When someone passes away, their real estate does not automatically transfer to heirs. Instead, it typically goes through the probate process. In Texas, probate is required to legally transfer ownership, settle debts, and ensure the estate is distributed according to the deceased person’s will or Texas intestacy laws. Understanding how real estate is handled in probate is essential for executors, beneficiaries, and anyone dealing with inherited property.
How Real Estate Is Handled in Texas Probate
Real estate is considered part of the estate assets and must go through probate unless it was transferred before death or is jointly owned with rights of survivorship. The steps for handling real estate in probate include:
- Identifying Ownership and Title Status – The executor or personal representative must verify how the property was owned. If the deceased was the sole owner, the property must go through probate. If it was owned jointly with a right of survivorship, it may pass directly to the co-owner.
- Determining If Probate Is Necessary – Some estates may qualify for simplified procedures, such as a small estate affidavit or a transfer on death deed, which allows the property to bypass probate.
- Filing for Probate and Obtaining Legal Authority – The executor must file for probate and obtain Letters Testamentary or Letters of Administration from the court. These documents grant the legal authority to manage and transfer estate assets, including real estate.
- Settling Debts and Taxes – Before transferring or selling the property, the executor must ensure all debts, including mortgages, property taxes, and liens, are paid.
- Transferring Ownership or Selling the Property – Once debts are settled, the property can be distributed to heirs or sold if required. The new owner must update the deed to reflect the transfer.
Selling a House in Probate
A probate house sale may be necessary if the will directs the sale of real estate or if selling the home is needed to pay estate debts. The process involves:
- Court Approval (If Required) – In some cases, a court must approve the sale, particularly if there is a dispute among heirs.
- Listing the Property – The executor can hire a real estate agent experienced in probate sales.
- Selling the Property and Distributing Proceeds – Once the property is sold, proceeds are used to settle remaining debts, and the remainder is distributed to beneficiaries according to the will or Texas intestacy laws.
Transferring a House After Death
The method of transferring a house after death depends on how the property was owned and whether probate is required:
- With a Will and Probate – The executor follows the probate process and transfers the home to the designated heir(s) via a new deed.
- Without a Will (Intestate Succession) – The court will determine heirs under Texas intestate succession laws and issue a deed transferring ownership.
- Via a Transfer on Death Deed (TODD) – If the deceased had a valid TODD, the property automatically transfers to the named beneficiary without probate.
- Through Joint Tenancy or Community Property with Right of Survivorship – The surviving owner automatically inherits the deceased’s share.
Legal Considerations and Challenges in Real Estate Probate
Probate real estate transactions come with potential legal complications, including:
- Title Issues – If the title is unclear or disputed, a probate real estate attorney may need to resolve claims before the property can be transferred or sold.
- Disputes Among Heirs – Beneficiaries may disagree about selling or keeping the property, which can lead to legal challenges.
- Outstanding Liens and Debts – Any unpaid mortgages, property taxes, or liens must be cleared before the property can be transferred.
- Homestead Protections – Texas law provides certain protections for homestead properties, which may impact how real estate is handled in probate.
Handling real estate in Texas probate requires careful attention to legal requirements, title issues, and potential disputes. Executors and beneficiaries should be prepared to navigate the process, whether they are transferring ownership or selling a probate property. Consulting a probate real estate attorney can help ensure compliance with Texas law and avoid delays or legal complications. If you need assistance with probate and real estate matters, seeking legal advice can protect your interests and provide clarity on the best course of action. Request a consultation today.