Detailed Answer

Disclaimer: This article is for educational purposes only and does not constitute legal advice. Always consult an attorney for advice about your specific situation.

Sale Through the Probate Estate

When a decedent’s estate includes real property in Montana and one heir is a minor, the personal representative (executor or administrator) may petition the district court to sell the property under Mont. Code Ann. § 72-3-723. The court must find that the sale is in the best interests of all heirs, including the minor, and may set aside sale proceeds in a blocked account or trust until the minor turns 18.

Montana Code: § 72-3-723

Guardianship or Conservatorship Sale

If the minor already has a guardian or conservator over their estate, that guardian can petition the court under Mont. Code Ann. § 72-5-222 to sell or transfer the minor’s interest in real property. The guardian must demonstrate that the sale is necessary and fair. Proceeds from the sale are held under court supervision for the minor’s benefit until they reach adulthood.

Montana Code: § 72-5-222

Testamentary Trust or Minor’s Trust

A decedent’s will may establish a trust for a minor heir, delaying the sale or retention of property until a specified age. The trustee manages the property and can sell or lease it under the terms of the trust. This avoids the need for court-supervised guardianship sales.

Joint Ownership with Adult Co-Owner

If the minor inherits alongside an adult, the adult co-owner and the minor’s guardian may agree to sell or refinance the property. The guardian must seek court approval to bind the minor’s interest in the transaction.

Keep the Property Until Majority

The estate may choose to hold the real property until the minor turns 18, at which point the transfer or sale can occur without court approval. During this time, the estate or guardian must maintain insurance, taxes, and upkeep.

Helpful Hints

• Start the probate or guardianship process early to avoid delays when selling property.
• Gather certified copies of the death certificate, will, and any guardianship orders.
• Maintain clear records of all sale proceeds held for the minor in a court-approved account.
• Consult a probate or guardianship attorney to prepare petitions and attend hearings.
• Explore trusts in the decedent’s will to streamline property management for minor heirs.