Categories Baytown, Cash Offer, Inherited, vacant home

Damaged, Vacant, or Inherited Home Causing You Stress? Here’s the Solution!

Damaged-Vacant-or-Inherited-Home-Causing-You-Stress-Heres-the-Solution

 

Homeownership is a lot of work and if you own more than one property, the cost and time for maintenance can often become overwhelming. So, let’s look at the top three ways people become financially overextended with their properties and what to do about it.

Inheriting a home sounds like it would be a great financial windfall, but in reality, it usually ends up being a costly logistical and emotional nightmare. Inheriting a home typically falls on the heels of bad news, like a death in the family, so the prospect of financial gain is not ordinarily on the top of people’s minds. Homes that are acquired by inheritance are almost never in a condition to sell. As a result, when the time comes to sort out the inherited property it will need to be cleared out. This will require movers, multiple garage sales, or an estate sale to get the contents of the home properly delivered to inheritors or sold. Lastly, the home will need to be updated and refurbished, or sometimes repaired. This process can take months or even years to complete before the home is ready to live in or sell. We forgot to mention, this scenario is under ideal conditions. Throw in bickering siblings and relatives wrestling for their peace of the pie, contributing their own ideas and opinions of how to go about splitting up the inherited property and how to make the highest profit off of it once it sells! Because of all this, nine times out of ten, inheritors just want to sell the property as quickly as possible. To simplify the process and alleviate the stress, you can sell the property to an all cash buyer such as Gulf State Homebuyers. They can close on the sale of the home in as little as five days and will buy the house as-is so you don’t have to hassle with any renovations. All you are left with is deciding how to divide up the inheritance with your family.

An inherited home can also be the reason for owning a vacant home, but it could also be a vacation home that no longer gets use or an investment property that didn’t get the time and attention it needed to turn a profit. Homes that are intended to be rented, but for one reason or another remain unoccupied, are one of the most common types of vacant homes. Whatever the reason, a vacant home can cause a lot of financial and emotional stress. When homes sit vacant, it doesn’t take long for the structures to begin to deteriorate. This is because the basic cleaning and maintenance occupants typically perform, like picking weeds, clearing rain gutters, and raking the leaves, end up drastically extending the life of the structure. So, if no one it there to perform it, the home suffers. Basic house cleaning also keeps away pests, who will quickly move in and start eating away at the homes structure, insulation, or even the electrical systems. Any property that you are unable to maintain because of lack of time or finances needs to be sold quickly, because as the home continues to deteriorate the value will too. All cash buyers are good in this situation as well since they can quickly take the vacant property off your hands. This alleviates the two main reasons that a home sits vacant (lack of time and money), giving you the ability to sell and move on.

The last one is a big one when it comes to stress levels because it deals with the home you may currently be living in. We are talking about a damaged home! Fires, floods, and storms can often times leave the house unlivable, but even if the house is still safe to live in, the damage is likely to interfere with your ability to enjoy the house and can cause quite a few inconveniences. Cost aside, workmen and contractors coming and going throughout the day, coordinating repairs with your daily schedule, and the dust and noise of home repairs are all unpleasant at best. When this happens to you, there is another option – you could sell to an all cash buyer. Completely skip the cost and trouble of repairing the damage and let someone else handle it. At Gulf State Homebuyers we buy homes all cash, as-is, and in all conditions, even damaged. With all these scenarios, when you take into consideration the cost of repairs, upgrades, and the fees associated with selling a house, our offers are extremely competitive. So, contact us today for a free appraisal and sell your damaged, vacant, or inherited home in as little as five days!

Author gulfstatehome
Categories Inherited

5 Steps to Selling Your Inherited House

It’s never easy to lose a loved one.

Inheriting a home can make a difficult situation even more challenging. While your loved one meant well, an inherited home can cause unexpected stress.

Everything from family dynamics to the feasibility of actually using the home can conspire to make that inheritance problematic.

Here’s what you need to know.

If your loved one did not leave a will, all is not lost, we work with every situation and we can purchase homes without a will with assistance from our title company and team of attorneys.

If your loved one did leave a will, before attempting to sell, confirm the following:

  1. You have in fact legally inherited the home. The paperwork will be completed during the probate process. Probate is the process by which the court confirms legal ownership of the home and monitors the estate while creditors are being notified and paid. You cannot sell the home until the probate process is complete.

    You don’t want to get started on the sales process if you won’t be reimbursed for your efforts. If someone else will be inheriting the home, consider having a conversation with them about how they can do the work. You can assist, but if you take on the work whole cloth they might resent you.

