Probate and Foreclosure: What You Need to Know

When a loved one passes away and leaves behind a home with a mortgage, the family may find themselves facing probate and the threat of foreclosure at the same time. It’s a heavy combination—emotionally, legally, and financially.

The good news? You do have options. Understanding how probate and foreclosure work together can help you act quickly and protect the estate.

What Happens When the Deceased Owes a Mortgage?

If the person who passed away had a mortgage on their home, that debt doesn't disappear. The lender still expects payments, and if they stop coming, foreclosure proceedings may begin—even while the home is in probate.

Step One: Notify the Lender

The first step is to contact the mortgage company and let them know the borrower has passed away. This helps pause the process and may open the door to temporary solutions, like forbearance or a grace period, while probate is underway.

Pro Tip: Do not ignore notices from the lender. Staying in communication shows good faith and gives you more time to resolve things.

Step Two: Open Probate Quickly

The sooner probate is opened and a personal representative is appointed by the court, the sooner you can legally manage the estate and the property. This is key to either continuing payments, selling the home, or negotiating with the lender.

Step Three: Explore Your Options

Once probate is active, you have a few paths forward:

• Sell the home before foreclosure is finalized

• Catch up on payments using estate funds

• Work with a probate-certified agent (a CPRES like me) to speed up the sale process

Every situation is different, but you’ll want to act quickly and stay informed.

Conclusion

Probate and foreclosure can feel like a storm. But with the right guidance, you can navigate it. Acting early, staying in communication, and working with experienced professionals makes all the difference.

If you're managing a probate property at risk of foreclosure, I'm here to help you move forward with peace, purpose, and a plan.