Disclaimer: This is general information, not legal advice. I am not a lawyer. For advice about a specific situation, contact a licensed Idaho attorney familiar with probate and real property law.

Detailed Answer

When a person dies in Idaho, their property does not automatically stop having ongoing obligations. Mortgages, utility bills, and other recurring charges continue unless someone takes steps to pay them. Probate gives an appointed personal representative (called an executor or administrator) the authority to collect estate assets and pay debts and expenses, but probate does not erase secured debts or stop creditors from protecting their interests.

Who has responsibility for mortgage and utility payments?

• Personal representative: Once appointed by the probate court, the personal representative has the duty to preserve estate assets, which typically includes maintaining mortgage and utility payments on real property that is part of the estate. The representative can use estate funds for reasonable expenses necessary to preserve the estate.
• Heirs or beneficiaries: If property passes to heirs or beneficiaries, they receive it subject to any mortgage or lien. If they take possession, lenders expect payments to continue. If they decline the inheritance, they generally avoid personal liability but the mortgage remains attached to the property.
• Co-signers or surviving borrowers: Anyone who co-signed the mortgage or was a co-borrower remains personally responsible for payments.

Can a lender foreclose while the estate is in probate?

Yes. A mortgage is a secured debt connected to the property. Lenders may pursue foreclosure under Idaho law if payments stop. Probate does not automatically prevent foreclosure. If the mortgage falls into default, the lender can seek remedies allowed by the mortgage agreement and Idaho law, including nonjudicial foreclosure if a deed of trust and power of sale exist. Communicating early with the lender is essential to avoid foreclosure.

How are utility services handled during probate?

Utility providers supply services under contracts with the decedent. Utilities may shut off service for unpaid bills unless someone (the personal representative, a beneficiary, or a new account holder) pays those bills or arranges billing in a different name. If utilities are needed to preserve the property (heat, electricity, water), paying the bills is a normal estate expense.

Where does the money come from to pay these bills?

The personal representative can pay necessary mortgage and utility expenses from estate funds. If the estate lacks cash, the representative has limited options:

• Use non-cash estate assets (e.g., sell other estate assets, with court approval if required) to raise funds.
• Obtain court authorization for borrowing or selling property if immediate payment is required and estate funds are insufficient.
• Arrange temporary agreements with the lender (forbearance, loan modification) or utility provider to avoid immediate shutoff or foreclosure.

Practical timeline and steps to protect property

1. Open probate promptly. The personal representative gains formal authority to act and to access estate bank accounts and funds.
2. Inventory estate assets and identify mortgages, utilities, and other ongoing obligations.
3. Contact the mortgage servicer immediately to report the death, provide the representative’s contact info, and ask about options (temporary forbearance, payment arrangements, loss-mitigation programs).
4. Contact utility companies to explain the situation and arrange for continued service or transfer of accounts to an estate or new occupant.
5. If estate funds are limited, ask the court for directions or authority to sell assets or borrow to pay essential expenses.
6. Keep clear records. The representative must account for estate expenditures and may need court approval for significant actions.

What happens if the estate can’t or won’t pay?

If mortgage payments stop and no arrangement is made, the lender may start foreclosure. If utilities are unpaid, the provider may disconnect service. Creditors’ rights and the secured nature of mortgage claims mean the creditor’s remedies often proceed regardless of probate, unless the court orders otherwise or the parties reach a negotiated solution.

Relevant Idaho law and where to read it

Idaho’s probate statutes govern the appointment and duties of personal representatives and administration of estates. For general probate provisions see Idaho Code Title 15 (Probate, Trusts and Fiduciary Relations): https://legislature.idaho.gov/statutesrules/idstat/Title15/. For laws governing mortgages, deeds of trust, and foreclosure procedures, see Idaho Code Title 45: https://legislature.idaho.gov/statutesrules/idstat/Title45/. These chapters explain the duties of fiduciaries and the remedies available to secured creditors.

Helpful Hints

• Start probate quickly. The sooner a personal representative is appointed, the sooner they can access estate funds and stop collection actions.
• Notify the mortgage lender and utilities immediately. Lenders and utilities often offer short-term options if contacted early.
• Preserve the property. Paying for heat, water, and basic maintenance can prevent damage that reduces the estate’s value.
• Document every payment. Keep receipts and records showing estate funds were used to protect estate assets—these will be part of the representative’s accounting to the court.
• Ask for written agreements. If a lender or utility agrees to a forbearance or temporary change, get it in writing and attach it to the estate records.
• Consider quick sale options. If ongoing costs exceed the estate’s ability to pay, selling the property—often with court approval—can satisfy the mortgage and preserve value for beneficiaries.
• Check who remains liable. If someone co-signed the mortgage, they remain responsible. Heirs who accept property take it subject to existing liens.
• Consult a probate attorney early. A lawyer can help the representative understand statutory duties, obtain court authorization where needed, and negotiate with lenders or utilities.