Probate Knowledge Center

Court Confirmation and Overbids

How confirmation hearings and the overbid process actually work.

• What is a conservatorship, and how does selling that home work?A conservatorship sale involves a living owner whose affairs a court-appointed conservator manages. These sales require court confirmation.
• What is the difference between a guardianship and a conservatorship?A guardianship protects a minor’s affairs; a conservatorship protects an adult’s. Selling either’s real property requires court confirmation.
• What is court confirmation?Court confirmation is the hearing where a judge approves a probate home sale. It applies when the representative lacks full authority.
• Do I need court confirmation?You need court confirmation only if the representative has limited or no IAEA authority. Full authority avoids the confirmation hearing.
• What is an overbid?An overbid is a higher offer made in the courtroom at the confirmation hearing, which can outbid the original buyer under a set formula.
• Can buyers still have inspections?In full-authority sales, inspections are common. In court-confirmed sales, buyers typically must remove contingencies before confirmation.
• Can buyers have financing contingencies?Under full authority, yes. In court-confirmed sales, financing contingencies are generally not accepted and buyers must be fully qualified.
• What happens if the winning bidder backs out?A defaulting confirmed buyer can lose their deposit, and the estate may resell, seek a backup bidder, or pursue damages.
• Do probate homes have to sell at 90 percent of the appraised value?Only in court-confirmed sales. A representative with full authority under the IAEA is not bound by the 90 percent minimum price rule.