When Margaret was appointed personal representative of her father’s estate in Massachusetts, she assumed she could simply list his home and sell it to pay debts and distribute assets to beneficiaries. After all, she had been granted “full powers” in her Letters of Authority. However, when she contacted her probate attorney, she learned that her father’s will did not give specific permission for the personal representative to sell real estate. The attorney said Margaret needed to file a formal “Petition for License to Sell Real Estate” with the Probate and Family Court so she could proceed to close on the real estate sale. Margaret’s situation illustrates a critical requirement that catches many personal representatives and administrators off-guard: in Massachusetts, a court-issued license, called a License to Sell, may be necessary to sell real estate if the specific language in the will does not permit you to sell real estate.
What is a License to Sell?
A license to sell is issued by the Court and gives a person the authority to sell real estate when the authority isn’t already included in a valid legal document. A license to sell is generally used for estates, trusts, and conservatorships. In the estate context, it gives a personal representative the authority to sell the decedent’s real estate. For a trust, it gives the trustee the authority to sell the real estate in the name of the trust. In a conservatorship, it gives the court appointed conservator the authority to sell the real estate of the protected person.
Where is a License to Sell filed?
A license to sell is filed in the Probate and Family Court under the same docket number as the estate, trust, or conservatorship. A license to sell is usually allowed without a court hearing. If you have hired an attorney to represent you, they will draft and file these documents on your behalf.
When do I need a License to Sell?
For an estate, a license to sell is required when a person died without a will (called intestate) or the will does not give the personal representative the authority to sell real estate. This is why it can expedite the real estate sale if you give your personal representative the power to sell and manage real estate in your will.
For a trust, a license to sell is necessary when the trust does not give the trustee the authority to sell real estate. Most trusts give the trustee the authority to sell real estate. Keep in mind, if you withhold the right to sell real estate from your trustee, you are no longer avoiding probate since they will need to file the license to sell with the Court.
Top 5 FAQs Regarding a “License to Sell”
When Margaret was appointed personal representative of her father’s estate in Massachusetts, she assumed she could simply list his home and sell it to pay debts and distribute assets to beneficiaries. After all, she had been granted “full powers” in her Letters of Authority. However, when she contacted her probate attorney, she learned that her father’s will did not give specific permission for the personal representative to sell real estate. The attorney said Margaret needed to file a formal “Petition for License to Sell Real Estate” with the Probate and Family Court so she could proceed to close on the real estate sale. Margaret’s situation illustrates a critical requirement that catches many personal representatives and administrators off-guard: in Massachusetts, a court-issued license, called a License to Sell, may be necessary to sell real estate if the specific language in the will does not permit you to sell real estate.
What is a License to Sell?
A license to sell is issued by the Court and gives a person the authority to sell real estate when the authority isn’t already included in a valid legal document. A license to sell is generally used for estates, trusts, and conservatorships. In the estate context, it gives a personal representative the authority to sell the decedent’s real estate. For a trust, it gives the trustee the authority to sell the real estate in the name of the trust. In a conservatorship, it gives the court appointed conservator the authority to sell the real estate of the protected person.
Where is a License to Sell filed?
A license to sell is filed in the Probate and Family Court under the same docket number as the estate, trust, or conservatorship. A license to sell is usually allowed without a court hearing. If you have hired an attorney to represent you, they will draft and file these documents on your behalf.
When do I need a License to Sell?
For an estate, a license to sell is required when a person died without a will (called intestate) or the will does not give the personal representative the authority to sell real estate. This is why it can expedite the real estate sale if you give your personal representative the power to sell and manage real estate in your will.
For a trust, a license to sell is necessary when the trust does not give the trustee the authority to sell real estate. Most trusts give the trustee the authority to sell real estate. Keep in mind, if you withhold the right to sell real estate from your trustee, you are no longer avoiding probate since they will need to file the license to sell with the Court.
For a conservatorship, a license to sell is always required if the conservator would like to sell the protected person’s real estate. If someone is a power of attorney and the document does not give them the authority to sell real estate, they will have to petition the court to be appointed as conservator and subsequently file a license to sell.
How long does it take to get a license to sell?
The license to sell process cannot begin until after you have a signed Purchase and Sale agreement. After that, the documents can be drafted and signed. Once the documents are filed with the Court, it is up to the Court to approve it. A license to sell is never considered an emergency for the Court, however, if all interested parties agree to the sale, then it will likely move quickly. If not, then the pending sale needs to be published in a newspaper and notice needs to be given to all interested parties. Interested parties include all of the decedent’s heirs if it is an intestate proceeding, all the decedents’ beneficiaries if there is a will or trust, or parties that the sale would affect in a conservatorship. An appointment of counsel or a guardian ad litem may be required in some circumstances.
What happens after I receive my license to sell?
After receiving the license to sell, you will then be able to close on the property for the agreed price in the Purchase and Sale Agreement. A license to sell is specific to the Purchase and Sale Agreement filed with the court. If the price changes after you receive the license to sell but before you close on real estate, you will need to apply for and receive a new license to sell for the updated price.
Founded by a nurse attorney and with offices in Acton, Andover, and Sudbury, Massachusetts, Generations Law Group helps families navigate the complex areas of estate planning and elder law to inform and protect loved ones of every generation.
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