Probate Overbids in Los Angeles: The Minimum Bid, the Deposit and the Hearing
At a court-confirmation hearing, the accepted buyer can be outbid in the courtroom. Here is the math, the money to bring, and how sellers and buyers should prepare.
The short answer: in a Los Angeles probate sale that goes to court confirmation, the judge can accept a higher bid at the hearing. Under Probate Code §10311, the first overbid must be at least the contract price plus 10% of the first $10,000 of that price and 5% of everything above $10,000, which works out to the contract price + 5% + $500. In LA, overbidders typically need a cashier’s check for 10% of their bid. For example, on a $650,000 accepted offer, the first overbid must be at least $683,000, so bring a check for $68,300.
When is there an overbid?
Overbids happen only when a probate sale goes to a court-confirmation hearing. That is required when the personal representative has limited IAEA authority, and it can happen under full authority if someone objects to a Notice of Proposed Action. Trust sales do not have court overbids. See court-confirmed sales explained and full vs. limited authority.
How do you calculate the minimum overbid?
Probate Code §10311 sets the first overbid at no less than the contract price, plus 10% of the first $10,000, plus 5% of the amount above $10,000. Since 10% of $10,000 is $1,000 and 5% is $500, this is the same as contract price + 5% + $500.
| Accepted price | Minimum first overbid | 10% deposit to bring |
|---|---|---|
| $500,000 | $525,500 | $52,550 |
| $650,000 | $683,000 | $68,300 |
| $1,000,000 | $1,050,500 | $105,050 |
After the first overbid, the judge takes further bids in the courtroom in increments set by the court. Check the current Los Angeles practice with the estate attorney before the hearing.
What should a probate seller do to prepare?
- Keep marketing after acceptance. A good confirmation listing keeps buyers who lost the first round aware of the hearing date. Competition at the hearing helps the estate.
- Write the MLS remarks for the process. Say the sale is subject to court confirmation and overbid, so no buyer is surprised.
- Prepare the accepted buyer. Explain that they can bid again at the hearing, and that their deposit and contract terms depend on the court order.
- Coordinate with counsel on the petition, the notice of hearing, and whether the court’s current tentative rulings or Probate Notes flag anything. In LA, Probate Notes post about two weeks before hearings.
What should an overbidder bring?
- A cashier’s check for 10% of the bid, payable as the attorney or court instructs.
- Proof of funds or loan approval. Many courts expect the overbid to be on terms at least as good for the estate as the original contract.
- A clear top price, decided before the hearing.
- A buyer’s agent who knows the courtroom process, if you have one.
For buyers: what happens to your deposit at an overbid and buying at a court overbid: your Realtor® and your attorney.
What happens to the commission if the overbidder wins?
The court approves the commission as part of the confirmation order (Probate Code §10150(b)). When a different buyer, possibly with a different agent, wins at the hearing, the order sets how the commission is paid. The estate attorney explains how the court is likely to treat it in your case.
Related: Court-confirmed sale explained · Probate real estate broker · LA County probate courts · Probate Realtor® Los Angeles
Related Probate Weekly and Estate Planning Podcast episodes
- Avoid Mistakes in Selling Property in Probate, with Mina Sirkin
- How to Sell Probate Real Estate Without Ending Up in Court, with Jennifer Felten
- Preparing Real Estate for Sale During Probate, with Robert Silverman
Frequently asked questions
What is the minimum overbid in a California probate sale?
Under Probate Code §10311, the first overbid must be at least the contract price plus 10% of the first $10,000 and 5% of the rest, which equals the contract price + 5% + $500. On a $500,000 sale, that is $525,500.
How much money do I need to overbid at a Los Angeles probate hearing?
In Los Angeles, overbidders typically bring a cashier’s check for 10% of their bid. On a $683,000 overbid, that is $68,300. Confirm current requirements with the estate attorney before the hearing.
Can the original buyer bid again at the confirmation hearing?
Yes. The accepted buyer can attend and bid against overbidders in the courtroom.
Is there an overbid in every probate sale?
No. Overbids happen only at a court-confirmation hearing. A sale under full IAEA authority with a Notice of Proposed Action and no objection closes without a hearing. Trust sales have no court overbid.
Where are LA probate overbid hearings held?
In the probate departments at the Stanley Mosk Courthouse, 111 N. Hill St., Los Angeles.
Can a broker help me prepare for an overbid?
Yes. A probate broker keeps marketing to likely overbidders, writes the MLS remarks for the process, and prepares the accepted buyer. Call (310) 210-0008, email bill@thelaprobateexpert.com, or schedule a consultation. Bring the Letters (or the trust), the property address, and the attorney’s name if one is involved.
About the author. Bill Gross, The LA Probate Expert, brokered by eXp Realty. Licensed since 1989, broker since 2005. Probate-focused broker for executors, administrators, trustees and estate attorneys in Los Angeles County. Host of Probate Weekly.
DRE #01022275. Brokerage: eXp Realty of California, Inc., DRE #01878277. 8383 Wilshire Blvd #800, Beverly Hills, CA 90211 · (310) 210-0008. Bill is a real estate broker, not an attorney and not a probate referee.
Educational only, not legal advice. California probate, trust and conservatorship matters are fact-specific. Confirm authority, court requirements, and tax consequences with the attorney and tax advisor. Local rules change; the city, county and court websites control.