INVESTING IN PROBATE REAL ESTATE IS FAR LESS COMPETITIVE THAN FORECLOSURE INVESTING
is defined as the legal process of verifying the legality of a will
is the legal process of administering the estate of a deceased person by resolving all claims and distributing the deceased person's property under the valid will. A
decides the validity of a testator's will.
The definition for probate real estate
: A court-supervised procedure where the assets of a deceased person must go through probate in order to satisfy creditors and distribute the estate to heirs.
Wills in probate are public records that can be researched at a local courthouse. With additional investigation you can find public records of related real property deeds or real estate holdings. The type of information usually contained in probate public records comprises: name of the departed, date of death, address of the deceased's property, name of trustee (i.e. personal representative or executor responsible for handling estate matters), along contact information for the trustee, and property value.
Generally, property owners, i.e. "heirs" or "beneficiaries" are anxious and motivated to sell quickly to settle the estate because they just want CASH!! Probate
real estate investing
is often an over-looked market, but those who have discovered it are raking in lucrative returns on their investments. You can start your own probate property investing business anywhere in the United States.
Pros and Cons: Probate Real Estate versus Foreclosures
Simply put: Investors can make a handsome profit acquiring either type of property: probate real estate
or foreclosed real estate. But the process for acquiring probate real estate is usually easier that acquiring foreclosed properties for two reasons:
(1) Sellers of probate real estate are generally motivated because they do not want to be saddled with the huge responsibility of settling the estate of the deceased, a responsibility that might include a tax liability; and selling the property may be the quickest way to pay the taxes, and other related fees, debts, etc. Whereas when buying foreclosures the sellers (homeowners) are usually unwilling and do not really want to part with their property.
(2) Two of two best places to find cheap real estate are the foreclosure market and the probate market. However, competition in the foreclosure property market is fierce!! In probate real estate investing, the market is not as saturated. (Not yet!)