Legal Question in Wills and Trusts in New York

Re: probate

No. The estate would be responsible for the debt.

Mike.

Re: probate

The loan never becomes a personal obligation of any family member. The loan is an encumbrance on the property and must be paid out of the proceeds if the property is sold. If the property is not sold and the loan is not paid, then the holder of the loan can foreclose the mortgage and cause the property to be sold.

Re: probate

First place to look is the Will itself, to see what it says about payment of debts and, in particular, what it may say about this mortgage. While the estate itself is usually responsible for payment of all debts, and the Will should have covered this, the debt is a lien on the property, and does not become a personal obligation of whomever inherits the property. Part of your problem, if the Will is not clear on whom the obligation to repay the debt falls, is determining what grandpa intended; i.e., if the estate should be responsible, or if those who inherited the property are responsible. More information is required, including a review of the language of the Will, to provide you with a complete answer. There is no question that if the property is sold, the mortgage needs to be paid to provide clear title.