Disputes over selling estate

My mother passed away a few ago.
My sisters and I are beneficiaries to my mothers estate and my oldest sister is the executor.

My mother’s house has been on the market for 2 months and my sister is intent on selling it.

The listing price I think was on the low side but I was willing to accept it if it could sell quick.

She has informed me an offer has been place and she wants to accept it. It’s 25k less then listing price.

I said I wasn’t really comfortable with it and was met with hostility.

My sisters seem to think selling it to a “young family is a nice thing to do”. I am of the opinion my mother would prefer we try to sell it for the highest price.

They are now annoyed at me for objecting the offer but I feel like as I’m not the executor, she is going to accept it anyway.

We’ve have had a falling out since the passing of my mother. When I objected to the offer she said “you can start paying for maintence then” and “ I knew you would say no”.

This is my only inheritance and I don’t want to be shorted changed but am feeling pressured. Am I in the wrong here?

Comments

  • +2 votes

    There doesn't have to be someone in the wrong.

    It's not wrong to want to get more. It's not wrong to want to sell now and avoid further fees and the value potentially going down. It's just different perspectives.

    Do your sisters have financial burdens that could be eased by selling now? Is that contributing to their desire to sell? Maybe it's not just about the young family.

    I'm sure you all understand where the others are coming from, but none of you want to compromise and there may not even be a way to compromise. You sell or you don't.

    Is your sister willing to try to negotiate with the buyer and if they won't budge would you be willing to accept the offer they have made?

    Do you generally have a good relationship with your sisters and is that important to you?

    If you're not all going to be happy, your sister is the executor, your sisters both/all want to sell so it sounds like that's the majority as well. I'd say your sister probably will sell even if you don't agree and I don't think it's wrong for her to do so.

  • +2 votes

    My father's side of the family are a real piece of work. My father has been dead for 21 years (in his mid 30's att). That was the start. Then my grandfather died a few years later and left in his will, land and property that was meant to be for my father, to me. Both my uncle, his sister and their families are some of the most disgustingly money hungry people i've ever met (wanted it for themselves and their families). My mother was very passive at the time, has been all her life i guess. I was ignorant and didn't know about challenging anything legally. Early 2000s.

    They won't let me talk to my grandmother who's in her 90's and lucky to be alive. Yes they control her.

    I cut them out of my life years ago.

    These stories are more common than i'd prefer.

    I have to tell myself God will cut them down, sooner or later, so i don't feel agitated.

    •  

      my nasty sibling had a house fire on the day we got paid our inheritance.

    • +1 vote

      Off topic from the OP, but I know what you mean.
      I used to work in a bank, and we had this family waiting outside of the branch from about 8.45am (noting that banks open at 9.30am). They waited patiently until we opened, then proceeded to close their fathers account who had passed away that morning (around 2-3am) with the interim death certificate provided by the hospital. From memory, the account only had a few hundred dollars in it. The guy was dead no more than 6-7 hours and they were already cleaning out what little he had.

      On topic:
      You can get a valuation done, it's only going to cost a few hundred dollars and it will give you a reasonably accurate assessment. However, depending on where the property is, and what it is (we don't know squat about the property), let's be honest, the few grand split 3 ways isn't that much of a hit. I'd jump ship now, and not worry about it. I've seen a lot of people lose a hell of a lot more than $25k on their house (or unit or land).
      The market is tricky to predict, but I don't see it getting better any time soon.

  • +7 votes

    If you think it's worth more than what they are willing to take then offer to buy them out at the offer price.

  • +1 vote

    Do what is right for yourself. Keep in mind, by holding out you can end up losing more money due to maintenance or falling housing prices. However, the reverse can also happen. Housing prices might increase. As for your sisters, well it depends, if they are anything like my relations, you are better off without them.

  • +2 votes

    I am of the opinion my mother would prefer we try to sell it for the highest price.

    I think she would prefer her children weren't fighting over trying to get a few extra $1000 on top of their ~$100,000+

  • +2 votes

    I hope the ~$7k is worth the irreparable damage undertaken on your relationship.

  •  

    Where there's a will, there's someone with their hand out.

