I discovered at the Registrar of Deeds there is a Mortgage as of May of this year, listing my 2 siblings as lenders, and the executor siblin...

Question

I discovered at the Registrar of Deeds there is a Mortgage as of May of this year, listing my 2 siblings as lenders, and the executor sibling had signed for the Estate of my Mom who was deceased several months earlier. The amount was for approx. amount that I had offered the siblings to buyout their shares. I did not go through with the buyout because we could not agree on concessions for repairs on the property or selling price. Is this lien on the Estate without my knowledge of, or approval of the amount, considered illegal and it did not go through the Probate Court ? Presently there is a Buyer that has a contract to purchase. Does this mortgage present an encumbrance which Title Co. would not approve sale, nor will Probate Court approve, and they also need my Signature as a heir-beneficiary. I would like to stop this sale, and renegotiate for my buyout, and go to Probate Court as needed.

Thank You for comments.

Answer

The Executor has the power to do almost anything that your mother could have done. She would have had the power to lend money and sign a mortgage to guarantee its repayment. She would also have the power to sell the property to whomever she would want to, no matter what the price. That is one of the things, however, that the Executor cannot do. The Executor is required to do what is in the best interest of all of the siblings, meaning that he/she must sell for the highest and best price.

With all of that being said, the house cannot be sold without your siblings releasing their mortgage and being repaid. I would assume that would occur at the time of the closing of title. Your signature is not required to sell the house; it is required to settle the estate, but the house would likely be sold at that time and you would then not be able to get it. It is therefore in your best interest to immediately seek the advice of an attorney to see what can be done.

Keep in mind that this advice is based purely on the little bit of information that you have given to me. There certainly may be other factors that would change my opinion. Further, no one can rely on advice from an attorney who has not been retained. You will only be able to rely on advice from an attorney who you have actually retained. Good luck! Rob Gleaner

Answer

It appears that a lien was filed to protect the interest of the remaining sibligs and to assure they are kept aware of whast is happening with the property. This seems to assure there will be fair valuation and that they will be paid at the closing. You may contest this filing, but all that should be accomplished is minimal. Alot depends upon final sales amount and their share of the proceeds. As a lien it must be dealt with at the closing. This advice is not at legal opinion and the response is made to an Internet question. It is not intended to be a legal advice or as creating an attorney-client relationship.