My question involves estate proceedings in the state of: Hawaii
Hello, we are beginning to deal with the real estate of our deceased father who had no will or trust. He had properties in Hawaii, Oregon, Missouri and Washington.
Most properties have substantial mortgages with some equity. A handful are paid off but those are worth very little. One property is $100k underwater. While one has substantial equity. When we add up the estimated value of the real estate and minus their debt there is money left over.
At the moment we are in limbo with mortgages payments now 2 month overdue and we are unable to pay with estate money because the executor has not yet been approved by the Hawaii probate court. Likely we will have to use our own money to keep it afloat until then.
The eventual executor, a son, plans to quit claim or transfer property in probate with each heir taking responsibility for whatever debt the property received has attached. He says the property would be in the heir's name but the mortgage can stay in our father's name. I'm not convinced the mortgage can stay in the estate name after reading other posts.
Is this possible? Can an heir refuse property quit claimed to them? Can a property be refinanced by an heir? What might happen if we allow the underwater property to foreclose? How vulnerable to creditors would the other heirs be if one falls behind on payments?
Any thoughts are appreciated.