How an executor in Texas can sell real property to pay estate debts — detailed FAQ

Disclaimer: This is general information, not legal advice. I am not a lawyer. For guidance specific to your estate, consult a Texas probate attorney.

Short answer — the core steps

As an executor (personal representative) in Texas, you must first confirm you have legal authority to sell the property (from the will, by court appointment, or via independent administration). Then you must identify estate creditors, give required notices, inventory and value the property, obtain any needed court approval or letters, market and sell the property (or obtain court permission for a sale), and properly account for proceeds and pay debts in the legal priority. Finally you distribute any remaining funds to beneficiaries and close the estate with the court.

Detailed answer — step-by-step guide

1. Confirm your role and authority to sell

Start by reading the will and the court documents that appointed you. The will may give the executor explicit power to sell estate real property. If the will does not, you need to check whether the court granted you authority in your Letters Testamentary/Letters of Administration.

If the estate has been granted independent administration, the personal representative usually has broader power to sell estate assets without asking the court for permission. If not, you likely must ask the probate court to approve a sale. See the Texas Estates Code for rules on appointment and powers of personal representatives and on independent administration: https://statutes.capitol.texas.gov/?link=ES

2. Determine whether homestead or exempt property limits a sale

Texas law protects homestead and certain exempt property. A decedent’s homestead (and in many cases a surviving spouse’s homestead rights) can limit your ability to sell land to pay debts. If the property is the decedent’s homestead, special rules apply and you may need court authorization or the surviving spouse’s consent. Consider homestead protections before trying to sell. (See Texas constitutional and statutory homestead protections: Texas Constitution and the Texas Estates Code via the link above.)

3. Obtain letters and any court orders you need

Before taking major acts like selling real estate, confirm that you possess the proper letters (letters testamentary or letters of administration) issued by the probate court. If the will or appointment does not authorize a sale and the estate is not independent, file an application for the court’s approval of the sale and get an order authorizing the sale and directing how proceeds should be handled.

4. Inventory, appraisal, and valuation

Texas requires the personal representative to inventory and appraise estate assets. An accurate appraisal or market analysis for the real property is essential to ensure a fair sale and to justify pricing to the court and creditors. File required inventories with the court if the court order requires it.

5. Notify creditors and follow statutory notice rules

Creditors must be notified so they can present claims against the estate. Texas law provides for publication of creditor notice and for written notice to known creditors; there are deadlines for claims after notice is given. Because selling estate property to pay debts directly affects creditors’ ability to recover, make sure you follow the statutory notice process closely. (See the Estates Code for creditor notice and claims procedures: https://statutes.capitol.texas.gov/?link=ES)

6. Decide how to sell — private sale, broker, or court-ordered sale

If you have authority to sell without a court order (independent administration or explicit will language), you can use a broker or sell privately. If you lack that authority, the court may require you to sell at a public auction or approve the terms of a private sale. Document marketing efforts, offers, and any broker agreement carefully; the court will want proof that the sale was reasonable and in the estate’s best interest.

7. Handle secured debts, taxes, and sale mechanics

If the property secures a mortgage or lien, you must address the lien before or at closing (usually by paying off the mortgage from the sale proceeds or arranging payoff). Also ensure taxes (estate taxes if any, property taxes, and any tax clearance obligations) are handled. Use escrow with a licensed title company or attorney to clear title, prepare and record the deed, and handle payoffs at closing.

8. Accounting, payment of debts, and distribution of proceeds

After sale, pay legitimate estate expenses and debts in the statutory priority order (administration costs, secured claims, funeral expenses, taxes, allowed creditor claims, then beneficiaries). Keep detailed records and file the required accounting with the probate court (and obtain court approval of distributions when required). Beneficiaries receive what remains after valid claims and expenses are paid.

9. Close the estate

Once all assets are sold or distributed, debts and taxes paid, and the court accounting approved, file a final report or petition for discharge and close the probate. The court will issue an order discharging you as personal representative and releasing you from further duties following any required waiting period.

Common complications to watch for

• Homestead and family exemption claims that prevent sale without consent or special court orders.
• Disputed creditor claims that require litigation before you can distribute sale proceeds.
• Will terms that give beneficiaries a right to take the property in kind rather than sell it, or that require specific procedures for sale.
• Title issues, liens, or encumbrances that must be cleared before marketable title can pass.

Helpful hints

• Read the will and your letters carefully—your authority depends on those documents.
• Get a written appraisal or comparable market analysis; courts and creditors expect reasonable value determinations.
• Preserve a paper trail—save notices to creditors, marketing records, offers, closing statements, and receipts for payments from sale proceeds.
• Check for homestead issues early. If the decedent’s spouse or minor children claim homestead rights, get legal advice before marketing the property.
• Use a title company or probate-savvy closing attorney for the sale closing to avoid title and recording problems.
• If unsure whether you can sell without court approval, get a probate court order authorizing the sale or hire counsel to seek it—this protects you from personal liability for unauthorized distributions.
• Follow creditor notice timelines exactly—missing a step can create personal liability or delay estate closure.

Where to look in Texas law

Texas’s statutory rules for probate, appointment of personal representatives, independent administration, creditor notice, and inventories are in the Texas Estates Code. You can browse the Estates Code here: https://statutes.capitol.texas.gov/?link=ES

Because homestead and exemption rules affect whether a sale may be allowed, review Texas homestead protections (Texas Constitution and related statutes) and consult counsel if homestead is at issue.

When to get a lawyer

If the estate is complex, property is the decedent’s homestead, there are unresolved creditor claims, disputes among heirs, or you face liens or title problems, hire a Texas probate attorney. An attorney can help you get proper court authority, comply with notice requirements, clear title, and minimize personal liability risks.

Need help finding an attorney in Texas? Look for a probate or estate attorney licensed in Texas with experience in estate administration and probate sales.