Legal Question in Wills and Trusts in North Carolina
What happens after an estate is to sold and divided after a hearing?
1 Answer from Attorneys
I don't understand your question as phrased.
When a person dies, they either have a valid will or they don't. If they don't, then their probate assets will be distributed as per the state intestacy laws. Usually this is the spouse and children of the deceased. If there is a will, the assets are distributed as per the will.
A personal representative is appointed to oversee the process. Their job is to figure out what the deceased owned, what the decease owed, pay any just debts and then distribute what is left to the beneficiaries named in the will or the intestate heirs.
If there is enough money, all claims are paid and then the remainder is distributed. If there are not enough assets in the estate then claims are paid in order of priority and it may be that there is nothing left to distribute other than personal effects.
The probate process is only concerned with probate assets. Things like IRAs, life insurance or other beneficiary designated assets pass outside of probate to the named beneficiary. If no one is named, then the funds from these assets are paid into the estate for distribution as per the will or to the intestate heirs.
When a deceased owns real property, it depends on how it is owned if it is owned by another person. If a spouse or as a joint tenancy with right of survivorship, the land passes outside of probate to the survivior. If it is a tenancy in common or wholly owned by the decedent, then it passes as per the will to the beneficiary or via intestacy.
If the latter, then the personal representative has to see if the will provides anything about this in regard to a power of sale. If the will contains no power of sale clause then the personal representative must ask for permission to sell the real property if there is not enough money in the estate to pay the claims. If the land is sold. the personal representative uses whatever amount is needed to pay the claims and anything left over is returned to the beneficiaries/heirs who would have received the property.
Real property cannot be sold by the heirs/beneficiaries within 2 years of the date of death unless the personal representative joins in the sale. After 2 years, the heirs/beneficiaries can sell the land.
Once the claims are paid the personal representative is ready to distribute the estate as outlined above. He or she will get a receipt from the beneficiary/heir acknowledging that they received the property. The personal representative then files an accounting with the clerk who approves the accounting and discharges the personal representative from further duties.
That is the process in a nutshell and it is not intended to be comprehensive. Differing facts, if known, may cause my advice to change accordingly.
Try re-posting your question with clearer facts if this is not what you are looking for in answer to your question.