Letters testamentary

Letters testamentary are the court document that gives the executor named in a will legal authority to act for the estate. When there is no will, the court issues letters of administration to an administrator instead. Either way, the letters are the proof that title companies, banks and buyers ask for before they deal with the estate.

For an investor, the letters tell you who can sign. A purchase agreement for estate property should be signed by the personal representative in that capacity, and the title company will want a certified copy of current letters at closing. Depending on the state and the powers the court granted, the representative may be able to sell real estate without a court hearing, or may need court confirmation or notice to heirs first. The probate file lists the representative's name and usually the estate attorney. Rules vary by state; confirm with a local real estate attorney.