QUESTION
What are next steps or if I will be able to keep the house if both of my parents are deceased and the house is mortgage free?
Asked on Apr 21st, 2014 on Estate Planning - Michigan
More details to this question:
My dad for five years and I was his payable on death but no will. My mother just passed 3 months ago and no will or assets besides their house which is joint-owned by both of them. She has huge medical bills from when she died due to no insurance.
20 ANSWERS
Probate Attorney serving St. Louis, MO
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Edward L. Armstrong, P.C.
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If your parents owned the house jointly and she survived your father leaving huge medical bills, the medical providers can force a sale of the house to pay those debts. In order for you to get title, you would have to open a probate estate for your mother and the creditors would be given notice, etc. I can't offer much hope for keeping the house under the circumstances but you should hire counsel to help you through the estate situation.
Answered on May 22nd, 2014 at 6:36 PM
Corporate/Business Attorney serving Beachwood, OH
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Christine Sabio Socrates Attorney at Law
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You will need to probate the house if there is no transfer on death deed or affidavit designation. If it goes through probate, the medical bills will need to get paid first before the house can be transferred to you. Often, the medical bills can be negotiated or settled if there are little to no assets in the estate. You should consult with a probate attorney to evaluate your case.
Answered on May 14th, 2014 at 12:18 PM
The medical providers may place a lien on the estate of which the house is an asset. All last expenses, taxes and funeral expenses must be paid prior to any distribution of the assets. Depending on what assets are available, the house may be mortgaged to pay any excess.
Answered on Apr 23rd, 2014 at 7:31 AM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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What happens depends on a number of factors. If the house is JUST titled in your parents' names, then probate will be necessary. You do not say if you have any siblings or nieces and nephews of any deceased siblings. If so, they would be entitled to share in the estate with you. Given that there appears to be significant creditors, you need an attorney to review the situation with you and to advise you on how to proceed. Creditors can make claims against the estate for a very limited time. If they fail to do so, their claims could be barred. If they make claims and the estate is insolvent, then the claims may be wiped out. There are highly technical procedures which must be followed. If you do not go through probate, the statute of limitations on the creditor claims is three years. The creditors can file to open a probate estate, in that case. You may also have difficulty insuring or maintaining the property without probate. Lots of different considerations and possibilities. I would strongly suggest you meet with a probate lawyer to help you sort this out.
Answered on Apr 23rd, 2014 at 6:38 AM
Edwin K. Niles
You have several issues and should see an estate planning lawyer ASAP.
Answered on Apr 23rd, 2014 at 5:56 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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If your parents owned the house jointly and your father passed 5 years ago. If his interest was payable on death to you then you would have received his interest at that time. Your mother's interest would have to to go towards paying the medical bills first. The law requires that a deceased bills must be paid in full before any gifts can be given to their heirs. If the house was jointly owned by your parents and your father's interest wasn't payable to death to you it would go to your mother. Then the house would be sold, any proceeds would pay off your mother's medical bills and, if there was any left over, it would go to you.
Answered on Apr 22nd, 2014 at 9:26 PM
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You should consult with a probate attorney. It sounds as if tile needs to transferred to your mom and a probate of her estate opened. Her valid creditors will be entitled to payment, that includes her medical bills.
Answered on Apr 22nd, 2014 at 9:25 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Next step is to hire a probate lawyer to probate the estate to obtain property title into your name.
Answered on Apr 22nd, 2014 at 9:25 PM
Probate Attorney serving Newport, OR
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Minor, Bandonis & Haggerty P.C.
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If your mother died with no will, then her children inherit in equal shares. If you are the only child, then you inherit the house. Your mother's estate is liable for the medical bills.
Answered on Apr 22nd, 2014 at 9:25 PM
Thomas Edward Gates
Sorry, since she was the last to die, the house will need to be sold to payoff her creditors. That includes the medical bills.
Answered on Apr 22nd, 2014 at 9:24 PM
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Your next and very first step is to see an attorney about probating your mother (and possibly father's) estate. You will want to do this before the companies who are owed the medical bills force you to. You need an attorney who will help you negotiate down the bills. If you want to keep the house, you will need to be able to pay off your mother's debt. Speak with an attorney as soon as possible.
Answered on Apr 22nd, 2014 at 9:24 PM
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I would need some more information about the house and about each estate. It is possible to put the house in your name, as it is likely an exempt asset.
Answered on Apr 22nd, 2014 at 9:24 PM
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You really should consult with a probate attorney in your area on your next steps. If you were the only child and the home was your parents' homestead property, a petition to determine homestead status of real property would have to be filed to convey to you, if you are indeed the legal heir, title to the property. Depending on the County at issue, this may be a stand-alone proceeding or part of estate administration.
Answered on Apr 22nd, 2014 at 9:18 PM
Every estate must pay off all outstanding debts before the heirs receive anything. The house will probably have to be sold to pay off your mother's bills.
Answered on Apr 22nd, 2014 at 2:15 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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It is difficult to predict from the information which you have provided, but generally, if your mother was the surviving spouse on a jointly owned residence, then that residence becomes part of her estate and is subject to the obligations incurred during her lifetime, including medical expenses. I would suggest you confer with an attorney.
Answered on Apr 22nd, 2014 at 11:06 AM
You will need to open your mother's probate estate to deal with the medical bills and transfer title to the house. Contact an attorney specializing in estate administration for assistance.
Answered on Apr 22nd, 2014 at 11:06 AM
Creditor's Rights Attorney serving Clayton, MO
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Fluhr & Moore, LLC
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If she had medicare of medicaid pay for her treatment, the state would in all likelihood have a lien on the real estate. If not, you have two ways to proceed. One is to open estate and see if any of the creditors file a claim in six months. The other is to sit back and wait. After one year, you can not open estate, but would be able to get property in your name in other ways. You should contact an attorney immediately to see which way is best.
Answered on Apr 22nd, 2014 at 11:06 AM
Commercial Attorney serving Chicago, IL
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Ashcraft & Ashcraft, Ltd.
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If the title to your parent's home was in joint tenancy with rights of survivorship then your mother was the sole owner of the property at her death since she was the surviving joint tenant. As the sole owner, the property would be in her estate and subject to the claims of her creditors. The exact wording of the deed is critical in determining if the property was held in joint tenancy. If your parents owned the property as tenants in common, then you would have received an ownership interest after your father's death. The portion of the ownership interest you received from your father at his death would not be subject to your mother's creditor claims. Five years ago, when your father died, Illinois did not permit payable on death transfers of real property. Even now, after Illinois has a statute that permits transfers of real property on death, such a deed is highly specialized and is not fully compatible with joint tenancy ownership. If your father had any financial accounts that were payable on death and identified you as the beneficiary then you would have received ownership of those accounts after your father died.
Answered on Apr 22nd, 2014 at 11:06 AM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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If your dad passed first, and your mom and dad were joint owners of the house, it first passed to your mom and now it needs to be probated. her creditors could come after any equity in her estate, e.g. the house. please contact a probate attorney to see what can be done.
Answered on Apr 22nd, 2014 at 11:05 AM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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If you are the only child, you should file an intestate probate estate. However, you may need to sell the house to pay your mother's bills. Creditors come first.
Answered on Apr 22nd, 2014 at 11:05 AM