How to document and get reimbursed for expenses to maintain estate property before sale

Short answer: As the personal representative (executor or administrator) in an Indiana probate, you generally can pay and later seek reimbursement from the estate for reasonable, necessary expenses that preserve estate property until it is sold. Typical reimbursable expenses include insurance, property taxes, utilities, ordinary repairs, security, lawn/snow care, real estate fees, appraisal and closing costs, and professional fees. You must keep careful records, use the estate account when possible, and obtain court approval for unusual or large expenses.

Detailed Answer — What counts as a reimbursable expense under Indiana probate practice

This section explains the typical categories of reimbursable expenses, what courts look for, and the practical steps you should take in Indiana.

1. Categories of commonly reimbursable expenses

Insurance: premiums to maintain homeowner’s, hazard, flood, or liability insurance while the property is in the estate.
Property taxes and assessments: bills that come due while the estate owns the property (including prorated taxes at sale).
Mortgage, HOA, and other secured obligations: mortgage payments, homeowners association dues, or liens that the estate must pay to avoid foreclosure or penalty.
Utilities and basic services: electricity, gas, water, sewer, and basic seasonal services (heat in winter, water to prevent freeze damage, etc.).
Security and preservation: boarding up windows, changing locks, alarm monitoring, winterization, pest control, and securing vacant property.
Maintenance and ordinary repairs: routine repairs that prevent further deterioration (fixing a leaking roof to prevent interior damage, repairing a broken pipe, repairing furnace, addressing mold or water intrusion).
Yard and exterior care: lawn mowing, snow removal, gutter cleaning—activities that protect value or meet local code.
Professional fees and services: appraisal fees, real estate broker commissions and marketing costs, escrow and closing costs, reasonable attorney or accountant fees related to administration of the estate.
Moving, storage, and cleanup: removal of personal property, short-term storage, reasonable clean-out and hauling costs when necessary to sell the home.
Costs of sale: listing fees, staging, repairs agreed with a buyer, and closing costs tied to completing a sale.

2. What is less likely to be reimbursable

Personal expenses that benefited you instead of the estate (those are not reimbursable).
Expensive improvements that add value but are not necessary to preserve the property (unless the court authorizes them or they substantially increase sale value and are properly documented).
Unreasonable or excessive charges without supporting receipts, invoices, or competitive bids.

3. How reimbursement normally happens in Indiana probate

Reimbursement for administration expenses usually comes from estate assets. The personal representative pays ordinary and necessary expenses from an estate bank account or, if required temporarily, from personal funds with a full accounting and receipts. When you file periodic accountings or a petition for settlement, you list administration expenses and request reimbursement. The court will allow reimbursement for reasonable, necessary expenses before distributing assets to beneficiaries.

4. Court approval — when you should ask first

For large, unusual, or potentially controversial expenses—major renovations, long-term property management contracts, or large loans secured by estate property—seek prior court approval (a written petition) before incurring the expense. Getting approval reduces later disputes with heirs and decreases the chance the court will disallow reimbursement.

5. Documentation that courts and beneficiaries expect

To improve the chance of reimbursement, keep:

Original receipts, invoices, and paid checks.
Bank statements showing payments from the estate account.
Photographs of damage and repairs when relevant (before/after).
Written estimates or competitive bids for significant work.
Copies of insurance claims, tax bills, mortgage statements, and closing documents.
Time logs if you perform work personally (document hours and tasks; courts may limit reimbursement for personal labor).

6. Practical sequence of steps for a personal representative in Indiana

Open a separate estate bank account once appointed by the court. Use it for estate income and expenses.
Prioritize urgent preservation actions (e.g., stop a leak, secure the property) and document why each action was necessary.
Get bids for repair work that might be expensive; if time allows, get at least two competitive estimates.
Pay recurring bills (insurance, taxes, utilities) to avoid liens or loss of the asset.
Keep accurate, dated records. Organize receipts by category and attach them to accountings you file with the court.
If in doubt about a major expense, file a petition with the probate court asking for instruction or approval.

7. Applicable Indiana authorities and where to look

Indiana’s probate law governs administration of estates, including duties and authority of personal representatives and how expenses are handled. For the statutory framework, see Indiana Code Title 29 — Wills, Trusts, and Fiduciary Relations: https://iga.in.gov/legislative/laws/2023/ic/titles/29. For local court procedures or forms, check the Indiana Judicial Branch or your county probate court website and the court clerk’s office for guidance and required filings.

8. What to do if beneficiaries dispute an expense

If a beneficiary objects to a charge you seek reimbursement for, the probate court will review the expense for necessity and reasonableness. You can resolve disputes by producing documentation, showing prior court approval, or—if needed—asking the court to rule. Keeping beneficiaries informed and providing copies of invoices early reduces conflict.

Helpful Hints

Start an estate account immediately after appointment; do not use your personal bank account for estate money.
Keep every receipt and organize them chronologically and by vendor. Digital photos of receipts are acceptable when clear and legible.
Label expenses clearly (e.g., “roof repair – emergency leak – 6/10/2025”).
Obtain written estimates for larger jobs and compare vendors.
For improvements that increase value, get court approval first or disclose them in the accounting as capital improvements rather than ordinary maintenance.
If you pay for anything personally, document it and the reason you advanced the funds on behalf of the estate.
Communicate proactively with beneficiaries about necessary expenses and your plan to preserve the property.
Consult a probate attorney before taking actions that are expensive or could reduce value—this can prevent later denial of reimbursement.

Disclaimer: I am not a lawyer. This article explains general information about Indiana probate practice and is not legal advice. For advice about a specific estate, contact a licensed Indiana probate attorney or your local probate court.