Detailed Answer

Short answer: Yes — when property is part of a decedent’s estate and you are the personal representative (executor or administrator), sale proceeds can generally be used to pay reasonable estate administration expenses such as junk removal, personal property cleanup, repairs needed to make the property marketable, and similar costs, provided the expenses are authorized by the will or the probate court and are properly documented.

How this works under New Hampshire law

When someone dies, title to assets that belong to the decedent becomes part of the probate estate (unless those assets pass outside probate). The personal representative appointed by the Probate Court manages those estate assets. The representative must collect assets, pay valid claims and administration expenses, and then distribute the remaining estate to the heirs or beneficiaries.

In New Hampshire, the Probate Division of the Judicial Branch explains the role and duties of personal representatives: they gather assets, preserve estate property, pay debts and expenses, and distribute the residue after obligations are satisfied. See general probate information from the New Hampshire Judicial Branch: https://www.courts.state.nh.us/probate/.

State law and probate practice require that administration expenses be reasonable, necessary, and either authorized by the will or approved by the Probate Court. Estate expenses typically paid from estate assets include funeral costs, taxes, appraisal fees, repairs necessary to preserve or market estate property, utilities, property maintenance, and reasonable costs of clearing out junk or personal property that interfere with sale or pose a safety/hazard concern.

Common scenarios and what to do

If you are the personal representative: You generally may use estate funds (including sale proceeds) to pay reasonable cleanup, junk removal, and staging/repair costs before or after sale, but you should (a) keep receipts, (b) record those expenses in the estate inventory and accounts, and (c) obtain court approval if the expense is unusually large or contested by beneficiaries.
If you are a beneficiary or heir and you sell estate property yourself: If the property is sold outside probate or by an heir without estate authority, proceeds may belong to the seller personally and cannot lawfully be used to pay estate debts unless the seller is acting under authorization from the personal representative or by court order. Avoid spending proceeds on estate expenses absent clear authority.
If the will grants sale authority: Many wills authorize the executor to sell real or personal property. If the will expressly authorizes sales, using proceeds to pay expenses that arise from the sale (cleanup, hauling, repairs) is usually allowed but should still be documented.
If there is no will or no clear authority: Seek court permission. Petition the Probate Court for authority to sell property or to approve an expense. The Court can approve sale terms and specific expenses so the personal representative has protection from later claims by heirs or creditors.

Order of payments and priority

Typically you must pay valid funeral expenses, administration expenses, taxes, and creditor claims before distributing funds to beneficiaries. Keep the estate’s funds segregated in an estate account. Do not commingle estate sale proceeds with your personal funds.

Documentation and best practices

To protect yourself and the estate, follow these steps:

Confirm your authority: check the will and probate appointment papers for sale and spending authority.
Obtain itemized written estimates from junk-removal or cleanup companies.
Choose reasonable bids — document why you chose a particular vendor (price, availability, insurance).
Keep all invoices, receipts, and before/after photos in the estate file.
If expenses exceed a customary amount or beneficiaries object, seek Probate Court approval in advance.
Report expenses in the estate accounting submitted to beneficiaries and the Court as required.

Hypothetical example

Suppose an estate includes a house that will not sell in its current condition because of accumulated junk and unsafe items in the garage. The personal representative obtains two written estimates: $1,800 and $3,000. The representative hires the $1,800 company, documents the estimate and receipt, and pays from the estate account. After cleanup the property sells; the representative applies the proceeds first to administration expenses (including the cleanup charge), then to taxes and creditors, and finally distributes the remainder to beneficiaries. If a beneficiary later objects, the representative can show the Probate Court the estimates, the receipt, and photographs to justify the expense.

When you should get court approval or an attorney

Expenses are large relative to the estate value.
Beneficiaries or co-personal representatives dispute the necessity or amount.
You are unsure whether the property is part of probate estate or passes outside probate (joint ownership, beneficiary deeds, payable-on-death accounts).
You need authority to sell real estate or high-value personal property and the will doesn’t provide clear power.

The Probate Court can issue an order authorizing sale and/or expense payment, removing risk that an heir later demands reimbursement.

Where to find New Hampshire law and help

Refer to the New Hampshire Revised Statutes and the Probate Division of the New Hampshire Judicial Branch for guides, forms, and contact information:

New Hampshire Probate Division: https://www.courts.state.nh.us/probate/
New Hampshire Revised Statutes (RSA) — statute index: https://www.gencourt.state.nh.us/rsa/html/

If you expect disputes, complex assets, or tax consequences, consult a New Hampshire probate attorney or file a petition with the Probate Court to obtain clear court authority.

Disclaimer

This article is informational only and is not legal advice. It does not create an attorney-client relationship. For advice tailored to your situation in New Hampshire, consult a licensed attorney or the Probate Court.

Helpful Hints

Always confirm whether the property is estate property subject to probate before spending proceeds.
Keep a separate bank account for estate funds; never co-mingle personal and estate money.
Get multiple bids for cleanup and junk removal to show reasonableness.
Keep photos and written contracts/invoices for the estate file and accounting.
If beneficiaries object, pause and seek Probate Court guidance rather than spending more estate funds.
Small estates may have simplified procedures; check Probate Court guidance for thresholds and forms.
When in doubt, seek an attorney experienced in New Hampshire probate law or ask the Probate Court for direction.