[WSBAPT] INSOLVENT PROBATE / TRASHED HOUSE

[John Llewellyn]

It would be a really really good idea to secure the property.   We had an abandoned house in South Park, Seattle, and it become a drug/squatter house.   We fielded phone calls from SPD for months.   Eventually, we boarded it up with ¾ inch plywood on all the windows and doors, secured with those special screws you find in lavatory stalls.   Saved us a lot of trouble and calls from SPD.

John G. Llewellyn, Esq.
 Llewellyn & Shafer, PLLC
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From: wsbapt-bounces at lists.wsbarppt.com <wsbapt-bounces at lists.wsbarppt.com> On Behalf Of Eric Nelsen
Sent: Wednesday, September 30, 2020 12:35 PM
To: WSBA Probate & Trust Listserv <wsbapt at lists.wsbarppt.com>
Subject: Re: [WSBAPT] INSOLVENT PROBATE / TRASHED HOUSE

Bummer. Land ownership descends automatically via RCW 11.04.250<https://app.leg.wa.gov/RCW/default.aspx?cite=11.04.250>; it's not possible to abandon real property. (No government wants to let anyone off the hook for paying property taxes.) Technically the heirs could be liable if anyone was injured due to a condition on the property, and they are liable for property taxes (though the county will just foreclose and is very unlikely to pursue personally).

The good news is they're not liable for the loan or any of decedent's personal debts. So this may be a situation to let sleeping dogs lie: ignore the property and hope that the problem goes away, by tax foreclosure or by bank foreclosure, before anyone gets hurt on the property and decides to sue. The heirs have to decide whether or not to take that risk, balanced against the cost of dealing with the problem.

I suppose they could offer to quitclaim to the bank in lieu of foreclosure, but most banks ignore those kinds of offers. Especially big ones.

Sincerely,

Eric

Eric C. Nelsen
Sayre Law Offices, PLLC
1417 31st Ave South
Seattle WA 98144-3909
206-625-0092
eric at sayrelawoffices.com<mailto:eric at sayrelawoffices.com>

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From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> <wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com>> On Behalf Of Jennifer Gellner
Sent: Wednesday, September 30, 2020 11:55 AM
To: wsbapt at lists.wsbarppt.com<mailto:wsbapt at lists.wsbarppt.com>
Subject: [WSBAPT] INSOLVENT PROBATE / TRASHED HOUSE

Hi All:

I don’t come across many insolvent estates, and I read all of your combined advice from awhile back about no PR being appointed and waiting the 24 months to see if any creditor takes action.

No PR appointed and no one wanting to serve.  Is there any liability for abandoning the real property?  Quicken Loans had given deceased a big home equity loan last November to pay bills and the house is not worth the outstanding $189,000 mortgage.  None of his kids want anything to do with it.  The house is in such bad shape and with black mold and if demolished, the lot would be worth $30,000.

Can the kids do nothing?

Jennifer A. Gellner, LL.M.
Principal, Gellner Law Group
P: (425) 235-5535 │ Toll-Free: (877) 252-0738
E: jennifer at gellnerlawgroup.com<mailto:jennifer at gellnerlawgroup.com>
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505 W. Riverside Ave., Suite 500, Spokane, WA 99201

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