Understanding Creditor Notice and Selling a Deceased Parent’s Home in Michigan

Short answer: In many Michigan cases you do not file a three‑month published “notice to creditors” under the small‑estate affidavit process, but selling a house usually can’t be completed with only the small‑estate affidavit. Whether you must publish a creditor notice depends on whether you open a formal probate, whether the estate qualifies for Michigan’s small‑estate procedures, and how title to the house is held. This is general information, not legal advice. Consult a Michigan probate attorney or the probate court in the county where your mother lived before you sell real property.

How Michigan’s small‑estate procedures generally work

Michigan provides simplified ways to collect some of a decedent’s assets without opening a full administration (probate). Those procedures are intended primarily to help heirs collect personal property or small cash balances. They often do NOT provide the same powers as a court‑appointed personal representative (executor), especially when the estate includes real property such as a house.

Key practical points:

• Small‑estate affidavits typically target personal property (bank accounts, vehicles, personal effects) and limited dollar amounts. They rarely authorize selling real estate.
• If the decedent owned the house jointly with right of survivorship or used a valid transfer‑on‑death/beneficiary deed, title may pass outside probate and you might be able to sell after recording the proper documents.
• If the house is solely in the decedent’s name and there is no survivorship/beneficiary designation, a buyer’s title company will usually require a probate court order, appointment of a personal representative, or another court document that clears title before issuing title insurance and closing the sale.

When is a published notice to creditors required?

Notice to creditors is a formal requirement tied to opening an estate for probate. When you open a formal estate and a personal representative is appointed, Michigan law requires publishing notice to creditors so creditors have a fixed period to present claims against the estate. That published notice period is set by the probate statutes and applies to formal administration—not to the informal small‑estate affidavit procedure in most situations.

In short:

• If you proceed with a formal probate administration and the court appoints a personal representative, the court will require publication of notice to creditors (and likely other creditor notice steps) before assets can be distributed or the home sold by the personal representative.
• If you use a small‑estate affidavit that applies to the assets, publication of a creditor notice generally isn’t part of that affidavit process. But a small‑estate affidavit usually will not be sufficient to clear title for sale of real property.

Typical paths to selling the house and how creditor notices fit

1) Title passes outside probate (joint tenancy or beneficiary deed)

If title automatically passed to someone by survivorship or a valid beneficiary deed (transfer on death), you can usually sell without probate. Confirm ownership, record any required affidavit or death certificate, and work with a title company. No published creditor notice tied to probate will be needed in that case.

2) Small‑estate affidavit (only personal property or qualifying limited assets)

If the estate qualifies and the asset is collectable under affidavit rules, you can use that process for personal property and some small accounts. Most small‑estate affidavit procedures do not require publishing a notice to creditors. However, because the house is real property, most buyers and title insurers will require either probate or a court order to get marketable title.

3) Formal probate with appointment of a personal representative

When the estate includes real property and no automatic transfer exists, you will likely need to open probate and have a personal representative appointed. In that scenario, the probate court process includes giving notice to creditors. Under Michigan probate practice, the court will direct publication and the time for creditors to file claims runs from the date of publication. That process protects the personal representative and clears debts before distribution or sale of estate property.

Practical steps if you want to sell the house

1. Check title and deed: determine whether the house passed by survivorship, beneficiary deed, or is solely in your mother’s name.
2. Get certified copies of the death certificate.
3. Contact the county probate court clerk and ask whether a small‑estate affidavit would apply and whether it would permit transfer of real property in your case.
4. Talk to a title company early. Title companies and buyers often insist on probate or a court order to insure title for sale.
5. If probate is necessary, expect the court to require creditor notice publication as part of the administration. If a personal representative is appointed, creditor notice periods must be observed before final distribution.
6. Consult a probate attorney if any creditor claims, mortgages, or disputes among heirs exist.

Helpful links for Michigan forms and information

• Michigan Courts — Probate forms and general information: https://courts.michigan.gov
• Michigan Legislature — Michigan Compiled Laws (searchable statutes): https://www.legislature.mi.gov

Helpful hints

• Do not attempt a sale just by listing property if title remains solely in the decedent’s name — buyers and lenders typically require clear, insurable title.
• Small‑estate procedures are helpful for getting access to bank accounts and personal effects, but do not assume they allow sale of real property.
• If you open a formal probate, expect a published creditor notice and a statutory period for creditors to file claims; following those steps protects the buyer and the personal representative.
• Ask the title company what documentation they will require to insure the sale — that answer often controls whether you must open probate.
• Keep a record: certified death certificates, wills (if any), deeds, mortgage statements, and communications with the probate court and title company.

When to get legal help

Contact a Michigan probate attorney if:

• The house is sole property and buyers or lenders insist on probate documents.
• There are mortgages, tax liens, or creditor claims against the estate.
• Heirs disagree about selling or how to distribute proceeds.

These issues can affect how quickly you can sell and whether creditor notices or a full administration are required.

Disclaimer: This answer explains general Michigan procedures and is not legal advice. Laws change and facts matter. For advice tailored to your situation, consult a licensed Michigan probate attorney or the local probate court.