If you inherited a home, selling it may be the easiest option to make the most of the situation and create a financial windfall for you and your family. Here’s how to navigate the process.
Becoming the Legal Owner
Before making any decisions with your newly inherited house, make sure you have dotted the i’s and crossed the t’s on the necessary paperwork to become the legal owner. Even if you are the only surviving family member, you cannot assume ownership immediately. To claim the house, it must go through proper legal channels. Depending on how the house was left to you, there are different processes to follow.
Probate Process
When a loved one passes away, more often than not, a title transfer cannot occur without some form of the probate process. The probate process is how an estate is divided after someone passes away.
- If there is a will naming designated beneficiaries to the home, this is referred to as a dying testate. It will allow a title company to transfer the title to the correct beneficiary once it is validated by a court.
- If there is no will, this is called dying intestate. This means the probate will determine the rightful heir to the home before ownership is passed, even if there is only one surviving family member.
Once you have gone through the probate process, you can sell your inherited home.
Trusts
Trusts are a fiduciary relationship that can transfer the ownership of a house quicker than through the probate process. Before a loved one passes away, they can transfer the property to another relative before their death. This skips the probate process and allows the appointed relative to manage the property until the loved one passes. After they pass, they can continue to hold the title to the property or choose to sell it.
Considerations Before Selling
Move in, lease it, or sell it. Weigh your options carefully before making any big decisions with your inherited home.
- Estate Liabilities – Before you make any decision, determine how much debt is wrapped up in the house. This encompasses the mortgage still due to unpaid taxes to second liens. As the new legal owner, you are now responsible for these debts. If you choose to sell your new home, make sure you find a buyer that will help you break even with these costs at the minimum.
- Capital Gains Tax – More than likely, the house’s value has appreciated. If you make a profit by selling your inherited home, you may owe a capital gains tax. Keep this in mind as you sell.
- Repairs & Maintenance – If you choose to keep the home or lease it, you will need to make any necessary repairs and keep on routine maintenance. Depending on how you want to sell the house, you may need to make these repairs anyway, costing you time and money. If you are looking for a quick solution, choose a company that buys houses near you. They will often give a cash offer for the house and take it as-is!
- Multiple Beneficiaries – If more than one person inherits the house, make sure you all agree on what the final steps should be. This means if everyone but one person wants to sell, then you cannot sell until they change their mind.
How to Sell Fast
To sell your inherited house fast, choose WCC Properties, a local home-buying company that specializes in quick sales and cash offers. It is faster than the traditional home-selling process with a real estate agent. The traditional way is reliant on finding a buyer after you have made repairs, staged the home, and listed it on the market.
With WCC Properties, you can receive a cash offer and sell your home in as little as 48 hours. Plus, you can save more by avoiding closing costs, realtor fees, and costly repairs. If you need to sell an inherited home, give them a call!
