How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Barrister Your Own Question
Barrister
Barrister, Attorney
Category: Estate Law
Satisfied Customers: 35868
Experience:  16 yrs estate law, real estate. Wills/Trusts/Probate
19958803
Type Your Estate Law Question Here...
Barrister is online now
A new question is answered every 9 seconds

What happens if you've been named an executor and there is

Customer Question

what happens if you've been named an executor and there is no money for insurance of the property
Submitted: 1 year ago.
Category: Estate Law
Expert:  Barrister replied 1 year ago.
Hello and welcome! My name is ***** ***** I will try my level best to help with your situation or get you to someone who can.
.
If there are no liquid assets in the estate to pay for estate expenses, then the assets would have to be sold to pay them because the heirs and executor have no legal duty to advance the estate money as a loan unless they choose to do so voluntarily.
.
But as difficult as it may be, if the house is not insured, then it should be sold for whatever money it will generate because if something happened to it while uninsured, it would be a loss to the estate and the heirs would lose whatever value the house had as an inheritance.
.
As the executor, you have a legal duty to preserve and protect the assets of the estate for the heirs and sometimes that means selling them before something happened to cause a loss.
.
Further, if there is an outstanding loan on the property with a bank, they will be notified if the insurance lapses and can place "forced insurance" on the property to protect their collateral at a substantially higher rate, sometimes double, than the owner could get. They then can either add this into the monthly payment or demand up front payment and begin foreclosure proceedings if it isn't paid.
.
So if there is no realistic way to keep the house, it is best to sell it, pay any debts, and then divide the proceeds between the heirs..
.
I am very sorry that I don’t have better news, but please understand that I do have an ethical and professional obligation to provide customers with legally correct answers based on my knowledge and experience, even when I know the answer doesn’t make the customer happy...
.
.
thanks
Barrister
Customer: replied 1 year ago.
Thanks
Expert:  Barrister replied 1 year ago.
You are very welcome. Glad to help any time..
.
If you feel your original question and any related follow ups have been answered, I would very much appreciate a positive rating on the answer I have provided so I receive credit for my work. If you have a new question the JustAnswer folks require that you start a new question page, but you can request me by putting "For Barrister" in the caption and they will get it to me.
.
.
thanks much
Barrister

Related Estate Law Questions