Detailed Answer
Under North Dakota law, a personal representative must follow specific steps to bring real property into the estate for payment of claims:
- Open probate. File a petition for probate in the county where the decedent lived. The court issues letters testamentary or of administration, confirming authority to act. (See NDCC § 30.1-21-01: https://www.legis.nd.gov/cencode/t30-1c21.html#30-1-21-01.)
- Notify creditors. Publish notice in the official county newspaper and mail notice to known creditors. This starts the claims period. (See NDCC § 30.1-28-03: https://www.legis.nd.gov/cencode/t30-1c28.html#30-1-28-03.)
- Inventory assets. Prepare and file an inventory listing all estate assets, including real estate. File it with the court within three months after appointment. (See NDCC § 30.1-21-09: https://www.legis.nd.gov/cencode/t30-1c21.html#30-1-21-09.)
- Seek court authority to sell real estate. If estate funds are insufficient to pay valid claims, petition the court for an order authorizing sale of real property. The personal representative may also request appointment of a local agent if they reside out of state. (See NDCC § 30.1-19-06: https://www.legis.nd.gov/cencode/t30-1c19.html#30-1-19-06.)
- Advertise and conduct the sale. Comply with the court’s order. Publish sale notice and hold a public auction or private sale as directed by the court. (See NDCC § 30.1-19-10: https://www.legis.nd.gov/cencode/t30-1c19.html#30-1-19-10.)
- Confirm sale and distribute proceeds. File a confirmation petition. Once approved, use sale proceeds to pay estate administration expenses and creditor claims in the order set by statute. (See NDCC § 30.1-28-11: https://www.legis.nd.gov/cencode/t30-1c28.html#30-1-28-11.)
This process ensures real property becomes a liquid asset to satisfy valid creditor claims and administration costs.
Helpful Hints
- Start the creditor notice period promptly to avoid unexpected late claims.
- Keep detailed records of advertising, bids, and sale documents for court review.
- Consult with a local attorney if questions arise about bidding procedures or confirmation hearings.
- Check for homestead or statutory allowances before selling primary residence.
- Review priority rules under NDCC § 30.1-28-11 to know which claims get paid first.
Disclaimer: This information is for educational purposes only and does not constitute legal advice. Consult a qualified attorney for guidance specific to your situation.