6 Reasons Why Estate Sales are held
To start, it’s important that we make a distinction between an estate sale and a yard sale, as the two aren’t interchangeable. An estate sale is held when you need to get rid of the majority of your or a loved one’s estate. A yard sale is held when you need to get rid of unwanted items or are looking to make a bit of extra money. You might be thinking; well why would someone want to get rid of all of their items? The answer isn’t always simple, and the truth is that many estate sales are sometimes held for extenuating circumstances. Read on to learn about the most common reasons people have an estate sale, and if hosting an estate sale is right for you.
Top Reasons People Hold Estate Sales
When it comes to holding estate sales, there are generally common themes as to why someone would hold such an event. Here are the top seven reasons:
6. Death of a family member or friend: This is probably the most common reason a person would hold an estate sale. Often, the family member that has passed on has it written in his or her will that their estate should be sold by an estate liquidator to avoid their living family members fighting over what to do with the estate. Even if it’s not required by a loved one’s will, many families choose to hold an estate sale to get rid of the items that exist after the family has gone through and claimed their wanted items.
5. Divorce: When couples split up, sometimes it’s easier to have an estate sale to get rid of joint assets instead of dragging out the divorce proceedings by splitting up every single shared asset. In the event of a divorce-generated estate sale, it’s best to employ a third-party professional to facilitate the estate sale to avoid any hostile feelings.
4. Downsizing: When a family or couple is forced to or chooses to downsize, it’s pretty likely that they’ll have many items that they can’t take with them to their new, smaller space. In this event, couples will generally hold an estate sale to get rid of their unwanted items for a profit instead of donating or just tossing out their items.
3. Debt/bankruptcy: In the event of crippling debt or bankruptcy filing, an estate sale is generally held to recoup costs and payoff some of the debt. Whether this is court-ordered or facilitated, debt-related estate sales generally don’t compromise on prices because they’re trying to get as much money back as quickly as possible.
2. Relocation: If a person finds out they have to move across the country to help out an ailing family member or for their job, chances are they’re probably not taking all of their belongings with them for the trip. When this is the case, they typically hold an estate sale to make money on the items they have to get rid of.
1. Retirement: When people retire, they’re entering a new phase of their life. This new phase generally prompts questions about if they need to keep their items or if they should liquidate their estate to start from scratch and make some funds while they’re at it. Whatever the case, retirement-related estate sales are generally very popular.
There’s no one-size-fits-all approach to holding an estate sale. If you’re considering hosting one, you should reach out to a professional to walk you through all your options!