How to get court approval to sell a house and pay off the mortgage in South Carolina

Short answer: The exact steps depend on who holds legal authority over the property (personal representative/executor, administrator, guardian/conservator, or trustee). In most court-supervised situations you must (1) confirm you need court approval, (2) file a petition in the proper probate or guardianship docket, (3) provide required notice and valuation, (4) obtain a court order authorizing the sale and payoff, and (5) complete closing and file any required accounting with the court.

Detailed answer: step-by-step under South Carolina law

Below is a practical checklist tailored to common scenarios. Links go to South Carolina official law and court resources where you can read the statutes and find local forms and instructions.

1. Identify the legal role and whether court approval is required

Who has authority matters. Common roles:

• Personal representative (executor named in a will, or administrator appointed when there is no will) handling a decedent’s estate.
• Guardian or conservator appointed for an incapacitated person who owns real estate.
• Trustee administering a living or testamentary trust (trustees often can sell under trust terms without court approval).
• Agent under a durable power of attorney (powers may be limited; courts sometimes review contentious sales).

For probate and fiduciary matters, consult South Carolina’s probate and fiduciary statutes: South Carolina Code of Laws, Title 62 (Probate, Decedents’ Estates, and Fiduciaries): https://www.scstatehouse.gov/code/title62.php

2. If you must go to court: prepare a petition

Typical petitions ask the probate or guardianship court to authorize sale of the property and to permit mortgage payoff at closing. The petition should include:

• Your role (personal representative, guardian, conservator, etc.) and proof of appointment (letters testamentary, letters of administration, letters of guardianship).
• Legal description of the property and current market value or an appraisal estimate.
• Details of any mortgage(s): lender name, current payoff amount (obtain a payoff statement), and whether any lienholder consents to the sale.
• Reason for the sale (to pay debts, to preserve or manage assets, to meet the ward’s needs, etc.).
• Proposed sale terms and description of how sale proceeds will be distributed (pay mortgage, pay estate debts, distribute to heirs, or deposit to fiduciary account).
• A proposed order for the judge to sign authorizing the sale and mortgage payoff.

3. Provide notice to interested parties

South Carolina rules require notice to interested parties. Who must be notified depends on the case type (heirs, beneficiaries, creditors, the incapacitated person, co-owners). The court will tell you the required notice method—personal service, certified mail, or published notice. Give the court proof of notice (affidavit of service or publisher’s affidavit).

4. Obtain supporting documents before the hearing

• Current mortgage payoff statement (a precise figure and expiration date).
• Appraisal or broker price opinion to show fair market value.
• Copies of title search or lien search showing existing encumbrances.
• Copy of the purchase agreement if you already have a buyer (the court may want to review terms).
• Accounting showing other estate assets and why sale is necessary if selling to pay debts or provide for the ward.

5. Attend the hearing and obtain the court order

The court reviews the petition, the adequacy of notice, the fairness of the proposed sale, and the reasonableness of paying the mortgage from sale proceeds. If the judge approves, the court will sign an order authorizing:

• Execution and delivery of documents needed to complete the sale (deed, closing documents).
• Payment of the mortgage payoff and any sale-related charges from sale proceeds at closing.
• Any required accounting or bond adjustments after closing.

6. Close the sale and record documents

Provide the closing agent or title company with the court order and any letters of appointment. The closing agent will:

• Use the mortgage payoff statement to pay the lender at closing and obtain a release of lien.
• Handle buyer funds, escrow, deed preparation, and recording of the deed.
• Send net proceeds to the fiduciary account or to pay estate debts, as the court order directs.

7. File post-closing reports and accounting

Most courts require you to file a final accounting or report showing how sale proceeds were applied. If you sold the property to pay creditors or distribute funds, the court may require receipts and a formal accounting before issuing a discharge.

Common statutory pointers and court resources

• South Carolina Code, Title 62 (probate and fiduciary law): https://www.scstatehouse.gov/code/title62.php
• South Carolina Judicial Department—court locations, probate court information, and forms: https://www.sccourts.org
• Local county probate court clerk — rules, filing requirements, hearing schedules, and local forms vary by county. Contact the probate court in the county where the property is located or where the estate/ward case is pending.

Example (hypothetical)

Suppose you are the personal representative for an estate in Charleston County. The house must be sold to pay a $120,000 mortgage and creditor claims. Steps you’d take:

1. Confirm your letters of administration from the Charleston County Probate Court.
2. Obtain a CMA or appraisal and a mortgage payoff statement from the lender showing the exact payoff amount.
3. File a petition in the probate court requesting authority to sell the house and to permit the mortgage to be paid from sale proceeds. Attach the proposed sale contract and proposed order.
4. Serve notice on heirs and known creditors as the court requires and file proof of notice.
5. Attend the court hearing. If the judge approves, obtain the signed order authorizing sale and mortgage payoff.
6. Close through a title company. Provide the court order and letters of administration. The title company pays off the mortgage at closing and records the deed transfer.
7. File a final accounting with the probate court showing the sale, payoff, and remaining distribution.

Helpful Hints

• Start early: lenders’ payoff statements have expiration dates. Obtain them only after you have authorization or close to when you schedule closing.
• Get an appraisal or broker price opinion. Courts want to see the sale price is fair and reasonable.
• Use a local title company or closing attorney familiar with probate and guardianship closings in your county.
• Expect creditor timelines in probate. If the sale pays estate debts, allow time for creditor claims and court review.
• If a co-owner objects (for example, a surviving spouse or co-tenant), seek legal advice early—objections can delay sale and require additional hearings.
• Keep detailed records and receipts for all payments, especially mortgage payoff, taxes, commissions, and closing costs. Courts require documentation in the final accounting.
• If you are acting under a trust instrument, check the trust document carefully—trustees often have express sale powers that avoid probate court entirely.

Where to get local help and forms: Visit the South Carolina Judicial Department website for court locations and contact info: https://www.sccourts.org. For statutory text, start with South Carolina Code, Title 62: https://www.scstatehouse.gov/code/title62.php. Your county probate court clerk can explain local filing steps and may provide packetized forms.

Disclaimer

This article explains general South Carolina procedures and is for informational purposes only. It is not legal advice and does not create an attorney-client relationship. For legal advice tailored to your situation, contact a licensed South Carolina attorney or your local probate court.