    •  

      so beneficiaries often have to worry.

    •  

      Where there’s a will, I wanna be in it.

  • +9 votes

    Wow you really sound petty, from your story alone I'm tending to side with you sisters. As others have said get a solicitor and watch that inheritance drain away

  • +1 vote

    If you can't rent it out at the moment then it's dead money, the housing market is only going to plateau but more likely get worse from here and when hindsight comes September, a hit of $25k today might not look so bad.

    • +2 votes

      Come Sept and Oct it’ll be scary to think what would happen to the property market. I have convinced a close relative not to buy a unit this or next month. I had to literally beg them to at least wait until the end of the year first. I also know of 2 other families wanting to get into the property market right now because they think it’s good value. It’s crazy!

      •  

        Couldn't agree more I feel the biggest money transfer will be from the uneducated to the educated in the next couple of months. At risk people paying top dollar for houses that are grossly overpriced as a result of FOMO, pushed up by investor speculation.

        Once the support runs out, less people are able to pay the inflated rents, the inflated mortgages go into arrears and we're back to square 1. Albeit with first home owners with 30 year mortgages *yay and large university debts hanging over their heads while investors are sitting pretty on nest eggs ready for retirement.

        Just look at Perth, down 28% from the peak. Now the investors are in a deep hole of regret and the market continues to fall. It's not going to take much to push Sydney and Melbourne over the edge.

        •  

          Perth isn't Melbourne or Sydney and it's crazy to draw a comparison between the two. Perth, literally the most isolated capital city in the world, has prospered in recent times due to the mining boom - let's be kinda real here, there's not much else drawing people away from the east to go live there.

          Melbourne and Sydney aren't heavily dependent on a single industry;it's going to take a LOT to push Sydney and Melbourne over the edge and honestly I don't even think a global pandemic has it in it.

      •  

        I’d think after sep/oct landlords will start to struggle and then comes Q4/Christmas time which is known to be a quiet period for property market. I’m guessing we will start to notice the drop in price in early 2021. Though historically rba/apra would always interrupt the market via changing lending policy, so let’s see. Maybe the drop in price won’t be as big but it’ll drop..

  • -1 vote

    Don't sell.

  • +1 vote

    Why is everyone assuming that the relationship with the sisters is worth it? Just putting it out there…

    Lotsa assumptions and bias here…

    • +1 vote

      If I had two kids and they fought over money, i'd be rolling in my grave. just saying

  • -1 vote

    Tell the sister to take the pay cut out of her portion of the inheritance

    • +1 vote

      Then we'd find out if she really cares about being nice to a "young family".

  • +2 votes

    One of your sisters is the executor and also it’s 2 against 1. You might be right but it doesn’t matter. Just play by the rules.

  • +1 vote

    Thank your sister genuinely for asking your opinion (she didn't have to).

    Since your sister asked your opinion…..Ask your sister if it could be auctioned; set the reserve at the price minus the 25k.

    If she decides against your advice and does the quick sale… then years from now when she complains about the cost of living just agree with her and state thoughtfully '…if only we had had an auction for mum's old house we might have gotten more'.

  • +19 votes

    Was in a similar position 12 months ago
    Mum passed away, we needed to all the house.

    1 brother lives overseas & couldn't do anything.

    Other brother here & myself were executors of the estate.
    He did the legal work, probate etc, and I was on the ground, clearing the house, gardens & getting it ready for sale etc.

    We interviewed agents together, signed one up & all 3 of us agreed on the lowest price that we would accept.

    The absolute final offer from the buyer was still $10K less than what we wanted.
    My comment to them was 'Im tired, lets just sell it now - yes we can get more but it will cost us more to get that price, rates, insurance, more marketing, staging etc'.
    We agreed on that sale price, and all done - it was not worth complaining & moaning over a few thousand dollars.

    The market decides what you can get. Right now, people are nervous about real estate. Get what you can & move on.

    Don't loose family & become bitter about money. Not worth it in the long run.

    • +1 vote

      I’m sorry for your loss. And same to you, OP.

      To stay in topic, I’d also sell. It’s been on the market for two months and we’re in the middle of a pandemic. Prices aren’t going up any time soon and holding on to it is costing you all money.

