The bank gets all the money from the buyer in exchange for allowing the loan to be written down so the seller can get out of his/her obligation. If the seller sells furniture to the buyer it can be considered by the bank to mean that the seller has received money from the buyer. So, if the buyer wants a big table they will have to go to Ikea and buy one.  If the seller does not want a couch, put it on Craigslist, but do not sell personal property to the buyer.

If you have any questions about short sales in Santa Clara or San Mateo counties, please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcyoyer.com

650-619-9285

D.R.E. 01191194

Federal Government Disclaimer (MARS): 1. You may stop doing business with us at any time. You may accept or reject the offer of mortgage assistance we obtain from your lender [or servicer]. If you reject the offer, you do not have to pay us. If you accept the offer, you will have to pay us commission as agreed to in listing contract for our services.
2. Marcy Moyer of Keller Williams Realty is not associated with the government, and our service is not approved by the government or your lender; and 
3. Even if you accept this offer and use our service, your lender may not agree to change your loan.

How is a Mountain View Probate Sale Different From a Regular Sale

A probate sale is not the same as a regular sale,  but unless court confirmation is required the differences are not that great. It is a world away from a short sale or foreclosure.

In a probate sale, the owner of a property has passed away and the home is being sold to settle an estate.  The owner may have had a will, or may not have had a will, but definitely did not put the house in personal or family trust.  The seller of the house is the personal representative of the deceased and is charged with disposing of the assets of the estate to be distributed to the heirs.  The personal representative can be anyone the owner requested if their was a will, a child or other relative, a trust department from a bank, a professional like a lawyer or accountant, or  a Public Administrator. This person must be appointed by the court and will get his or her authority from the probate court. 

The personal representative can request full authority to sell the estate, meaning they do not have to get the offer confirmed by the probate court or in certain circumstances they do not have full authority and must have any offer confirmed by the probate court and leave open the possibility of over bids to the original offer.

Certain rules apply:

1. The house is sold “As Is”
2. Disclosures are limited.  You will not be given a transfer disclosure statement, a seller’s supplemental disclosure, an earthquake hazard report, or a signed Natural Hazard Disclosure. You will be given the report, but the successor trustee does not have to sign it.
3. The water heater needs to be strapped but there is no smoke detector requirement for a trust house.
4. If the Personal Representative has information about the house they have to give it to you, but they may not know much.  For example, if the Personal Representative is a child of the owner and was involved in repairs on the house they will need to disclose that.
5. All heirs to the estate are given a Notice of Proposed Action to sell the home.  If this is not done until after an offer is accepted by the successor trustee then they have 45 days to return the notice or any objections, so escrow can not close before then. 
6. If the offer needs court confirmation then things can get tricky.  After an offer is accepted the court sets a confirmation date and a minimum over bid amount.  On that day another potential buyer can purchase the house if they offer the amount of the overbid or higher and the first buyer does not want to offer more.  At that point the subsequent buyer can not have any contingencies and must accept the house the way it is.

If you have any questions about buying or selling a home in a trust please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E.  01191194

California has a lot of disclosure laws for the protection of all parties in a real estate transaction, particularly buyers. There are buyers who do not want to buy a home where there has been a death on the property, and there is a disclosure obligation to disclose if there has been a death in recent years.  This works very well if the seller has to fill out the Seller's Supplemental Disclosure or The Seller's Property Questionnaire and Supplemental and Contractual Disclosure forms. But many trust properties are exempt from those disclosures, and many of those properties would be more likely to have had a recent death.  So what do you do if you want to know if there has been a death on a Mountain View home that is exempt from seller's disclosures?

The answer is really simple, ASK THE SELLER.  What you have to do is for you or your agent to ask the seller's agent to ask the seller directly if the owner died in the house.  While the trustee or executor does not have to fill out the written disclosure asking about a death, they do have to answer honestly. Trust me, the person selling the house will know.

The trust advisory that the buyer is supposed to sign when they make an offer tells you to do that. It says "If the Property is being sold because of the death of an occupant of the Property, and if Buyer has concerns about the manner, location, or details of the death, then Buyer should direct any specific questions to the seller."

So if you are concerned, ask.

If you have any questions about buyer or selling a property in Trust or Probate anywhere in San Mateo or Santa Clara Counties, please fell free to ask me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

650-619-9285

marcy@marcymoyer.com

DRE  01191194