How to Sell an Apartment Building in Probate in Los Angeles

Guide · Probate Sales
Quick answer: How do you sell an apartment building in probate in LA?

The executor or administrator sells it either under IAEA full authority, after a Notice of Proposed Action to heirs at least 15 days ahead, or through a court confirmation hearing where other buyers can overbid. Your attorney confirms which applies.

By David Saghian · $300M+ personally closed · $400M+ team

Step by Step

Four Steps to a Probate Sale

1. Confirm authority

Full IAEA, limited, or none: it decides whether court confirms the sale.

2. Value the building

A written opinion of value from closed comps and the rent roll.

3. Market and accept

Every offer in writing; terms set for notice or hearing.

4. Notice or hearing

15-day notice under IAEA, or a hearing with overbids.

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Key Point

Plan for the Overbid

In a court-confirmed sale, your buyer can be outbid in the courtroom. A strong, well-marketed accepted offer makes an overbid less likely and protects the estate either way.

Illustrative example only (not an actual sale)

An estate accepts a $2,000,000 offer that goes to court for confirmation. Under Prob. Code §10311, a new bidder at the hearing must offer at least:

Original accepted bid$2,000,000
10% of the first $10,000$1,000
5% of the remaining $1,990,000$99,500
Minimum opening overbid$2,100,500

Compare all three paths on our probate and trust sales page.

Attorneys & fiduciaries: refer a client

Broker opinion of value for the inventory, a written marketing record and weekly reports to counsel.

Refer a Client
Questions

Frequently Asked Questions

Do I need court approval to sell an apartment building in probate?

Yes, unless the personal representative has IAEA full authority. All probate sales of real property must be confirmed by the court except as provided in Prob. Code §10503 (Prob. Code §10308). Limited authority still requires court supervision for a sale (Prob. Code §10501).

What does the Notice of Proposed Action do?

Under IAEA, it tells heirs about the sale at least 15 days before it happens (Prob. Code §10586). Anyone entitled to notice can object in writing (Prob. Code §10587).

What is the minimum price in a court-confirmed sale?

At least 90% of an appraisal whose valuation date is within one year of the hearing (Prob. Code §10309).

How much higher must an overbid be?

At least 10% more on the first $10,000 of the original bid and 5% more on the rest (Prob. Code §10311). Example: a $3,000,000 bid needs at least $3,150,500.

Who pays the broker, and when?

The estate, from proceeds. In a court-confirmed sale the court approves the commission, and it is owed only if the sale is confirmed and closes (Prob. Code §10160).

Do tenants stay?

Yes. Leases and rent-control protections pass to the buyer.

Next Step

Talk to David about your building

Send the address and your role. You will get a value range and a plan for your attorney.

We are real estate brokers, not attorneys, CPAs or tax advisors. Nothing on this page is legal or tax advice; confirm every decision with your attorney and CPA. Statutes quoted from leginfo.legislature.ca.gov, checked Oct 31, 2026.

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