Detailed Answer

Short answer: the person or entity entitled to the sale proceeds depends on how the property is owned, whether the home must go through probate, recorded liens and mortgages, and any debts or claims against the estate. A closing statement from the title or closing agent will show the immediate distribution at closing, and probate paperwork or trust terms determine ultimate distribution.

Step-by-step checklist to find out where the money will go

1. Confirm how the property is titled.

   Ownership determines whether the property passes automatically or through probate. Common situations:

   • Joint tenancy or right of survivorship: the surviving joint owner typically takes full title automatically.
   • Living trust: a properly funded revocable trust usually directs the trustee to sell and distribute proceeds per the trust document.
   • Deed to a single owner and no trust: the property generally passes through probate (or by intestate succession if there is no valid will).

   How to check: get a copy of the deed at the county recorder’s office or via the county website. A title company can read the deed and explain the form of ownership.

2. If there is a trust, follow the trust document.

   If the home is in a living trust, the trustee manages selling the house and distributing the net proceeds according to the trust terms. Ask the trustee for a copy of the trust and a settlement accounting.

3. If the estate goes through probate, the personal representative handles sale and distribution.

   Probate in Utah establishes the personal representative (executor or administrator) who can sell estate real property and distribute the proceeds after paying debts, taxes, and administrative costs. For general rules about probate and administration see Utah’s probate code: Utah Code Title 75 and the Utah Courts probate resources: utcourts.gov/howto/probate.

4. Recorded mortgages, liens, property taxes, and HOA assessments get paid first at closing.

   When the house sells, the title/closing agent will perform a title search and pay off any recorded mortgages and liens out of sale proceeds. Property taxes and certain priority liens (for example, recorded tax liens or certain municipal liens) must be cleared before clear title transfers. The closing/settlement statement (sometimes called a HUD-1 for older closings or a Closing Disclosure) will show payoff amounts and net proceeds.

5. Probate creditors and administrative expenses.

   If the property is part of a probated estate, the personal representative must use estate funds (including sale proceeds) to pay valid creditor claims and administrative costs. Utah’s probate statutes govern the claim process and priority; see Utah Code, Probate Administration (Chapter 3).

6. After payoffs and claims, distribute remaining net proceeds.

   Who receives the remainder depends on the legal situation:

   • If a valid will exists, the will directs distribution.
   • If no will, Utah’s intestate succession rules determine heirs. For general intestacy rules see Utah Code, Intestate Succession (Chapter 2).
   • If the property passed to a named beneficiary (for example, by transfer-on-death deed, trust, or joint owner), that beneficiary generally receives proceeds or title according to the instrument’s terms.
7. Get the settlement statement and final accounting.

   The single best document showing exactly where sale proceeds went is the closing/settlement statement from the title company. For an estate sale, also request the estate accounting or final report from the personal representative or trustee. Those documents trace the flow: gross sale price → payoffs & costs → estate net proceeds → distributions to heirs/beneficiaries.

Short hypothetical to illustrate

Hypothetical facts: the house sells for $300,000. The county records show a mortgage of $150,000 and an IRS tax lien of $20,000. Closing costs and realtor fees total $18,000. After title work, the closing agent pays the mortgage and tax lien first, plus closing fees. That leaves $112,000 going to the estate. If the house is in probate, the personal representative must use that $112,000 to pay any outstanding estate debts and administrative costs, then distribute what remains per the will or Utah’s intestate rules. The closing statement shows the mortgage and lien payoffs and the net amount the estate received.

Who to contact and what documents to request

• County recorder: copy of the deed and any recorded liens.
• Title company or closing agent: title commitment and final settlement statement (shows payoff amounts and net proceeds).
• Personal representative or trustee: trust document, will, letters testamentary/letters of administration, and estate accounting.
• Probate court clerk: public filings showing appointment and distribution plans (search local court website or visit the clerk).

Helpful Hints

• Start with the deed. The recorded deed tells you the form of ownership, which often answers the question immediately.
• Request the closing/settlement statement. It itemizes exactly who was paid at closing and how much the estate received.
• Ask for copies of the will or trust and letters of administration. Those documents show who has authority and how distributions must be made.
• Use a title company or real estate attorney for a title and lien search if you cannot interpret the recorder’s records yourself.
• If the property is in probate, understand that creditors have a limited time to make claims. The personal representative must follow Utah probate rules when paying claims; see Utah Code Title 75: https://le.utah.gov/xcode/Title75/75.html.
• Keep careful records. Save the settlement statement, pay-off letters, bank statements showing deposit of proceeds, and any accounting or distribution documents from the estate or trustee.
• If someone contests the distribution, consult a probate attorney promptly because strict deadlines and procedural rules apply in probate matters.