      It think it’d be different if it was $75k below market. Or if you’re share was over $30k. But for $7-8k? It’s a no brainer.

  •  

    I'm not in real estate, but I would be surprised if anyone was paying the listing price for any property that's out there.

    When I bought last year, there were a number of properties that were willing to discount by 10-25K to get a sale through.

  • +1 vote

    $25k is a trivial sum in terms of property long term.

    Legally you have no decision. Opinion wise, accepting the offer is the better decision.

    You're lucky she is even asking your opinion. Sometimes, a fast decision is a good decision.

  • +5 votes

    The propety market is already down 20% from the peak and falling fast. I would have sold ASAP. The delay has already wiped at least $50k-200k from the properties value (depending on its value $250k-$1mill). Get out ASAP. Any further delays will only erode your inheritance further.

  • +7 votes

    Nothing like money you haven't earned to bring the worst out in people.

  • +1 vote

    25k split 3 ways is peanuts when it comes to property i'd take it…esp in this market however the smart thing to do would be wait maybe 12 months when the economy is (hopefully) a little better

  • +1 vote

    25k 3 ways is nothing, especially in this market. Have them sign unconditional and a short settlement if possible and move on.

  • +1 vote

    $25k now, based on what?? The house is only worth what someone is prepared to pay for it.
    You can pay a valuer, but that aint going to mean someone is paying that amount for it.
    No brainer, sell before 25k comes 50k gap in your mind.

  •  

    And the OP disagrees with accepting the offer on the table now. Let's see if they will ever agree on when to sell if they disagree now. Continuing a long term joint ownership of a property is a bad idea and will only end in stress for everyone involved. Better to sell now and go their separate ways.
    There is a reason there is a saying to never mix money with family and friends

  • +3 votes

    Why not buy your sisters out at the price they are happy with? If you think it's worth more, you can "probably" make bank…

    If the sisters are not happy with that then you know what your working with…

    But if it was me, I would probably take the money and run.. sometimes, some problems aren't worth the $$$

    • +2 votes

      Spot on. If your so convinced the price isn't enough your option is to buy them out. Simple.
      Good luck with the extra few K you think you will get from that

  • +1 vote

    Sorry to hear about your loss.

    At these uncertain times, just sell it and get it over with. It’s not worth causing family problems over money that isnt earned. Market is likely to crash further and would take some time to recover. Unless you are ready to do maintenance of property until its comes back up; there isnt a point.

    Whatever money you get out of the sale; make good use of it and don’t gamble away.

    • +3 votes

      You're making up numbers

  • +2 votes

    Just be happy for the money you are able to get tbh. My parents rent so one day there will be nothing to inherit. I think people that inherit a property from their parents should just be happy with whatever they get. Also considering the current climate 25k less is not bad If you got no other offer.

    • +1 vote

      I'm sure there will be a few family trinkets for the family to fight over if so inclined.

  •  

    In my opinion, it is only $25k below. The price will definitely go down again with our current economy circumstances. I guess what matter is don't let the greed kills your relationship especially with your family members.

  •  

    Did you grow up in this house? It’s hard when there’s emotional attachment

    Has anyone mentioned trying an auction yet?

  • +1 vote

    If you think the house is worth $25k more, what is that based off? You can register for RP Data that will give you historical sale prices and valuation range. Do it for all the similar houses in the same street (or go crazy and do several streets). There are photos so compare with ones with similar land size, bedrooms, bathrooms etc and overall condition.

    As others have pointed out, you can accept the offer and confirm with your executor you’re okay with that (they still have ultimate decision what will happen). You can make your case that you can absorb any profit or loss with your share of estate and reject current offer and keep house on market. Another option and one that corporate trustees use when selling property for an estate (background I’ve worked for Equity Trustees and Trust Company of Australia) is selling via auction. This method is fully transparent and fair (ie as others mention, sale price is what the market will bear, not what you think it’s worth or hope to gain). Reserve price is at the bottom range of what the valuer comes back with.

