An Executor's Duty to Get the Best Price When Selling Estate Property in Ontario

Selling the family home, a car, or other belongings out of an estate is one of the most consequential things an executor does — and one of the most exposed to second-guessing later. Ontario's executor's duty to sell estate property for the best price reasonably available is not a suggestion; it flows directly from the fiduciary obligation to act in the best interests of the estate and its beneficiaries.

Understanding what this standard actually requires — and what it does not — can protect both the estate's value and the executor personally.

Why "Best Price" Is a Legal Standard, Not Just Good Practice

An estate trustee is a fiduciary who must act in the best interests of the estate. When that involves selling an asset, "best interests" generally means taking reasonable steps to obtain the best price a properly marketed sale can achieve — not simply accepting the first offer, or selling to someone convenient, out of a desire to close the estate quickly.

Step-by-Step: Selling the Family Home From an Estate

1. Confirm your authority to sell. Real property in Ontario generally cannot be transferred by an estate trustee without a Certificate of Appointment of Estate Trustee, because the provincial land registration system typically requires that certificate before it will register the transfer.
2. Get a professional appraisal or market evaluation. An independent valuation establishes a defensible baseline for what the property is actually worth.
3. Market the property properly. Listing with a real estate professional and exposing the property to the open market is the clearest way to demonstrate that the sale price reflects genuine market value.
4. Evaluate offers on their merits. Compare offers against the appraisal and market conditions rather than against personal preference for a particular buyer.
5. Document your reasoning. If you accept an offer below asking price, or reject a higher offer for a legitimate reason (financing conditions, closing timeline), write down why.
6. Close and account for the proceeds. Record the final sale price and how proceeds were applied, as part of the estate's accounts.

Selling Vehicles and Personal Property

The same principle applies on a smaller scale to cars, jewellery, and other personal property — get more than one opinion of value where an item is worth enough to matter, and keep a record of what was obtained and why. For lower-value household items, a reasonable, good-faith process is generally sufficient; the duty scales with what is actually at stake. If a family member expresses interest in buying a personal item themselves, treat that request the same way a sale to a stranger would be treated — get an independent price opinion first, since a sale to someone connected to the estate raises the same fairness concerns as any other conflict of interest.

What "Best Price" Does Not Mean

The duty to get the best price does not require an executor to wait indefinitely for a hypothetically higher offer, delaying the estate's administration to beneficiaries' detriment. It also does not require rejecting a fair, well-supported offer just because a higher number is theoretically possible. The standard is reasonableness in the circumstances — a properly marketed, arm's-length sale at a price supported by professional advice will generally satisfy it, even if a different price might have been achieved with more time or luck.

Handling Multiple Offers or a Competitive Sale

Where a property or asset attracts more than one interested buyer, treat that as an opportunity to test the market properly rather than a reason to rush toward the first acceptable number. Comparing offers side by side — price, conditions, financing certainty, and closing timeline — and keeping a written record of that comparison shows beneficiaries, and a court if it ever comes to that, that the eventual sale was chosen for sound reasons rather than convenience.

Documenting Your Decisions Protects You

Because beneficiaries can question a sale price after the fact — sometimes long after the property is gone — keeping the appraisal, listing history, offers received, and your reasoning for accepting a particular offer is one of the simplest ways an executor can protect themselves. These records are exactly what would be reviewed if a beneficiary raised concerns through a passing of accounts.

Frequently asked questions