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Texas Probate Code - Section 348. Permissible Terms Of Sale Of Real Estate

Legal Research Home > Texas Laws > Probate Code > Texas Probate Code - Section 348. Permissible Terms Of Sale Of Real Estate

§ 348. PERMISSIBLE TERMS OF SALE OF REAL ESTATE.  (a) For 
Cash or Credit. The real estate may be sold for cash, or for part 
cash and part credit, or the equity in land securing an indebtedness 
may be sold subject to such indebtedness, or with an assumption of 
such indebtedness, at public or private sale, as appears to the 
court to be for the best interest of the estate.  When real estate is 
sold partly on credit, the cash payment shall not be less than 
one-fifth of the purchase price, and the purchaser shall execute a 
note for the deferred payments payable in monthly, quarterly, 
semi-annual or annual installments, of such amounts as appears to 
the court to be for the best interest of the estate, to bear 
interest from date at a rate of not less than four percent (4%) per 
annum, payable as provided in such note.  Default in the payment of 
principal or interest, or any part thereof when due, shall, at the 
election of the holder of such note, mature the whole debt.  Such 
note shall be secured by vendor's lien retained in the deed and in 
the note upon the property sold, and be further secured by deed of 
trust upon the property sold, with the usual provisions for 
foreclosure and sale upon failure to make the payments provided in 
the deed and notes.
	(b)  Reconveyance Upon Redemption. When an estate owning 
real estate by virtue of foreclosure of vendor's lien or mortgage 
belonging to the estate, either by judicial sale or by a foreclosure 
suit or through sale under deed of trust or by acceptance of a deed 
in cancellation of a lien or mortgage owned by the estate, and it 
appears to the court that an application to redeem the property 
foreclosed upon has been made by the former owner of the real estate 
to any corporation or agency now created or hereafter to be created 
by any Act or Acts of the Congress of the United States or of the 
State of Texas in connection with legislation for the relief of 
owners of mortgaged or encumbered homes, farms, ranches, or other 
real estate, and it further appears to the court that it would be to 
the best interest of the estate to own bonds of one of the above 
named federal or state corporations or agencies instead of the real 
estate, then upon proper application and proof, the court may 
dispense with the provisions of credit sales as provided above, and 
may order reconveyance of the property to the former mortgage 
debtor, or former owner, reserving vendor's lien notes for the 
total amount of the indebtedness due or for the total amount of 
bonds which the corporation or agency above named is under its rules 
and regulations allowed to advance, and, upon obtaining such an 
order, it shall be proper for the representative to indorse and 
assign the notes so obtained over to any one of the corporations or 
agencies above named in exchange for bonds of that corporation or 
agency.

Acts 1955, 54th Leg., p. 88, ch. 55, eff. Jan. 1, 1956.  Amended by 
Acts 1959, 56th Leg., p. 636, ch. 290, § 1, eff. May 30, 1959.

Last modified: August 11, 2007