I have had many buyers (VA or FHA) in the past not be able to purchase a Probate Home because the old law (which is still around) requires a 10% deposit with the offer. Think about it. VA and FHA buyers make up probably 60% of the market in most areas. VA buyers are placing 0% down and FHA 3.5%. They have closing on average at the medium sales price in my area of $8000 to $10000 and barely have enough to cover. So here is the crazy part.
If they are buying a $300K house which is a starter in my area then they would need to place $30K up as a deposit under the old probate law just to make the offer acceptable by the estate. Do you think that is going to work. No! so what happens is this retail buyer by-passes the house and looks for something else non probate that works. I have been working around this for years.
If I have a VA or FHA buyer then the only way I bring them a probate is if we are going through the I.A.E.A which doesn't have the 10% deposit requirement among many other benefits. They can place the normal 1 to 3% deposit up and close like a regular sale. All I need to add in this situation is the Letters of Testamentary and N.O.P.A which the Estate Attorney provides me. If you don't know what these are they you are really missing the boat on Six Figures.
Also if you have a situation where the 10% deposit applies and your buyer wants the home petition the court through the Executor/Administer for this buyer with acceptable offer only placing 1 to 3% as it's all they have. You can obtain waivers but you need to know the game.
Hope this gives you a little more to think about.
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