Step-by-Step Texas Probate Guide for Executors and Heirs

By David Pannell

David Pannell is the Managing Broker and founder of Cities Real Estate, a forward-thinking brokerage based in Fort Worth, Texas. A licensed Realtor since 2005 and a broker since 2010, David is known for his expertise in helping families sell homes quickly, especially those navigating the complexities of probate and inherited property.

If you’ve been named an executor or administrator, you’re likely waiting for the court to grant you legal authority. This is a common situation. You’re waiting on your attorney, and your attorney is waiting on the court. In the meantime, the heirs may be calling you every day, asking when they’ll receive their inheritance.

I work with families in this exact situation, helping them navigate the inventory portion of probate, which is where most people get stuck. Here are the steps you can take to move forward with direction:

1. Take a breath and take inventory. Before you sell anything or distribute any money, you need to identify what’s actually in the estate. Your attorney will likely give you a task list, but the core responsibility is documenting everything of value.

This includes:

● Real estate and land

● Bank accounts and cash

● Vehicles

● Investment accounts

● Personal property like jewelry, coins, or collectibles

● Business interests or documents

The goal is to secure and assign value to everything. You want to know what exists, where it is, and what it’s worth. This gives you clarity and protects you later when decisions need to be explained to heirs or approved by the court.

2. Secure the property. While you wait for court confirmation, there are practical steps you can take to protect the estate. This is where my team and I can help. We assist with:

● Changing the locks: For about $150, you can ensure the property is secure. If you work with me, I’ll even handle rekeying and putting a keypad on the door for you.

● Managing utilities: Whether it’s Atmos Energy for gas or TXU Energy for electricity, those bills need to stay current to prevent damage to the home.

● Estate sales and insurance: We can help you find local agents and organizers to get the ball rolling.

3. Waiting for your legal authority. At some point, you’ll receive court confirmation and be officially named executor or administrator. This comes with “Letters Testamentary” or “Letters of Administration,” which give you the legal authority to act on behalf of the estate.

Once that happens, you can:

● Open an estate account

● Move funds into that account

● Begin managing and paying expenses properly

Until then, avoid making financial moves or paying off debts too early. This is where many executors run into trouble.

4. Understand debts and taxes. A common mistake I see is that executors pay heirs too early. Texas law outlines a clear priority for who gets paid first, especially if the estate has limited funds. In most cases, the order includes:

1. Funeral expenses.

2. Court and attorney costs.

3. Property taxes

4. Income taxes or tax liens

Creditors are also notified during probate, and a structured process determines who gets paid and when.

If the estate doesn’t have enough cash, you may need to sell assets or negotiate debts. That’s why it’s critical not to distribute money too soon.

I recently worked with a woman who inherited a property but never updated the mailing address. She didn’t receive tax notices for years, and now the estate owes $16,000 in back taxes. Those liens must be paid from the estate before any distributions are made.

5. Keep everything transparent. If you decide to sell the real estate “as-is” to liquidate the estate, documentation is your shield.

Some heirs may question why a property is selling below a “Zestimate.” The reality is that many homes in the Metroplex need significant repairs, often around $80,000, to reach full market value.

When I evaluate a property, I provide a detailed breakdown of the repairs needed and how they affect the price. This level of transparency protects you as the executor.

When you can clearly show where the money came from, where it went, and why decisions were made, the final court approval process is much smoother.

Probate is complicated, but you don’t have to do it alone. My goal is to be a part of your team. I can provide the “comps (comparables)” you need for court and help you navigate the physical property so you can focus on the legal side.

If you’re ready to move forward or just have questions about an as-is property in Texas, schedule a strategy session, call (817) 797-9047, or email david@citiesrealestate.com. I’ll help you get that inventory done and get the estate settled the right way.