Executor Selling an Inherited House in Los Angeles: Step by Step

Short answer: An executor in Los Angeles can sell an inherited house once the court issues Letters, usually while the estate is still open. The steps are: get Letters, protect the house, meet the inventory and notice deadlines, find out whether the sale needs court confirmation, price against the probate referee’s appraisal, then close through escrow with the money going into the estate account. Full IAEA authority usually means a Notice of Proposed Action; limited authority means a confirmation hearing with overbids.

This is the step-by-step version. If you only need the yes-or-no answer on timing, read can an executor sell before probate is finished. If you are about to list, walk the 14-point probate seller checklist with your attorney. If the house is in a living trust instead of an estate, the path is different; see the trust steps under step 1. This guide is educational, not legal advice. The estate attorney makes the legal calls.

What are the steps for an executor selling an inherited house?

1. Confirm the house is in the probate estate, and get Letters.
2. Protect the house and tell the insurer.
3. Open the estate bank account and keep records.
4. Start the inventory, the referee appraisal and the change in ownership statement.
5. Read the Letters: full or limited IAEA authority.
6. Order title early and find the liens.
7. Price the house and sign the listing agreement.
8. Accept an offer that fits the sale path.
9. Give the Notice of Proposed Action, or go to the confirmation hearing.
10. Close escrow and deposit the proceeds to the estate.

Each step is below, with the Probate Code section behind it.

Step 1: Who has the authority to sell, and when does it start?

Being named in the will is not enough. Under Probate Code §8400, a person has no power to administer the estate until appointed, and the appointment is effective when Letters issue. Letters Testamentary go to a named executor. Letters of Administration go to an administrator, usually when there is no will, and Letters of Administration with the will annexed go to an administrator when there is a will but no executor able to serve. Title companies will not insure a deed signed on the strength of a will in a drawer.

First, confirm the house is actually a probate asset. If title is in a living trust, the successor trustee sells under the trust and probate may not be needed at all; see a successor trustee selling trust property in Los Angeles. If the decedent meant to put the house in the trust but never deeded it, counsel may use a petition under Probate Code §850 to ask the court to confirm it belongs to the trust. That is a legal decision, not a real estate one.

Step 2: What should an executor do with the house right away?

The executor’s duty is ordinary care and diligence (Probate Code §9600). For a house, that means protection, not improvement:

• Change the locks if counsel agrees, and collect every key, remote and gate code.
• Tell the insurance carrier about the death. Vacancy limits in a homeowner’s policy can cut coverage if the carrier was not told.
• Keep utilities on, the yard kept and the mail stopped or forwarded.
• Photograph the condition and the contents before anything is moved.
• Find out who is living there, if anyone. An heir or tenant in possession is a legal issue to raise with counsel early.
• Do not remodel. Most Los Angeles estate houses sell as-is. See should probate property be sold as-is.

Step 3: How should an executor handle money and records?

Open an estate bank account under the estate’s own tax identification number, and pay estate bills from it: insurance, utilities, property taxes, the mortgage or reverse mortgage, and the gardener. Do not pay estate costs from a personal account and “sort it out later.” The court, the heirs and the tax preparer will all want receipts. Carrying costs are also the strongest reason not to wait. Insurance, taxes and utilities keep running whether or not the house is listed.

Step 4: What deadlines start when Letters issue?

• Inventory and appraisal. The executor files an inventory and appraisal within four months after Letters are first issued, unless the court allows more time (Probate Code §8800(b)). In Los Angeles, a probate referee usually appraises the house as of the date of death.
• Change in ownership statement. For a house in probate, the executor files a change in ownership statement with the county recorder or assessor before or when the inventory and appraisal is filed (Revenue and Taxation Code §480(b)). The inventory filing includes a certification that this was done (Probate Code §8800(d)).
• Creditor claims. Creditors generally have until the later of four months after Letters are first issued or 60 days after notice of administration is mailed or delivered to them (Probate Code §9100). The house can often be sold during this period, but distribution waits.

