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:
- 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.
- 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.
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.