North Dakota: How to Get All Owners to Approve a Realtor Before Marketing a Property | North Dakota Estate Planning | FastCounsel
ND North Dakota

North Dakota: How to Get All Owners to Approve a Realtor Before Marketing a Property

How to get every owner to approve a realtor before marketing a property (North Dakota)

Disclaimer: I am not a lawyer. This article is for general information only and does not constitute legal advice. If you need legal advice specific to your situation, consult a licensed North Dakota attorney.

Detailed Answer

Before you place a property on the market in North Dakota, it is important to make sure the person you hire as the listing broker or realtor is approved by everyone who has legal authority over the property. “Everyone” can include co-owners, trustees, corporate officers, personal representatives (executors/administrators), guardians, and holders of a valid power of attorney. Follow these steps to reduce delays and legal risk.

1. Identify who legally controls the property

  • Check the deed and the chain of title. The deed shows who holds title (individuals, joint tenants, tenants in common, a trust, an LLC, etc.).
  • Look for recorded liens, mortgages, or judgments that affect the property. Lienholders don’t usually approve the realtor, but knowing liens is essential before marketing or closing.
  • If the property is in a trust, identify the trustee(s) and review the trust instrument to confirm authority to sell or to hire agents.
  • If the owner is deceased or incapacitated, determine whether the property is in probate, held by a personal representative, or managed under a guardian/conservator appointment.

2. Confirm each decision‑maker’s legal authority to hire a broker

  • Joint owners: For most jointly held titles, all record owners must sign the listing agreement unless the deed specifies otherwise.
  • Trusts: The trustee generally signs the listing agreement; review the trust document to confirm whether co‑trustees or beneficiary consent is required.
  • Corporations/LLCs: A corporate resolution or minutes showing board authorization (or signature by an authorized officer) may be required. For LLCs, check the operating agreement for who can sign.
  • Powers of attorney (POA): A valid, durable POA may permit an agent to sign a listing agreement. Confirm the POA is currently valid, grants authority over real estate transactions, and is not revoked. If in doubt, obtain a certified copy of the POA and consider asking a title company or attorney to confirm its sufficiency.
  • Probate/Personal Representatives: A personal representative/executor appointed by the court may need court authorization to list or sell estate property, depending on the stage of probate and local practice.
  • Guardians/conservators: Court orders usually define the guardian’s authority to sell or market property.

3. Get written, signed authorization from every required party

Oral approval is not enough. Make sure all required decision‑makers sign the listing agreement (or an express written authorization). The listing agreement should identify the property, list the broker’s duties and compensation, and show the names and signatures of every owner or authorized signer.

4. Use clear, appropriate documentation

  • Listing agreement: Use a standard, written listing agreement. If multiple owners sign, attach a cover sheet or addendum listing all owners and their relationship to the property.
  • POA or corporate documentation: Obtain certified copies of a power of attorney, letters testamentary/letters of administration, trustee certificates, corporate resolutions, or LLC authorizations, as applicable.
  • Trust documentation: When a trust is involved, obtain either (a) the trustee’s certification of authority, or (b) a copy of the trust provisions showing sale authority. Some title companies will accept a trustee certification form.
  • Probate orders: If a personal representative is selling, obtain court letters showing their appointment and, if required by the court or title company, a court order approving the sale or authorizing listing and marketing.

5. Provide disclosure and comply with North Dakota rules

Make the disclosures required by North Dakota law and the brokerage rules. Brokers in North Dakota must follow licensing and consumer‑protection rules; ensure the broker provides required written disclosures, agency notices, and any mandated forms. For official North Dakota statutes and code sections, see the North Dakota Century Code: https://www.legis.nd.gov/cencode.

6. Consider title company confirmation

Before marketing, you can ask a title company to run a preliminary title report. The report will identify all record owners, liens, easements, and other encumbrances. The title company can tell you exactly whose signatures will be required at closing and often what documentation they will accept to prove authority to list and sell.

7. If someone cannot sign, secure substitute court or insurer approval

  • If an owner is missing, incapacitated, or deceased, you may need a court order (probate or guardianship court) to authorize marketing or sale.
  • If a trustee’s authority is unclear or a POA is old or defective, a title company may require a court order or indemnity, or may require a new document clarifying authority.

8. Coordinate with your broker and attorney early

Share title documents, POAs, trust instruments, and any court papers with the broker and, if needed, a real estate attorney. Addressing potential authority or title issues before marketing avoids wasted time and consumer protection violations.

9. Recordkeeping

Keep copies of every signed listing agreement, POA, corporate resolution, trust certification, and probate/guardianship order. Those documents protect you and the broker if disputes later arise.

Practical checklist (quick steps)

  1. Order a preliminary title search.
  2. Identify all record owners and encumbrances.
  3. Gather written evidence of authority from each decision‑maker (signed listing or written authorization).
  4. Obtain certified copies of POAs, trust certifications, corporate resolutions, or probate letters as applicable.
  5. Have the broker prepare a written listing and get signatures from all required parties.
  6. Confirm with the title company what will be required at closing.

When court approval is often required in North Dakota

In probate matters, sales by a personal representative sometimes require court approval or confirmation, especially if the estate has multiple interested parties or creditors. Guardians and conservators typically need a court order to sell real property owned by a protected person. Trust sales generally do not require court involvement unless the trustee’s authority is disputed.

For more on North Dakota statutory law and probate/estate rules, review the North Dakota Century Code: https://www.legis.nd.gov/cencode.

Helpful Hints

  • Start with the deed. The names on the deed control who must sign the listing.
  • Use a single, clear listing agreement. Multiple conflicting agreements create problems for brokers and buyers.
  • If one owner is unreachable, do not rely on verbal consent; get a court order or written authorization that the title company will accept.
  • If a power of attorney is used, obtain a certified copy and confirm it specifically authorizes real estate transactions.
  • When dealing with trusts, request a trustee’s certificate stating the trustee’s powers. Title companies commonly accept these short certificates instead of full trust copies.
  • Ask the title company early what documents they will require at closing — this prevents surprises after an acceptable offer is received.
  • When in doubt about capacity, authority, or potential disputes among owners, consult a North Dakota real estate attorney before marketing.

Following these steps will greatly reduce the risk that marketing or an accepted offer will be delayed or set aside because someone with legal authority did not approve the realtor or the sale. When authority is documented and verified up front, marketing proceeds smoothly and buyers and lenders gain confidence in the transaction.

The information on this site is for general informational purposes only, may be outdated, and is not legal advice; do not rely on it without consulting your own attorney.