    So based on what OP has said, auction is probably the method that will make OP feel Less like being shortchanged. But because there is an offer price already, any auction result less than current offer price will make the other two beneficiaries feel like it’s a monumental screw up and OP is to blame. Not to mention added cost for auctioneer and marketing and current market conditions.

    One thing you can do is offer to get property valued. Arm yourself with facts why you think estate can get more for the house. If property is sold for higher price, ask estate reimburse you. If offer price is within valuation range, then offer to wear the cost of valuation yourself and not the estate. Show some goodwill because it will help with your relationship with your siblings.

    Sit down for dinner and talk with each other. Refrain from being combative or argumentative. Everyone should listen to each other what their thoughts are. Is shared maintenance Cost something everyone is happy with until house is sold? Is holding out for higher price in the best interest of everyone? Maybe they’ve earmarked funds for something now as opposed to months down the track.

    And more importantly, sorry for your loss. It’s hard losing your parent. You only have each other left so be kind to each other and be flexible as you can because everyone has their own way with dealing with loss. Why add the money to the stress during this difficult time?

  • +2 votes

    Dude, your house has been on the market for 2 months. The offer you have is likely to be the highest price you'll get.

    Take it, apologise to your sisters, then promptly move on.

  • +1 vote

    Seems like the easiest way to settle this is to vote? Majority wins.

    There are ongoing costs with holding onto a property and you may not guarantee a better deal if you knock this one back.

    • +14 votes

      I’ll just need to invest

      Maybe try investing some time in personal relationships. They last a lifetime and beyond.

      You might end up with a bunch of money towards the end of your life, but if you've got nobody to share it with, what's the point?

      • +3 votes

        As a counter to this, you can also fall into the trap of putting in more time into personal relationships than is warranted (just because those people happen to be family) and miss out on forming more fulfilling relationships with other people as a result.

        OP compromised on the lower initial listing price to help facilitate a sale and then got hit with a follow up loss of $25K on top of that initial compromise. 2 months on the market is nothing in this current climate. I understand why they'd feel little miffed in this situation, especially as it appears that OP's siblings don't care about his opinion.

        •  

          especially as it appears that OP's siblings don't care about his opinion

          But then we're only hearing his side of that story too. The executor tends to be a thankless job, and sometimes it's not easy to please everyone. They may well have jobs, family and other things to attend to as well as getting over the loss of a family member. If I was in that position, I'd do my best, but I'd also want it over as soon as possible so I could get on with my (and my familys) life.

          Even with only having the OPs point of view, they way he puts things across make me favour the two sisters.

    • +12 votes

      What do you mean 'to make it up'? You were just given a windfall that you didn't earn. You didn't lose anything - you were gifted something you didn't have before.

      • +4 votes
        1. Op is very greedy by the sound of it.
    • +8 votes

      After all the responses this is still your view? You have the money in hand after two months with no better offers. Maybe you should thank her for all the crap she had to go through sorting out the estate rather than feeling sorry for yourself.

    • +5 votes

      In response to your original question "Am I in the wrong here?", based on the comments here, I think the answer is a resounding YES.

  • +3 votes

    Lock it in. Only offer and all. Better a $25k under than a $50k under in 2 months time.

    Edit: Just saw that it was sold. Congratulations.

  •  

    Nobody can answer this for you, there are family dynamics at play, years of context we don't have and individuals we don't know grieving.

    Is your share of 25k worth falling out with siblings forever over? I would think not but i don't know you

  • +3 votes

    OK it's done now.

    But you didn't lose $25K between you. You should be comparing this deal with the next potential deal, not the asking price. In a falling market not many properties sell for asking price. After 2 months on the market you know getting the asking price would be pretty unlikely. If the offer had been $15K under listing price would you have agreed with that? In that case you are each only $3K worse off.

    My guess is you will see in 12 month's time what a wise choice the executor made as prices continue to dwindle (or crash).

  • +1 vote

    Why don't you just listen to your older sibling?

  • +2 votes

    If you think it's on the low side, you should buy your brothers and sisters out for the asking price and sell at a profit.

    However, as it didn't shift at the price you deem to be on the "low side", it's more likely that the current market has determined a lower price than you hoped for.

