Legal Question in Real Estate Law in Nevada

I am the executor of an estate. One of the beneficiaries (Doe) wants to live in the house left by the deceased. The house is valued at $133,000 and has a mortgage of $94,000. There are two other beneficiaries to the estate. Doe has agreed to pay mortgage, escrow, utilities, plus a small amount for repairs to the property. How do I word the contract that allows Doe to live in the house but does not get any additional percentage beyond what is specified in the will just because she paid the mortgage?

Asked on 12/01/14, 10:08 pm

2 Answers from Attorneys

Paul Malikowski Malikowski Law Offices, Ltd.

One option might be to convey the house by Probate Court Order to the Estate, then leased to whomever the Personal Representative makes a rental agreement with on whatever written terms are approved by the Probate Court, assuming the Will admitted to probate does not specifically address this situation. The Estate pays the mortgage and operating expenses out of the rent, so if there is a default, the usual eviction remedies remain available to the Estate.

Your attorney can explain further.

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Answered on 12/02/14, 5:18 am
Rick Williams Law Offices of Frederick D. (Rick) Williams, Chtd.

Mr. Malikowski's reply is right on point. The "cleanest" way to handle it would be to treat the beneficiary who wishes to occupy the house as you would any other renter. This will, of course, require a written lease agreement, rent payments that will cover the expenses you listed, and any adjustments to be made, given that the tenant is actually a co-owner, of sorts. If Doe cannot yet afford to buy out the other two benes, she could occupy under those terms as she saves up money or her 1/3 share of the equity reaches a point where the property can be refinanced and she can borrow enough to purchase the other two benes' shares.

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Answered on 12/03/14, 12:44 pm

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