[ma0641]

If the rent covers the mortgage and a little more, use the rest to pay down the CC debt. What interest are you paying? 24%? Get rid of that debt.

[tattoued]

Nope. 6% (wish MY credit card interest was that low!), but even that was frozen by the cc company in this situation. All I had to do was ask about the interest since the account was closed due to death and they said no problem. I just received a statement and the balance still shows the same as it did 6 months ago when it was closed.

[tattoued]

Yes I agree it make little or no sense to sell just to pay off that debt. But you can't close the estate until all debts are paid OR the assets are exhausted. So you have the 2 options that I explained. You can advance any funds to the estate which will be refunded to you when disburse it.

Your understanding is incorrect about the mortgage. As an heir you can transfer the property into your names and assume the mortgage. Since the mortgage is secured by the property, it goes with the property. However, you can't do that until all other debts are paid, because doing so amounts to a distribution of the estate. You can't do that until all other obligations are paid.

Please take a look at this statute and let me know if you think the Personal Property Allowance includes my mom's jewelry and whatever else of her belongings might add up to $15,000. Her car was only valued at $5,000 and it was totalled, actually. THAT money from the insurance payout went to reimbursement for more administrative costs to upkeep and maintain the estate while being prepared for sale. They also have a family allowance of $30,000, but that is for dependent children.

45-2-403. Personal property allowance.
In addition to the family allowance, the decedent's surviving spouse is entitled from the estate to a value, not exceeding fifteen thousand dollars ($15,000) in excess of any security interests therein, in household furniture, automobiles, furnishings, appliances and personal effects. If there is no surviving spouse, the decedent's children who are devisees under the will, who are entitled to a share of the estate pursuant to Section 45-2-302 NMSA 1978 or, if there is no will, who are intestate heirs are entitled jointly to the same value. If encumbered chattels are selected and the value in excess of security interests plus that of other exempt property is less than fifteen thousand dollars ($15,000) or if there is not fifteen thousand dollars ($15,000) worth of exempt property in the estate, the spouse or children are entitled to other assets of the estate, if any, to the extent necessary to make up the fifteen thousand dollar ($15,000) value. Rights to specific property for the family allowance and assets needed to make up a deficiency in the property have priority over all claims against the estate, but the right to any assets to make up a deficiency of exempt property abates as necessary to permit earlier payment of the family allowance. These rights are in addition to any benefit or share passing to the surviving spouse or children by intestate succession or by the decedent's will, unless otherwise provided by the decedent in the will or other governing instrument.
END OF STATUTE

Something else that crossed my mind is that I sent out official Notice to Creditor statements to known creditors. This particular company did NOT come forward with a claim in the allotted time of 60 days. There was also a notice published in the local newspaper for 2 consecutive weeks, per NM probate guidelines. Technically, if they did not come forward with a formal claim to me or to the probate court, doesn't that mean it is forever barred?