Legal Question in Wills and Trusts in Michigan

mother died - house in probate w/debt

I am the person of authority on my mothers estate which is just the house. We (children) are trying to purchase the home (worth $250K, owe 100K in debt (mortgage, medical, credit card). We are being told by mortgage co. that the home must first clear probate, prior to taking on the loan. This does not make sense to me. We wish to purchase the home - use the loan to pay off the debt.


Asked on 9/04/08, 10:38 am

2 Answers from Attorneys
Lesley Hoenig Lesley A. Hoenig, Attorney at Law

Re: mother died - house in probate w/debt

If the house is in probate, you are going to have to go through the probate process. It is possible that a creditor would expect to be able to get paid with that much equity available in the house. If you don't already have one, you should consult a probate attorney to figure out how to get the house sold to you and your sibling. It is possible to sell assets of the estate through the probate process. The mortgage company just doesn't want to interfere with that process.

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Answered on 9/04/08, 10:45 am
Timothy Klisz Klisz Law Office, PLLC

Re: mother died - house in probate w/debt

This is a fairly simple matter. It depends on what kind of probate is in place and whether Court authority is needed to sell the real estate. If not, the mortgage company is simply wrong. If you are in SE Michigan, contact me at www.kliszlaw.com to discuss. Tim Klisz

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Answered on 9/04/08, 11:25 am


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