  2. Be sure you want to sell the home. There are three options to consider when you inherit a home. You can sell it, you can live in it, or you can rent it out. When you lose a loved one your emotions may be fluctuating, so it’s a good idea to talk it out with someone you trust before making any big decisions. For example, if you aren’t in a good position financially to invest in the home, then selling is probably your best option.

Then, take the following steps.

Step 1: Keep it Livable

This may be something you want to avoid, but it can save you time and reduce the hassle of selling.

The home will still need proper insurance. You’ll have to keep the utilities running after your loved one has passed. 

However, you can save money on both these expenses if you contact the companies. You can convert the homeowner’s policy to a vacant home policy if nobody will be moving into the house any time soon. 

Cancel any utilities that aren’t needed, and transfer them into your name.

You’ll also have to budget for upkeep. A housekeeper and a gardener can ensure the house doesn’t get run down.

Step 2: Clean it Out

This is a challenging step.

Cleaning out your loved one’s belongings can put you on an emotional roller coaster.

Unfortunately, this step is necessary if you’re going to make a healthy transition into the next phase of your life.

If there’s an excess of stuff, Gulf State Homebuyers will coordinate the removal of those items from the property, at times, at no additional cost to the seller. 

Step 3: Assess the Value

Get a professional home assessor to value the home. This step is required during the probate process, but hiring your own professional can provide you with certainty. You want to make sure that you won’t be losing money when you sell the home.

When you market the home, the sale price will match the home value on the individual’s death date, and not the price the home was when they purchased it. 

You should also keep in mind that if the value increases you’ll be responsible for paying capital gains tax.

Step 4: Choose the Right Selling Method

There are two ways to sell an inherited home.

One way is to list it with an agent, a service Gulf State Homebuyers provides its clients as we have a team of licensed agents in our office.  This process can take 30 to 90 days and can involve a few more steps, but can lead to a higher selling price.

The other way is to sell it to an investor.

Selling to an investor can be easy and simple, which can come as a relief during such a challenging time. 

We ourselves are investors, and we’ve recently helped multiple members of our community transition through this process.

We purchase homes with cash and buy them as-is. 

That means you can sell your home to us in as little as 5 days.  That means you can stop paying all the bills associated with the home and start enjoying your inheritance.

Step 5: Determine How to Sell…

 There are two primary routes you can consider when selling an inherited house: either list with an agent or sell to an investor.

Selling to an investor can provide you with ease and simplicity when managing such a challenging time in your life. We are investors and have recently helped multiple members in our community transition during this difficult time. We purchase homes all cash and as-is. This means that once you are complete with the probate process, we are prepared to purchase your home all cash in as quickly as five days. You can consider selling via a real estate agent, but remember that this course can extend the process drastically and can cost you more time and energy. To learn more about how we can purchase your inherited house, contact us today.

Disclaimer: We do not give legal advice and recommend that all clients consult an attorney.   

Author gulfstatehome
Categories Inherited

Can A House Be Sold While in Probate?

 

We are often asked by our clients if their home can be sold while in probate? The overall answer is generally YES, but depending on the status of the will and the names on the title, the process can be quite challenging.

Before we get started, let’s review “What is Probate?” – Probate is the process of proving and registering in the Supreme Court the last will of a deceased person; granting of probate is the first step in the legal process of administering the estate of a deceased person. The probate process must go through a probate court to establish the executor of the estate.

Selling a Home in Probate:

Step 1: Appoint an Executor: The first question to ask following the death of a loved one is who is the executor? Hopefully, your loved one has completed their will and has appointed someone as the executor of their estate. If they have done this, then the process will be much simpler. If they have not done this, you will need to petition to appoint an executor. Depending on the agreement of the heirs, this can be a short or long process.

Step 2: File with the Court: You must file this with the court and allow two weeks while the notice is on public display – following this, the process of the sale can get started.

Step 3: Get an Appraisal. Never put the home on the market without having the appraisal completed first. This step is imperative for the closing process, and is a necessity for the court proceedings. An appraiser can easily be found through a google search or by requesting a referral from your attorney or agent.

Step 4: Market the Home and Accept an Offer. The next step is selling the house. In the case of a probate sale, the offers on the home must meet requirements approved by the court. For example, the home must sell at a minimum of 90% of the appraisal value. Additionally, any offer must be accompanied with a 10% deposit of the total selling price.

