Losing a loved one is hard enough. Figuring out what to do with the house they left behind — while managing grief, family dynamics, and a legal process most people have never encountered — can feel completely overwhelming.
If you're the executor of an estate in Minnesota, or a family member trying to help settle one, this guide is written for you. We'll walk through exactly how probate works in Minnesota, what your options are for the inherited property, and how to make the process as simple as possible.
What Is Probate and Do You Have to Go Through It?
Probate is the legal process through which a deceased person's estate — including their real property — is administered and transferred to heirs. In Minnesota, probate is handled through the district court in the county where the deceased lived.
Not every inherited property has to go through formal probate. In Minnesota, you may be able to avoid probate if:
- The property was held in a living trust
- The property was owned jointly with right of survivorship (such as between spouses)
- The estate qualifies for a simplified "summary" procedure (estates valued under $75,000 in personal property with no real estate)
- The deceased used a Transfer on Death Deed (TODD), which Minnesota has allowed since 2008
If the home was solely in the deceased's name without any of the above arrangements, formal probate will likely be required before the property can be sold.
How Long Does Probate Take in Minnesota?
Minnesota probate typically takes between 6 and 18 months for a straightforward estate — longer if there are disputes among heirs, creditor claims, or complex assets. The process generally looks like this:
Months 1–2: The executor files a petition with the district court to open probate. The court appoints a personal representative (often the executor named in the will). A notice is published in a local newspaper to alert potential creditors.
Months 2–5: Creditors have a four-month window to file claims against the estate. The personal representative inventories and appraises assets — including the home. Outstanding debts, taxes, and expenses are paid.
Months 5–18: Once creditors are addressed, the personal representative can distribute assets and close the estate. This includes transferring or selling real property.
One important note: you generally cannot sell the inherited property until the court has formally appointed you as personal representative and authorized the sale — unless all heirs agree and there are no creditor complications.
What Are Your Options for the Inherited Property?
Once you have legal authority to act on the property, you have three main paths:
1. Keep It as a Rental
If the home is paid off or has significant equity, holding it as a rental property can generate ongoing income. However, this requires property management, maintenance, insurance, and property taxes — ongoing responsibilities that not everyone is prepared to take on, especially when the property may need updating.
2. List It on the MLS with a Realtor
Listing on the open market typically gets the highest price — but it also requires the home to be in showing condition, which often means repairs, cleaning, staging, and an unpredictable timeline. Inherited homes frequently have deferred maintenance, personal belongings, and outdated features that make traditional listing complicated and expensive.
3. Sell to a Cash Buyer
Selling to a cash home buyer like Homefield Homebuyers lets you sell the property as-is, often within two weeks of agreeing on a price. There's no need to make repairs, clean out belongings, or coordinate showings. For executors managing an estate from out of state — or families simply wanting to close a difficult chapter — this is often the most practical path.
Can You Sell a House During Probate in Minnesota?
Yes — but with conditions. In Minnesota, the personal representative of an estate generally has the authority to sell real property as part of administering the estate, as long as the will grants that authority or the court approves the sale. If all heirs are in agreement and there are no complications, the sale can often proceed without a formal court hearing.
It's always wise to work with a probate attorney to confirm your authority and ensure the sale proceeds correctly. A misstep in the process can create title issues that delay or derail the sale entirely.
What Happens to the Mortgage on an Inherited Home?
If the deceased had a mortgage, it doesn't disappear. The estate is responsible for continuing mortgage payments until the property is sold or transferred. If payments lapse, the lender can begin foreclosure proceedings — even during probate.
This is one of the most common reasons families choose to sell quickly. An inherited home with an ongoing mortgage, property taxes, insurance, and maintenance costs is a financial drain on the estate. A fast cash sale stops those costs immediately.
Tax Considerations When Selling an Inherited Property in Minnesota
One of the most misunderstood aspects of inherited property is the tax treatment. When you inherit a home, you generally receive what's called a "stepped-up basis" — meaning your cost basis is the fair market value of the home at the time of the original owner's death, not what they originally paid for it.
This means that if you sell the home shortly after inheriting it at or near the current market value, you may owe little to no capital gains tax — even if the home has appreciated significantly over the decades the original owner held it. This is one of the most significant tax advantages in the entire U.S. tax code, and many heirs are unaware of it.
Always consult a tax professional or estate attorney for advice specific to your situation — this is general information, not tax advice.
How Homefield Homebuyers Works With Probate Properties
We've worked with dozens of Minnesota families navigating inherited properties, and we understand that this isn't just a financial transaction — it's a deeply personal one. Here's what working with us looks like:
No repairs needed. We buy homes in any condition. Whether the home has been lovingly maintained or hasn't been updated since 1985, we'll make an offer.
No cleanout required. Leave whatever you don't want. We handle it.
We work with your timeline. Probate has its own schedule, and we're experienced at working around it. We can close when you're ready — whether that's two weeks or several months from now.
We've done this before. We work directly with executors, personal representatives, and probate attorneys. We understand the paperwork and the process.
Cash offer within 24 hours. After a brief walkthrough, we'll give you a fair, no-obligation cash offer — no financing contingencies, no inspection periods, no surprises.
Questions to Ask a Probate Attorney Before Selling
If you haven't already connected with a probate attorney, we strongly recommend doing so before proceeding with any sale. Here are the key questions to ask:
- Have I been formally appointed as personal representative by the court?
- Does the will grant me independent authority to sell real property, or do I need court approval?
- Are there any outstanding creditor claims that could affect the sale proceeds?
- Are all heirs in agreement about the sale, and do I need their written consent?
- What is the stepped-up basis on the property, and what are the tax implications of selling now vs. later?
Ready to Talk About Your Inherited Property?
If you're dealing with an inherited home in the Twin Cities or anywhere in Minnesota, we're here to help — with no pressure and no obligation. We can answer your questions, walk through your options, and give you a cash offer whenever you're ready.
Call us at 651-661-SOLD or fill out our contact form and we'll be in touch within 24 hours. We're a local, family-oriented team that has been helping Minnesota families through difficult transitions for years — and we'd be honored to help yours.
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