How to Sell or Transfer Real Property When an Heir Is a Minor in Alabama

Detailed Answer

Under Alabama law, a minor (under 18 years old) cannot legally enter into binding contracts, including real estate transactions. To sell or transfer an heir’s interest in real property when the heir is a minor, you generally need probate court oversight. Here are the primary options:

Appointment of a Conservator (Guardian of the Property)
Interested parties must petition the county probate court to appoint a conservator for the minor’s property. The court supervises the conservator’s actions to protect the minor’s interests. Once appointed, the conservator can request court approval to sell or transfer the minor’s share of the property.
See Ala. Code § 26A-5-102 (petitions) and Ala. Code § 26A-5-503 (sale of property).
Partition Action with a Guardian ad Litem
If multiple owners hold the property, you can file a partition action in circuit court under Ala. Code § 6-6-20. The court may appoint a guardian ad litem to represent the minor’s interest. After the court orders a partition sale, proceeds distribute to all owners, including the minor through the guardian ad litem.
Court-Approved Settlement or Trust
Parties sometimes transfer the minor’s interest into a trust or seek a court-approved settlement of the minor’s property rights. The probate court must review and authorize any compromise affecting the minor’s interest.

Process for Selling via Conservatorship

File a petition in the probate court where the property is located. (Ala. Code § 26A-5-102)
Provide notice to all interested parties, including heirs and lienholders. (Ala. Code § 26A-5-106)
Attend the court hearing and present an appraisal to demonstrate fair market value.
Obtain a court order authorizing the sale. (Ala. Code § 26A-5-503)
Complete the transaction and file the required report with the court.

Helpful Hints

Collect all title documents, deeds, and probate records showing the minor’s interest.
Obtain an independent appraisal to support the proposed sale price.
Consult a probate attorney experienced in Alabama guardianship and real estate law.
Ensure timely and proper notice to all heirs, lienholders, and interested parties.
Prepare for court-ordered bond requirements for the conservator or guardian.
Discuss potential tax implications with a qualified tax advisor.
Maintain detailed records of filings, notices, orders, and accounting reports.

Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed Alabama attorney to discuss your specific circumstances.