Step 5: Notice of Proposed Action. Once a buyer is identified and the home sale is approved by the court, a Notice of Proposed Action must be mailed to the heirs/claimants of the will informing them of the terms of the sale. If anyone objects to the sale, they have 15 days to contest. If no individual contests, the sale may proceed.

Step 6: Finalize the Sale: The last step in the process is the finalization of the sale. When the offer is accepted, the attorney for the estate applies for a court date, which typically occurs 30-45 days later. During this waiting period, the real estate agent continues to market and show the home and is open to new offers. If a higher offer is obtained, the new buyer must submit a cashier’s check equaling 10% of the new price – at this time, they are the new highest bidder.

The court will accept the highest bidder – and once they are identified, escrow will be opened. Escrow during a probate sale generally takes 30-45 days. Finally, the home will close.

Step 6: Allocation of Funds: Once the home is sold, the funds enter into the probate fund. The beneficiaries will receive the profits from the sale; however, funds are not allocated until the end of the probate process. All debts must be paid including taxes, funeral expenses, court fees, etc.

What About Debt?

An in-depth financial analysis of the deceased is necessary to understand if the sale will be as simple as stated above. If the deceased has any debt or taxes due, this must be taken into consideration when selling the home. Upon their death, the executor must notify all creditors – this allows each creditor to make their claim on the assets within the identified time frame.

Overcoming Challenges

If you are experiencing difficulty going through the probate process, remember that the process is intact to ensure the assets of the deceased.

For continued assistance, whether you are interested in learning more about the process, understanding if you are in a position to sell, or are ready to let go of the property, we are available to help.

We here at Gulf State Homebuyers specialize in working with clients who have inherited a home; not only do we provide all cash offers with a quick close, but we also have an attorney on staff that can assist. This will both save you money and time.

Author gulfstatehome
Categories Inherited

Sell Your Inherited Home And Save Money

 

Have you inherited a home and begun looking for the best option as you move forward? Are you uncertain of the optimal financial decision for the home and for yourself?

Dealing with an inherited home can be emotional and stressful – we are here to help. In this article, we will outline the costs you may incur with an inherited home and the best options for avoiding what can be hefty fees.

#1 –  Inheritance Tax

Fortunately for anyone inheriting a home in the state of Texas, they do not need to pay any taxes. Texas has no estate tax; neither does it require individuals to pay income taxes on inherited properties. However, if the estate is large, then the individual may be required to pay federal taxes.

#2 – Repair Costs

Depending on the condition of the home, as the new homeowner of the inherited property, you may be looking at costly repairs. If you want to sell the home, you will need to complete the proper inspections to determine the status of the interior and structure of the home. This process secures the safety for the future homeowners. Hopefully, the home was well maintained over the years! However, it may be possible that you will be confronted with minor repairs or even expensive repairs to the foundation – these burdens can be unavoidable. As the new homeowner, you have incurred these costs whether you want them or not. Inherited property can be a financial burden on many families, especially those who do not have extra cash lying around.  

#3 – Agent Fees

Once the home has been repaired, it is time for the sale. If you decide to place the home on the market, it will be necessary to hire a realtor to market and sell the home. When determining which realtor to move forward with, it is imperative that you complete the necessary research on that realtor and their experience to ensure that you are choosing the best option. Selling a home can be an extremely long process, and if you pick the wrong realtor, you may find yourself dealing with months of unsuccessful marketing. Additionally, the realtor you select will also require a fee once the home is sold – they are typically 6%. Make sure you complete your due diligence because selling a home costs you money!

#4 – Attorney Fees

When selling the home, you may also want to to consult an attorney who will review closing statements and ensure that you are getting a fair deal on the home. Additionally, the attorney will review the escrow process to confirm that the transaction is being handled properly – the last thing you want at this emotional time is to lose money due to fraud! Attorney fees prices can vary depending on how extensive their work is.

#5 – Closing Costs

The final major fee that you must pay on your inherited home is the closing costs – this can average anywhere from 2 percent to 5 percent of the home’s value. These costs are generally unavoidable and required by the buyer’s lender.

How To Avoid 100% of These Fees on Your Inherited Home in Texas

Coping with a loss can be emotionally draining, and adding financial stress can really take a toll on an individual. The combination of responsibility, ongoing marketing, attempts to sell, and the mounds of fees that an individual must pay can make inheriting a home feel like a full-time job.

There is, however, one convenient option that allows you to avoid paying 100% of these fees…sell to a seasoned investor who is familiar with the market.

