Posted to: Court and Auctions

Bidding On Probate Sale Overbids

Ok, so you put in an offer on a probate sale, along with another buyer, but you didn’t get the house.  The other offer is now headed to court for overbid and confirmation.  You still want the house.  Can you get it?

Know these facts:

1) Be sure a Notice of Sale was published by the Executor, the contents of which, are dictated by statute.
2) Before going to court be sure to know how high you will go.
3) Bring a cashier’s check in the total amount of 10% of the highest contemplated bid number.
4) Check with the executor to see if there are any other requirements.
5) Have financing lined up to be certain you can obtain a loan.
6) There can be no contingencies.
7) By law, the amount of the first overbid must be the amount of the original bid, plus at least 10% of the first $10k of the original bid, plus at least 5% of the amount of the original bid in excess of $10k.
Subsequent bids will be in incremements set by the judge.
9) Bidding can be done by you or by your agent.
10) When the bidding has stopped, the buyer, the executor for the estate, and an attorney will meet outside of the courtroom to discuss payment, deposit, and closing.