What happens to the seller's bare legal title if the seller dies before closing?

The correct answer reflects the principle that when a seller dies before closing a real estate transaction, the seller's bare legal title does not automatically pass to the heirs in a manner that negates the contract. Instead, the interests of the seller are typically held in a manner that preserves the rights of the purchaser.

When the seller dies, the legal title to the property does not immediately transfer to the seller's heirs as it would in the distribution of other personal properties. Instead, the contract remains valid, and the seller's estate is still obligated to complete the transaction as per the terms of the contract. The title effectively remains in a state of trust for the purchaser until the sale is finalized. This means that the personal representative of the seller’s estate will take over the seller’s rights and duties under the contract, facilitating the closing.

This principle protects the purchaser's interest in securing the property without interruption due to the seller's death, ensuring that the original intent of the contract can still be fulfilled. Thus, the title is not forfeited or voided, which aligns with the transactional nature of real estate transfers and the continuing applicability of the contract after the death of a seller.