Sometimes selling an inherited house it’s not easy trying to decide in a few weeks or months what will happen to a house that may have been in your family for years. But that’s the next step—figuring out what will happen to the home.
If you inherited the home with a sibling, you might start with a frank discussion to gauge everyone’s feelings. If only one of you is interested in keeping the house, either to live in or as an investment, you may be able to arrange a simple buyout. One sibling can pay a lump or make monthly payments to the others. In any case, it may make sense to use a family lawyer or another third party who can make sure the terms are clear and fair.
If everyone agrees, you could sell or rent out the house together, as business partners. If the rental market is strong, or if you’re inheriting a house that is paid off, it might make sense to lease the house to a reliable tenant. But consider the time and money required to own and operate a rental property. If you go this route, you might look into hiring a professional property manager, which will cost a fee but can save you time, stress and maybe even money in the long run. See our other article on ‘Should I rent out or sell my South Side home?’.
Our friendly, professional property buying specialists are not realtors nor are we associated with any real estate agency, so you do not pay commissions keeping more money in the estate.
A common option to selling an inherited house.
Selling a house after the death of a parent is also a common option. Depending on your family’s comfort level and experience, you can decide whether to sell it on your own or with the help of a real estate agent. If the home is in major disrepair or even has fallen behind in taxes, has violations and a water bill…you may need to look for a cash buyer rather than listing the traditional way.
You might find there is less money in the home than you actually thought. Nobody likes to talk about taxes, but… someone has to.
In addition to the federal estate tax (which is the fourth highest in the OECD), many U.S. states levy their own estate and inheritance taxes. Estate taxes are charged against the estate regardless of who inherits the assets. The state of Illinois DOES levy an estate tax. Additionally, if the owner of the home fell behind in taxes, water bills, or happened to receive any violations or liens on the property those will all be levied against the property as well.
So! What is your property really worth? That’s about when you want to connect with professionals that can tell you.
In general, there’s a handy rule when you inherit something as significant as a house: Don’t be afraid to ask for help people who have gone through it or experts like the people at URB Chicago. Many other people have gone through what you’re going through—including the tears, nostalgia and other emotions mixed with a challenging financial decision. If you can lean on their experiences, you might find their advice offers something useful–just when you need it most.
“My wife inherited her aunt’s house, she passed away about a year ago due to some health issues, she owned a house in Chicago that was in pretty bad condition. URB Chicago’s offer came in the highest and their company was the fastest and really did close in 7 days after we signed up with them. I would highly recommend.” Alexander
Our property buyers understand the difficult decisions individuals who have inherited real estate are facing in selling.
Manny
URB Property
Buying Specialist
Kim
URB Property
Buying Specialist
Danielo
URB Property
Buying Specialist