Expert: Diann Tonnesen - 11/30/2009

Question
My mother died leaving no will.  She had two homes.  One was sold to pay her final medical expenses.  My sister lives in the other and was paying rent.  I also have a brother who lives elsewhere.  I have a 1/3 stake in the remaining home, as do my brother.  My sister stopped paying rent and is not paying mortgage since the house is paid for and refuses to get a mortgage to buy out my brother and I (although she is supposed to per the lawyer for the estate).  she claims she cannot get a mortgage due to her credit history?  Can this be true since she will have collateral (the house)?  Is there another way I can get my share?  I don't want any legal/financial responsibility for a home that I do not live in.  

Answer
Hi Jack, It is entirely possible that your sister would be unable to qualify for a loan based on her credit history and income, even if there is equity in the home. The lending market has really tightened its qualification guidelines in the past few years.

You really need to consult with the estate attorney. Since your mother passed away without leaving a will, the home will need to be sold and the proceeds divided amongst your mother's heirs if your sister can't buy you out. That would be the only way for you to receive your share of the inheritance. If your sister is uncooperative, it may take a court order to make her move out so that the home can be shown to prospective buyers. Again, your best resource is the probate attorney who can advise you on the steps you need to take.

I wish you the best of luck. I am sure this is a very difficult time for all of you.

Sincerely,

Diann Tonnesen