  • +8 votes

    Pretty pathetic. Take a good hard look at yourself. Hope you find the answer.

    • +2 votes

      Soooo pathetic.

      Bleeding hearts in this thread 😂

  • +7 votes

    I’m glad to hear she sold the property. Maybe in 2-6 months time you’ll see how far the market has dropped in your area and you’ll be grateful and humbled by her decision.

    I don’t see how you can seriously say “Invest to make up for it” as if you’ve lost money you had or earned…. this was an inheritance.

    People here aren’t trying to be dicks to you for no reason, but if you’re coming across this badly on this topic, then chances are that your attitude is negatively affecting your life in other ways. You need to take a good look at yourself and the person you want to be and grow up a little.

  •  

    Trust what your heart tells you

  •  

    This is why i am going to spend my wealth on whores and holidays before i kick the bucket. Worst thing for parents is to realise that their kids are not talking to each other due to inheritance. Very common these days.

    •  

      Ahha well said. The sad thing is that the mum has only been mentioned to talk about money. Poor lady, If she had known before.

  •  

    I am still getting over the stress of it all, I have booked a corporate massage at a training school this week hope that helps

  • +12 votes

    Seen/experienced/heard too many similar cases. Sorry to say but in most cases it's always the person in your shoes now that is the issue. Your sister is doing the work, you're not paying for maintenance, the property has been on the market for 2 months already. If you believe the property is underselling you could always buy out your sisters but of course you won't. 8K is not worth the relationship damage amongst your family.

    • +3 votes

      Spot on and these people usually never realise they are the issue even if a million independent third party tells them they are the issue.

    •  

      8K is not worth the relationship damage amongst your family.

      The OP is willing to assert squatter's rights over a busted up hooptie for a couple hundred bucks in scrap metal. Of course he's the sort of person who'd kick up a huge stink over a shared inheritance.

  • +1 vote

    sell it yourself and see if you can get a better price

  • +3 votes

    OP: I feel for your situation. But you need to come to the table with solutions. Just saying you don't want to sell because you want a higher price won't cut it. You'll actually have to put some leg work into trying to get a higher price. Trying to find prospective buyers, work on better marketing for the house, make even fixing stuff up in the house. You need to bring something to the table. Otherwise you are just being obstructive.

  • +4 votes

    Sell up son.
    Not even for your relationship for with your sister.
    I assume you didn't put any effort or money into the house.
    Yet you think you're entitled to as much money as possible.
    You are the ultimate TA.
    And not in a good way. In a greedy way. It's easy money and you want as much of it as possible.

  • +1 vote

    What's that saying again? Oh Yeah!

    A bird in the hand is worth 2 in the bush

  • +1 vote

    Your statements are a bit contradictory.

    You say you want a quick sale and to sell for the highest price. If this is the only reasonable offer received in two months on the market, isn't this offer therefore the highest price that you wanted from a quick sale?

    It sounds like you're blaming your sister for not being able to sell it quickly enough at a price that satisfies you.

    • +2 votes

      Look at the dude's post history. The op sounds quite desperate and seems to have a limited understanding of financial matters.

      Hopefully he will listen to the crowd. It has been giving him the advice he sorely needs.

      • +3 votes

        haha just realised he also posted this…Claiming Abandoned Car kind of explains what kind of person he is

        • +3 votes

          Oh, I remember reading that. Didn't know it was the same poster, haha.

          EDIT: Also the one that claimed the iPhone was faulty because the photos were bad, but when asked for examples, posted photos that were pretty reasonable for a phone camera.

        •  

          Yup.

  • +1 vote

    It's not your money. It's a gift from your parents. Take what you can get.

  • +2 votes

    op, you seem like a righteous turd and your family probably hated you long before this so dont be phased by 8k

    •  

      His sisters should tell him he's adopted and they are going to keep his share

  •  

    please take the offer

    few things to keep in mind

    1. is 25k divided by 3 siblings worth damaging the relationships ?? if you are taking a loss they are taking the same loss at same time

    2. if property market crashes in near future ( most news out there are saying it will) then you might not have the option of negotiating and everyone will be stuck with house for long time or worse sell it with even more loss