Buying a probate home in Los Angeles can be a great opportunity, but the financing rules feel different and sometimes confusing. You may be weighing a mortgage, proof of funds, or even a short‑term loan while watching the court calendar. In this guide, you will learn how court confirmation affects your loan options, timelines, deposits, and bidding strategy so you can move with confidence. Let’s dive in.
What “court‑confirmed” means in LA
A court‑confirmed probate sale is one that must be approved by a judge before title can transfer. In California, most estate real property sales must be reported to the court and confirmed unless the personal representative has full IAEA authority to close without a hearing (Probate Code §10308).
The confirmation hearing protects creditors and beneficiaries. The judge reviews notice and publication, the appraisal date, whether the price is fair, and other terms. Once confirmed, the court signs an order and the personal representative executes the deed. Title transfers when the deed and a certified copy of the order are recorded (Probate Code §10314).
Los Angeles uses the Superior Court Probate Division, which sets local procedures and calendars. Buyers and agents should coordinate with the estate’s probate attorney and check local rules and tools through the LA Superior Court Probate Division.
Why confirmation changes your financing
Most institutional lenders will not fund until the court has issued the order confirming sale and title is insurable. You can get a conditional approval, but final funding usually waits for the court order and recording, which adds time (bank guidance on probate financing).
Court hearings can also include competitive bidding, and both the original buyer and overbidders are often required to bring a cashier’s check deposit, commonly about 10%. LA Public Administrator examples show cashier’s check requirements for hearings and auctions (deposit practices example).
The LA probate timeline that affects your loan
Offer accepted and petition filed
After your offer is accepted, the personal representative files a Report of Sale and Petition for Order Confirming Sale. If they do not file within about 30 days, you may petition to move the process forward (Probate Code §10308).
Notice, publication, and scheduling
Notice must be given before the hearing, and many private sales require newspaper publication. These steps determine hearing dates and cannot be rushed. See an overview of how notice and publication work in practice in probate real estate sales (probate sales overview).
Appraisal and the 90 percent rule
The judge cannot confirm a private sale unless the offer is at least 90% of an appraisal that is less than one year old. If the valuation is older than a year, a reappraisal is often required (Probate Code §10309).
Hearing, overbids, and deposits
At the hearing, others may bid. The first overbid must beat the accepted price by at least 10% of the first $10,000 plus 5% of the remainder. Courts commonly require cashier’s check deposits from the buyer and any overbidder (Probate Code §10311).
Order, recording, and closing
If confirmed, the court signs an order. The deed references the order, and a certified copy is recorded. Lenders and title companies typically need the certified order and insurable title before releasing funds (Probate Code §10314).
Financing paths that work
Conventional mortgage with patience
You can use FHA, VA, or conventional financing, but final funding usually happens only after confirmation and recording. Plan to complete inspections, lender appraisal, and underwriting early so your file is ready to fund once the order is issued (probate financing guidance).
Bridge or hard‑money to refinance later
Some buyers use a short‑term or hard‑money loan to show funds quickly, then refinance into conventional financing after recording. These loans are faster, but they cost more. Confirm your lender’s probate policies and when they will actually disburse funds (hard‑money overview).
Cash and hybrid strategies
Cash or cash‑equivalent proof of funds can strengthen your position in court. A hybrid approach can also work, such as bringing a hard‑money approval for the hearing deposit and close, then refinancing after the order is recorded.
What to do before the hearing
- Get a strong conditional approval and updated proof of funds from a lender that understands probate.
- Schedule your appraisal early and confirm it will be valid within one year of the hearing. If needed, order a reappraisal.
- Prepare a cashier’s check deposit, commonly 10%, and confirm the exact payee and amount with the estate’s attorney.
- Clear inspections and financing contingencies before the hearing so the sale is ready to confirm.
- Learn the overbid math and set your maximum in advance.
- Work with a probate‑experienced title and escrow team and stay aligned with the LA Superior Court Probate Division timeline.
Smart bidding in court
- Know the statutory first overbid requirement and likely bidding increments before you arrive (overbid formula).
- Bring certified funds and your ID. Confirm whether multiple cashier’s checks or one check is preferred.
- If you get outbid, your deposit is typically returned, but your appraisal and inspection costs are not. Budget for that risk.
The bottom line
Court confirmation introduces extra steps that change when and how lenders fund. With early underwriting, the right proof of funds, and a clear plan for deposits and overbids, you can compete and close smoothly in Los Angeles probate.
If you want a legally informed plan tailored to your situation, connect with The Gordon Group. You get attorney‑level guidance and hands‑on brokerage to navigate LA probate from offer to recording.
FAQs
Can I use an FHA, VA, or conventional loan for a Los Angeles probate purchase?
- Yes. Most lenders require the court’s order confirming sale and insurable title before they will fund, so plan for extra time.
How much money do I need to bring to the confirmation hearing?
- Courts commonly require a cashier’s check deposit, often about 10 percent of the price, from the buyer and any overbidder; confirm the exact amount and payee in advance.
What is the 90 percent rule in probate sales?
- The judge typically cannot confirm a private sale unless the price is at least 90 percent of an appraisal dated within one year of the hearing.
What if I am overbid in court?
- You can keep bidding. If the court awards the sale to another buyer, your deposit is usually refunded, but your due‑diligence costs are not.
When does title actually transfer to me?
- After the court confirms the sale, the deed is signed, and a certified copy of the order and the deed are recorded with the county recorder.
