How to Have an Estate Sale in NYC: https://www.hauseit.com/how-to-have-an-estate-sale-nyc/
List with a Full Service Agent for 1%: https://www.hauseit.com/agent-managed-listing/
Your loved one has passed away and has left behind property. What do you do next after you’ve gotten a death certificate?
Who Is the Authorized Signatory for Estate Sales?
Anyone over 18 can sign binding documents on their own behalf. But what about the recently deceased? It’s important to understand who the authorized signatory of an estate is before proceeding with an estate sale.
Who’s the Executor of the Estate?
The authorized signatory for a recently deceased individual’s estate will vary depending on whether a will exists.
If a will exists and is deemed authentic, then the person appointed in the will to handle the estate becomes the executor of the estate. The executor of the estate is the authorized signatory of an estate when a will exists.
If a will does not exist, then the deceased individual is classified as having died intestate. In this case, the court will appoint an administrator who will become the authorized signatory of an estate.
Do You Need an Original Will for an Estate Sale?
No. If an attorney has seen the original will, they can authenticate and vouch for a copy of the original will.
Release Both Federal and NY Estate Tax Liens Before Closing
Remember to request a release of lien from the NY State Department of Finance well in advance of your closing.
Buyers will need to make sure liens are released for both federal and NY estate tax or else the buyer could be stuck with any estate tax owed.
When Should an Estate Sale Happen?
An estate sale should happen as soon as possible after death. If real estate is sold within one year of death, the IRS typically assumes the sale price is the full market value for the calculation of the estate tax.
If the property is sold more than a year after death, an appraisal will need to be done to establish the value at the time of death. This is called a date of death appraisal.
Taxable Estate vs Probate Estate
Probate is the public legal process of distributing a decedent’s assets to heirs and designated beneficiaries and paying off any debt in accordance to a decedent’s will, or according to state law if there isn’t a will.
Because probate is a public process, it can be challenged by someone who wishes to dispute some aspect of the will or the distribution of assets. As a result, many people who wish to avoid potential disputes around their estate after passing away will set up a trust to keep assets private.
A trust will pull assets away from the public probate estate. However, just because the assets in a trust are private does not mean it is not taxable. All assets, including those hidden in a trust, are still part of a decedent’s taxable estate.
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