The referee’s number is not the list price. It matters because, in a confirmation sale, a private-sale price generally has to be at least 90% of an appraisal made within one year (Probate Code §10309). More on the referee’s role: what a probate referee does.

Step 5: Does the sale need court confirmation?

Read the Letters with counsel. Under the Independent Administration of Estates Act (IAEA):

• Limited authority: court confirmation IS required for a sale of real property.
• Full authority: court confirmation MAY BE required. The usual path is a Notice of Proposed Action (Judicial Council form DE-165) given at least 15 days before the sale, unless the people entitled to notice waive it or consent. If someone timely objects and the executor still wants to sell, the sale goes to court.

For a sale of real property, the notice has to state the material terms, including the sale price and the amount of, or method of calculating, the broker’s commission (Probate Code §10585). So the notice goes out after there is an accepted offer, and the 15 days belong in the escrow calendar. Even with full authority, the title underwriter decides what it needs to insure the buyer; sometimes that includes the notice and waivers. Ask early.

Be careful with listing language. When I reviewed 618 closed Los Angeles County probate listings on TheMLS, 43.4% told buyers court confirmation was not needed, and only 4% used the accurate words “court confirmation may be required.” See two ways LA probate listings get it wrong.

Step 6: What should title show before the house is listed?

Order a preliminary title report as soon as there is authority. It shows the vesting (estate, trust or joint tenancy), the loans, any reverse mortgage, judgments, tax liens and city liens. Liens do not disappear at death; they get paid, negotiated or they follow the title. See property liens in probate and reverse mortgages in probate. Finding a problem in week one is cheaper than finding it in the last week of escrow.

Step 7: How should an executor price and list the house?

Price from the market, not from a website estimate and not from the referee’s number alone. Condition, occupancy, the sale path and the overbid risk all move the price. Two rules shape the listing agreement:

• With IAEA authority: the executor can grant an exclusive right to sell for up to 90 days, with extensions of up to 90 days each. Once the total with the same broker passes 270 days, a Notice of Proposed Action is required (Probate Code §10538).
• Without IAEA authority: an exclusive listing of 90 days or less needs court permission first, and so does each extension (Probate Code §10150(c)). In a confirmation sale, the listing contract binds the estate only for the commission the court allows (Probate Code §10150(b)).

The broker’s commission is separate from the statutory executor and attorney fees. Those fees are set by Probate Code §10800 and §10810 on the value of the estate accounted for; on a $1,000,000 estate, each is $23,000. See California probate fees and run the numbers in the seller net sheet calculator. For help choosing the agent, read probate realtor Los Angeles: how to choose.

Step 8: What should the executor look for in an offer?

The best offer is the one that can close on the estate’s path. In a confirmation sale, the buyer must understand the hearing and the overbid risk, and the purchase agreement should say so. In a full-authority sale, the contract should allow for the 15-day notice period. Watch for buyers who ask the estate to make repairs, carry long contingencies, or close before the notice period ends. A quick off-market sale to one buyer can cost the estate the open-market price; see the steering trap.

Step 9: How does a confirmation hearing work in Los Angeles?

The estate attorney files the petition to confirm the sale and gives notice of the hearing. In Los Angeles County, probate hearings are held at the Stanley Mosk Courthouse, 111 N. Hill St. Since February 2, 2026, Antelope Valley probate matters are also heard through Stanley Mosk. At the hearing, anyone can overbid under Probate Code §10311: the first overbid is the accepted contract price plus 5% plus $500, and each overbidder brings a cashier’s check for 10% of the overbid.

After the first overbid, the court can take further bids, and the original buyer can bid too. Keep marketing to likely overbidders until the hearing. Full walkthrough: how a court-confirmed sale works in Los Angeles.

Step 10: What happens at closing, and when do heirs get paid?

