How Long Does It Take to Sell a Deceased Estate Property in NSW?

Oct 21

3 min read

It is one of the first questions executors ask their solicitor, accountant or financial planner, and one of the hardest to answer with a number. The honest answer is that it depends on a handful of stages. Some run in parallel and some sit outside anyone's control.

This article sets out those stages for advisers supporting executors in NSW, where time is typically lost, and what can be done in parallel to keep an estate moving. It is general information, not legal or tax advice.

The short answer

There is no standard timeline. The sale itself is rarely the slowest part. Time is more often lost waiting for legal authority to act, resolving disagreements between beneficiaries, and preparing a property that has not been touched for years.

Stage 1: Probate or letters of administration

Where a grant is required, an executor cannot complete the sale without it. Before applying, the executor publishes a notice of intended application on the Supreme Court's online registry, and the application can be made after 14 days. If the application is filed more than six months after the date of death, an explanation for the delay must be given to the court.

Processing time depends on the court's workload, and any requisition (a request for corrections or more information) adds time. The Supreme Court of NSW publishes its current processing times, so check them before giving a client an estimate. Complete, uncontested applications generally move faster than contested ones.

Stage 2: Preparing and marketing the property

Preparation does not have to wait for the grant. Some practitioners market the property, and even exchange contracts, before probate is issued, with the contract made subject to probate. Settlement cannot occur until the grant has been issued, so a delay in probate pushes settlement out. Others prefer to wait for the grant. This is a legal question, and the estate's solicitor should advise on the right approach for each estate.

Either way, the time before probate can be used for independent appraisal, inventory and clearance of contents, repairs and presentation, and choosing the agent and sales method.

Stage 3: The sale campaign

Once the property is ready, an estate sale runs much like any other: agent appointment, campaign, offers and contract. Two points are specific to estates.

Executors have a duty to sell at fair market value. A documented independent appraisal and a transparent process protect them if a beneficiary later questions the sale.
Beneficiaries may disagree on timing or price. A neutral party managing the process can reduce friction.

Stage 4: Settlement and distribution

Title must be dealt with before the property can be transferred to a buyer, and the sale proceeds go to the estate, not to the executor personally. They are then distributed in accordance with the grant.

In NSW, an eligible person can apply for a family provision order, generally within 12 months of the date of death. This can affect the timing of distribution, and executors are commonly cautioned against distributing the whole estate while a claim is possible. The estate's solicitor should advise on when it is safe to distribute.

What commonly adds time

An incomplete probate application, or requisitions from the court.
A contested application or a caveat.
Beneficiaries who disagree on whether to sell, when, or for how much.
A property with extensive contents or in poor condition.
A vacant property accumulating holding costs.
Tax considerations. CGT timing for inherited property should be confirmed with the estate's tax adviser.

Where a property realisation partner fits

Scout Corp manages the property side of an estate sale, so that it is ready when legal authority arrives. In practice that means independent appraisal, coordination of clearance, cleaning and minor works, vendor advocacy and agent appointment, campaign management, and liaison with the estate's solicitors. Our role is property realisation. Yours is the legal and tax advice. We work within the framework you and your client establish.

If you have a client who is an executor, contact Scout Corp early, ideally while the probate application is being prepared. You can also read more about our Deceased Estate Management service.

This article is general information only and is not legal or tax advice. Executors should obtain advice from the estate's solicitor and tax adviser. Source for probate steps: NSW Government, Get a grant of probate or letters of administration.