As a conveyancer we are confronted frequently with property that is still registered in the name of someone who has passed away, but has not been transferred to the heirs. The heirs then sell the property and the unknowing buyer is in for an extra long transaction as the deceased estate will have to be finalized first.

Deceased estates is a complex specialist field and the importance of estate planning is not realized by many clients.  If, the deceased person did his part and drafted a will, the property will (mostly) be transferred to the heir  as per the Will.  Unfortunately, if the owner did not have a will, the property will have to be handled in terms of the Intestate Succession Act. The property can also be sold directly out of the estate to a buyer and these complex matters need to be handled by a specialist estate attorney and your conveyancing attorney. The problem can be addressed if the heirs and family of deceased persons start the process as soon as possible.

According to the Master’s Offices website : https://www.justice.gov.za/master/faq.html

That on the death of a person the following needs to be done:

• the estate must be reported by an interested party to Master’s Office in which jurisdiction the deceased normally lived, within 14 days.
• if the value of the assets are R250 000 or less and the deceased did not leave a will – the estate may be reported to the nearest Magistrate Court as service point for the Master’s Office in whose jurisdiction it falls.

The duties of this Master’s Representative / Executor is the following:

Appointment of a Master’s Representative (Section 18(3) appointment):

• If the value of an estate is R250 000 or less, a Master’s Representative is appointed. This is usually the person named in the will as Executor, or if the deceased died intestate (leaving no will), it will be the person nominated by the heirs to act.
  After appointment this person must administer the estate in terms of either the will, or if there is no will, the Intestate Succession Act. He/she does not have to lodge an account of the administration of the estate with the Master, unless requested to do so by the Master (normally in the estates where there are minor heirs).
• If the appointment was made by the Magistrate Office, the said office keeps the file for a period of three months after the appointment, and then transfers it to the Master’s Office under whose jurisdiction it falls.
• After appointment, these files are normally bound as finalized, by the Master except where an Account of Assets and Liabilities has been requested by the Master.

Appointment of an Executor:

• In estates where the assets are valued more than R250 000, or where the estate is insolvent, an Executor is appointed by the Master. This is normally the person named in the will as Executor, or if there is no will, the person nominated by the heirs. It should be noted, however, that the Executor, if he/she is a lay person, should be assisted by an Attorney, Trust Company or Accounting Firm. He/she must also lodge security to the full value of the estate unless he/she is exempted by the will, or is the parent, spouse or child of the deceased.
• After appointment this person must administer the estate in terms of either the will, or if there is no will, the Intestate Succession Act.
• The Executor has six (6) months after the date of appointment in which to lodge a full Liquidation and Distribution Account with the Master. This account is a detail report on his/her administration of the estate.

Whether the master appoints and executor or representative the appointed person should start finalizing the estate as soon as possible, in order to avoid problems that may arise if the heirs want to sell the properties at a later stage.