Determining Acceptable Value of Inherited Real Estate?

[newbury]

I had wanted to go distributing asset by asset until done but siblings objected saying they wanted it all addressed at one time together in the entirety…

After following this thread I'm sure they want a QUICK resolution so they get THEIR money SOON with all the work done by YOU for free and criticized by them.

If mom wanted her estate dealt with by a consensus then she would have appointed all the beneficiaries as trustees.

Exactly.

My wife is a Real Estate Attorney, been one for over 40 years. She also ends up as being an Executor for the estates of most of the "family". Her mother (who passed away last July at 98) was one of 12 siblings, most of which passed away in the last 2 decades as they went through their 90's.

Every time there were 2 of the family virtually banging at the door to get stuff wrapped up and settled, while the rest put up with the pace of the court and proceedings.

Sometimes this stuff takes a while to do it right.

One of the estates took almost 3 years to settle because the individual had bank assets scattered all over.

 

[2manyrocks]

Realtors must have very short and selective memories.

When interest rates were 3%, people were lining up to outbid each other to buy homes at prices that the homes simply would not appraise for and somehow coughed up enough cash to make up the difference between the purchase price and the appraised value in order to obtain mortgages.

I don't think that's the situation now. I see the same homes listed at the same asking prices for about the last 4+months. Homes aren't selling on Monday after going to list on Friday these days.

Whether home prices are really sustainable at these levels remains to be seen.

Some realtors don't like the reality of a competent appraisal because it puts a limit on what banks will actually lend.

If the appraiser has done a good job of evaluating other relevant sales, the appraisal shouldn't just be dismissed.

 

[ultrarunner]

Your first 3 sentences had me scratching my head, then it hit me you were talking about your siblings by the 4th sentence.

Correct me if I'm wrong, but you want to buy the house at market value correct? Why if the answer is yes?

Correct me if I'm wrong again, but since you're single and I believe have no children of your own, you're basically leaving everything you own on your passing to the children of your siblings or the your siblings themselves?

Assuming those answers are yes to to my questions above, I honestly don't see what the problem is.

Never known you to be wrong...

Willing to buy as is at full certified appraised price.

Motivations are several... sentimental, no where to move the shop and projects and just hearing it's time to order dumpsters...

Siblings moved 40 and 45 years ago...

The last 3 years before mom passed I was back living there to take care of her...

It's kind of a box I put myself into starting back in 2015 putting my life on hold... not complaining, just the reality of caring for someone with failing health and working a day job...

No kids for me but I really am the number one uncle all around...

The comment on the last part is your never too old to have kids and then their kids would be left out...

 

[Sigarms]

Never known you to be wrong...

Willing to buy as is at full certified appraised price.

Motivations are several... sentimental, no where to move the shop and projects and just hearing it's time to order dumpsters...

Siblings moved 40 and 45 years ago...

The last 3 years before mom passed I was back living there to take care of her...

It's kind of a box I put myself into starting back in 2015 putting my life on hold... not complaining, just the reality of caring for someone with failing health and working a day job...

No kids for me but I really am the number one uncle all around...

The comment on the last part is your never too old to have kids and then their kids would be left out...

I'm sorry, but your brothers are just being dicks about this.

I'm probably more peeved about this than you are

You buy the house now even at 500K (God forbid you give a sibling a deal because they've been "good family"), and then when you die, then they will still get the house anyways (or your neieces or newphews get the "family house").

THEN after you die your siblings can sell at "full market value" or perhaps they would want to rip their daughters off so they can invest more money into the home to gain a couple extra hundred grand?

They could make 500k-800k now, be good siblings, and then you leave this world, the house is theirs anyways.

We aren't rich by any means, but we don't live paycheck to paycheck. At what point do you say family is more important than money if you know your family isn't dependent on you and have been a good family member over the years. We're talking over 900K here on the value of a home and they're squabbling over a couple hundred more than that, just so they can maximize their profit.

Don't get me wrong, if you're a bum and or a meth head, I get it, but somehow you don't strike me as being one

I honestly think your mother would be ashamed of them, and I don't think I'm wrong about that.

 

[2manyrocks]

I can envision an outcome where the siblings cannot require the Executor to improve the property for resale. Probate courts are mainly concerned with beneficiaries getting what they've inherited without loss and not undertaking some speculative real estate improvement in the hopes of making even more.

 

[ultrarunner]

Dad kind of foresaw a little of this...

When he was fighting cancer but very sharp of mind he was going to gift a property to my siblings...

One brother asked how soon would it happen and that ticked dad off when he heard he was planning on selling it.

After hearing that Dad said it stays with mom and my will left what I have to mom with the provision should anything happen to me and mom it went to the nephew and nieces except for a few things with deeds titled With Right of Survivorship...

Siblings not happy about the antique cars saying it would be a mess.

My parents were very frugal and products of the depression era… mom did everything she wanted including paying her property taxes on 3k a month total retirement income and always generous to the grands for Birthdays, Christmas, Graduations, etc... I wrote the checks as she wanted and she signed them... checks left a record of giving I suggested.

She also opened bank accounts with a $1,000 each at the credit union and her last wish was to add to it knowing she wouldn't be around for Christmas...

Never said no to baby sitting or picking up the kids... there were many fun sleep overs at grandma's house... going for walks, baking cookies and looking at pictures of the olden days and even playing records...

When mom really went into decline they where either off at collage or heading off to college...

3 granddaughters flew home to see her when hospice started... Docs said 7-10 days but mom so happy to be home surprised them all... almost 11 weeks with 9 really perked up... no meds... just prayer and assistance...

Her walking girlfriend agreed to be with mom when I was at work... and boy did they walk and walk... sometimes I didn't think she was real in that when we really needed help... there she was and in the middle of the pandemic no less...an answer to prayer?

 

[2manyrocks]

And that's why your Dad chose you as Trustee. It is important for you to remember that your parents picked you to serve as fiduciary and not your siblings. Your duty is to execute the estate planning put in place by your parents, not to remake it into what your siblings would have it to be.

 

[ultrarunner]

I’m overwhelmed by the heartfelt advice freely given on this thread…

So many good points made and several reached out with specifics…

Not knowing what you don’t know is a big part added to the unpredictability of human nature…

I have been named in trusts to be financial guardians for the minor children of friends… I’m good at conserving and budgeting focusing on what is important and making it last.

Thankfully I never did have to step into the roll for minors but have unofficially for seniors…

 

[plowhog]

There are two schools of thought:

- a parent appoints their most loved and trusted child as Executor; or,
- a parent appoints their leave favorite child as executor for revenge.

Obviously your Mom loved you deeply and chose the first option.

But the second option exists because it is sometimes such a beech to be Executor. Something to do with a bull and some horns.

 

[riptides]

... We're talking over 900K here on the value of a home and they're squabbling over a couple hundred more than that, just so they can maximize their profit.
...

That's what business people do. Maximize profit.

They need to put on their family hats.