Selling to Gulf State Homebuyers can provide you with the peace of mind that you need when dealing with the sale of an inherited home. Not only are we understanding and compassionate home buying company, but we also cover all fees associated with the home sale; we sell the home as-is, so there’s no need for repairs. There’s also no need to hire an agent – we can assess and purchase the home straight from you; we have an attorney on staff who will ensure your security on the deal – we even cover closing costs!

We make the process quick and easy, allowing you to focus on your emotional stability and healing. Don’t waste your time. With our competitive offers, we provide the best option for anyone who is looking to sell. Contact us today and we can evaluate your home, free of charge.  Click here to get started with our quick, 1-2-3 buying process.

Author gulfstatehome
Categories Inherited

What To Do With An Inherited Property

What To Do With An Inherited Property

Most individuals who inherit a property are not prepared for what comes next. Due to the emotional distress of losing a loved one, the logistics associated with managing a newly inherited property are often overwhelming and are the last thing anyone wants to deal with. We’re here to make that process a little easier by outlining the basics of what you can do with an inherited property and the details associated with each option.

Before deciding what to do, you must first identify who has the right to make the final decision. If there are joint inheritors, for example, you all must agree on your course of action – if there are challenges in that process, the dispute will need to be placed into legal hands. However, if you are the sole inheritor, there is no need to worry about sharing the decision.

To get started, it is important that you first understand the laws associated with inheriting a property in the state of Texas. This information can help you make a final decision on what to do with the property:

● There is no state inheritance or estate tax for Texas properties. There may be federal estate tax due only if the property value exceeds $11.18 million.

● A child under the age of 18 cannot legally inherit a property. They may, however, be named beneficiary to a trust, and the trustee can manage the future of the property.

● Following someone’s death, their assets typically enter into probate – probate is the official way that an estate gets settled under the supervision of the court and is implemented to prevent fraud. However, the state of Texas treats small estate rulings differently by removing the necessity for formal court hearings to determine the actions for the estate. If an estate is valued below the “small estates” limit ($50,000 or less), then the inheritors can settle the future of the estate with an affidavit.

Once you have reviewed the basic laws, it is time to look at your options and determine your next step:

Keep the Property

You can keep the property to live in yourself or rent it out as an investment property. If you live in it yourself, there are a few things you will need to consider before packing your belongings.

Does the property have any debts, or are there any taxes due on it? If there is a mortgage on the property, or if there are taxes due (either back taxes or annual taxes), you will now be responsible for the payments. Before keeping the asset, consider whether or not you can afford these additional expenses! The last thing you want is to overlook this detail and have the home repossessed.

What is the condition of the property? Was the interior and foundation kept up? If the answer is no, then ask yourself: do you have the finances and time to repair the house? Rehabbing a property can be costly and time consuming – is this something you want to do? In order to gain a full understanding of the financial burden this could have on you, have the home inspected and assessed by a professional.

As an investment property, ask yourself the same questions. Then ask yourself – are you in the market to manage a real estate asset? Although this can be a great source of income, it can also require much time. Additionally, if you decide to utilize the asset as an investment property, remember you will now also be responsible for paying income tax on the profit you earn from the renters.

Sell the Property

If you decide not to keep the property, whether it is due to familial or financial issues, then you can sell the unit. You can either utilize a real estate broker or find an off-the-market buyer.

If you are looking to list the property, you would take similar steps as if you were listing any other asset. First, you would hire a real estate agent to list the property on the market. Then, the agent would be responsible for marketing and negotiating with potential buyers, fighting for the best deal on the property. Once a buyer was identified, the property would go into escrow and close according to the contingencies negotiated.

Keep in mind that selling with a real estate agent can be time consuming, especially considering the added burden of having suffered a loss. Most individuals who inherit a property are taking on an unexpected responsibility and do not want to go through the hassle of hiring, marketing, and negotiating a deal on the home. Therefore, selling to an off-the-market investor can be the best option.

Choosing to sell to an established investor can often be the lowest-hassle opportunity for individuals experiencing emotional tumult. All-cash investors can provide the capital for families to pay off back taxes or past due mortgages, or they can create an easy resolution to joint inheritors who are locked in a dispute on what to do with the property. Settling for an all-cash offer also provides some closure and allows individuals to shut the door on a painful chapter of their lives.

The Next Step

No matter what you are debating on doing, it is always recommended to seek a professional opinion. Emotions run high in a time of loss, and individuals’ thinking may be unclear. We here at Gulf State Homebuyers specialize in working with inherited property and would be happy to provide you with a free consultation. Our goal is to help you identify what the best options are for you and your family as you begin to heal.

Author gulfstatehome

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