Losing a loved one is never easy — and if you’ve inherited their home, figuring out how to sell it can be one of the most confusing parts of the process. Probate laws in California can be tricky, and even small mistakes can lead to months of delay, legal fees, and lost money from the estate.
Selling a house in probate can be smooth and efficient, but only if you understand the common pitfalls and how to avoid them. Whether you’re the executor of an estate or one of several heirs, this guide breaks down the top mistakes families make when selling a probate property in California — and what to do instead.
(If you haven’t read our full breakdown yet, check out the 2025 Guide to Selling a House in Probate in California.)
Not Understanding Probate Authority
One of the most common mistakes executors make is assuming they can sell the house right away. In California, that depends on the type of authority granted by the court under the Independent Administration of Estates Act (IAEA).
- Full Authority: You can sell the house without court approval — similar to a traditional sale.
- Limited Authority: You must go through court confirmation, notify heirs, and follow a more formal process.
Selling a house without the proper authority can delay the transaction or even make it invalid.
To learn more, visit the California Courts Self-Help Probate Guide, which explains your legal responsibilities as an executor.
Skipping the Required Appraisal
California law usually requires a probate referee to perform an official appraisal to determine the property’s fair market value. This valuation helps set the sale price and calculate statutory fees for attorneys and executors.
Skipping or underestimating this step can lead to disputes between heirs, court delays, or objections to the sale. Even if a referee appraisal isn’t required, it’s smart to hire a certified appraiser to confirm that the asking price is fair and defensible.
Example: A family in Pasadena listed their inherited home at $900,000 based on online estimates. The court later required an official appraisal — which came in at $820,000 — forcing them to lower the price and refile paperwork, delaying the sale by two months.
Letting the Property Sit Vacant Too Long
A vacant home is one of the biggest risks during probate. Unoccupied houses can attract trespassers, water damage, or even squatters — all of which reduce the property’s value and cost the estate money.
To prevent problems:
- Keep utilities on for inspections.
- Install cameras or alarm systems.
- Notify local law enforcement that the property is vacant.
- Visit regularly or hire a property manager.
Vacant homes can also lose curb appeal fast, discouraging potential buyers.
Ignoring Heir Disagreements
Few things derail a probate sale faster than a disagreement between heirs. When multiple siblings or relatives inherit the same property, emotions and opinions can clash — especially about price or timing.
California law allows the executor to petition the court to approve a sale even if not all heirs agree, but that process adds time and cost. In some cases, if ownership is split after probate closes, one heir can even file a partition action to force the sale.
The best solution? Communicate early and clearly. Consider mediation to resolve disputes before heading to court.
Overpricing the Property
Many families overprice a probate home thinking they’ll protect the estate’s value — but this often backfires. Overpriced homes sit on the market for months, lose interest from buyers, and eventually sell for less.
Remember, buyers know when a home is in probate and may expect a slower process. Setting a realistic price upfront ensures more interest and fewer cancellations.
Tip: Review comparable sales in the area and consider getting input from an experienced probate real estate professional or investor familiar with your local market.
Not Accounting for Debts, Taxes, and Liens
Before selling, the executor must identify all outstanding debts tied to the estate — including mortgages, property taxes, and other obligations. These debts must be settled before the remaining funds are distributed to heirs.
One major surprise for many families is the Medi-Cal Estate Recovery Program, which allows the state to recover certain medical costs from a deceased person’s estate.
Failing to account for liens or unpaid bills can stall the closing or reduce inheritance proceeds unexpectedly.
Neglecting Repairs or Disclosures
Probate homes often need repairs — especially if the former owner lived there for decades. However, California law still requires sellers to disclose known issues like foundation problems, roof leaks, or unpermitted additions, even in as-is sales.
Not disclosing known defects can lead to legal liability after closing. If the estate can’t afford major repairs, selling the property as-is to an investor can be a faster, safer option.
Example: A family in Los Angeles sold a probate property with severe plumbing issues to a cash buyer. The investor handled all repairs post-sale, and the family closed in 14 days — avoiding months of delay and potential lawsuits.
Choosing the Wrong Buyer
Not all buyers can handle probate properties. Traditional buyers often rely on financing, which may fall through due to title or court-related delays. When this happens, the property has to be relisted, wasting valuable time.
Cash buyers and investors, on the other hand, specialize in quick, no-contingency closings, making them ideal for probate scenarios.
Example: A San Bernardino executor needed to sell quickly to pay estate debts. A cash buyer closed in 10 days — covering legal fees and avoiding a potential foreclosure.
Forgetting Court Timelines and Notices
When you have limited authority, every step of the sale must follow court procedure. This includes:
- Filing a Notice of Proposed Action
- Allowing time for objections
- Scheduling a court confirmation hearing
- Advertising the sale to allow potential overbids
Missing even one step can delay the sale by months. Keep track of all deadlines carefully, and work with an attorney who’s familiar with local probate procedures.
Not Planning for Capital Gains Taxes
Even though inherited homes receive a step-up in basis, meaning they’re valued at the fair market price at the time of death, you could still face capital gains taxes if the home sells for more than that stepped-up value.
Example:
If your parent’s home was worth $600,000 when they passed and you sell it for $620,000, you’ll owe capital gains on the $20,000 difference.
A CPA or tax attorney can help you calculate and minimize taxes through timing or deductible expenses. For more info, see the IRS’s Capital Gains Tax Guidelines.
Waiting Too Long to Sell
Probate can take anywhere from six months to two years in California. The longer you wait to list, the more carrying costs (taxes, insurance, utilities, etc.) pile up — all reducing the estate’s value.
Selling early in the process can often free up funds to cover attorney’s fees, debts, and other obligations, while also preventing further property decline.
Trying to Handle Everything Alone
Probate sales involve attorneys, appraisers, courts, and often emotional family dynamics. Trying to navigate this alone can lead to mistakes that delay the process or create financial loss.
Hiring professionals — including a probate attorney, real estate agent experienced in probate, or a reputable cash buyer — can help you stay compliant and stress-free.
Final Thoughts
Selling a probate home in California isn’t simple, but it doesn’t have to be a nightmare. Most problems come down to misunderstanding the law, overpricing the property, or trying to rush the process without the right help.
By avoiding these common mistakes, you can save time, protect your family’s inheritance, and complete the sale smoothly.
At Mrs. Property Solutions, we specialize in buying probate homes throughout California — no repairs, no court confusion, and no hidden fees. If you need to sell a probate property quickly or just want honest guidance, reach out to us today for a fair cash offer and expert support.