Escrow pays the loans, liens, closing costs and the commission, and the net proceeds go into the estate account, not to the heirs. Distribution comes later, after creditor claims, taxes and the accounting, and usually with a court order for final distribution. Keep the closing statement for the accounting. For taxes, the usual starting point is the date-of-death value (the step-up); take the inherited-sale tax worksheet to a CPA. Property tax is a separate bill, and Proposition 19 decides when a child can keep a parent’s assessed value.

What if heirs disagree or someone is living in the house?

California probate is not a family vote. Heirs can object, petition and be heard, but one unhappy heir usually cannot veto a sale the executor is authorized to make. Keep one point of contact with the broker, share the valuation in writing, and bring counsel in early. See how to sell when heirs disagree and can heirs stop a probate sale. If an heir or tenant is living in the house, counsel decides how possession is handled before the listing goes live.

How long does each part take?

There is no single clock. Most Los Angeles County probates run nine to eighteen months, but the house can often be listed soon after Letters issue, while the estate stays open for claims and distribution. A full-authority sale with no objection moves faster than a sale that needs a hearing. A contested will, a missing heir, a reverse mortgage or a title problem adds time. More: how long does probate take in Los Angeles.

How does Bill Gross help executors sell in Los Angeles?

I read the Letters with the estate attorney before I price the house, write the listing and the purchase agreement for the sale path the Letters allow, and keep marketing to overbidders when the sale goes to Stanley Mosk. My office is in Beverly Hills, and I work with executors, administrators and estate attorneys across Los Angeles County. I talk about these steps with estate attorneys on Probate Weekly and The Estate Planning Podcast, and about reverse mortgages after a death on The Reverse Mortgage Podcast. If you have Letters, or counsel is about to petition for them, schedule a consultation.

Frequently asked questions

Can an executor sell a house before probate is finished in California?

Yes, usually. Under Probate Code §8400, the executor’s authority starts when Letters issue, not when probate ends. Many Los Angeles estate houses are sold while the estate is still open for creditor claims, accounting and distribution.

Does an executor need court approval to sell a house in Los Angeles?

It depends on the Letters. With limited IAEA authority, court confirmation IS required. With full IAEA authority, court confirmation MAY BE required, for example if an interested person timely objects to the Notice of Proposed Action. Without an objection, a full-authority sale can usually close after the notice period.

Do all heirs have to agree before an executor sells the house?

Not always. The executor acts for the estate, not by family vote. Under full authority, heirs entitled to notice get a Notice of Proposed Action and can object, which can send the sale to court. An heir who wants to stop a sale should talk to counsel about the grounds.

What is the minimum overbid at a Los Angeles probate confirmation hearing?

The first overbid is the accepted contract price plus 5% plus $500 (Probate Code §10311). On a $900,000 accepted offer, the first overbid is $945,500, and the overbidder brings a cashier’s check for 10% of the overbid, $94,550.

Does an executor have to fix up an inherited house before selling?

No. The executor must use ordinary care and diligence (Probate Code §9600), which means protecting the house, not remodeling it. Most Los Angeles estate houses sell as-is. Spend estate money only on what counsel and the numbers support, such as safety, access and cleanout.

Who pays capital gains tax when an executor sells an inherited house?

It depends on the estate and the tax returns, so ask a CPA. For most inherited houses, the starting point is the value on the date of death, not the price the decedent paid. That step-up often keeps the taxable gain small when the house sells soon after the death.

How long does it take an executor to sell a house in Los Angeles?

There is no single clock. Most Los Angeles County probates run nine to eighteen months, but the house can often be listed soon after Letters issue. A full-authority sale with no objection moves faster than a sale that needs a confirmation hearing at Stanley Mosk.

Educational only. California probate and trust administration are fact-specific. Confirm authority, court requirements, and tax consequences with the estate’s attorney and tax advisor. Statute summaries were checked against the California Codes on leginfo.legislature.ca.gov in October 2026.

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