Inherited Home Houston
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Selling an Inherited Home Can Be Simple
If you need to sell an inherited home, you are likely in the middle of a difficult and heartbreaking process. Inheriting a home comes with a mix of emotions. On one hand, you are dealing with the pain and stress of loss. As you are probably realizing, handling someone’s estate after they pass is both a physically and emotionally draining.
On the other hand, sometimes an inherited home can be a valuable asset, but even then you have to bear in mind that a number of difficult financial decisions come with holding a property.
All of this can become overwhelming very quickly. Give yourself time to grieve, and be patient with your own healing process. You do not need to make a decision immediately. Eventually, though, you have to decide what you want to do with your inherited house. In this situation, you have three options: sell your house, move into it, or rent it to someone else. For many people who do not wish to move into the home, the simplest option is to sell the house.
Empty Houses Are Costly
Many people assume if they are not living in the home, it will not cost them anything, particularly if the mortgage has been fully paid off. Unfortunately, that is not true. An inherited home can become quite costly even if no one is living in it. You still have to pay the following –
- Property taxes
- Homeowners insurance
All of these add up and can take a toll on your finances. Moreover, without anyone in the inherited home, it slowly deteriorates over time. In turn, the value of the home can drop substantially from when you first inherited it.
Inherited Homes in Disrepair
Oftentimes, an inherited home is in rough shape because the homeowners were elderly, ill, or otherwise unable to maintain it. As a beneficiary, you are now responsible for the home. If you wish to work with a real estate agent, you will likely need to make repairs before you take it to market. Depending on the condition this could cost you anywhere from a few hundred dollars for simple handyman work to tens of thousands of dollars for serious repairs like HVAC, plumbing and electrical.
However, working with a professional home buyer, like the team at Flash Realty Solutions, can help you avoid costly repairs. Even with a good, trustworthy contractor, these repairs can be expensive. A good home buyer will evaluate the property and provide a fair cash offer, taking on the cost and time of repairs themselves.
Sell Fast to Capitalize on Tax Breaks
When you sell an inherited home quickly, you can avoid a capital gains tax. The property’s tax basis is based on current market value at the time of the previous owner’s death. In turn, you inherit the house at the fair market value at the date of their passing.
If you sell the property, any tax you owe is based on the increase in value under your ownership. Because professional home buyers buy homes in any condition, you won’t have to make repairs before selling the home and in turn will not be responsible for taxes on the increased value.
Selling or Renting?
Oftentimes, people have sentimental reasons not to sell their house and rent it out instead. This is a good idea for a consistent income without losing an important memory. The monthly rent can increase your income, and the property value might increase over time.
However, there are also cons to renting the inherited home. From money spent on repairs and high property taxes to refinancing the property, it can be a drain on your time and expenses, not to mention any potential damage from tenants.
Whether you keep it as a long-term rental or a vacation rental, property management is a hefty responsibility to take on. For many people, selling the property feels like the best route. It’s a good way to avoid never-ending property taxes and mortgage payments.
Should I Sell the Property As-is?
If you don’t have an interest in the property, it’s time to decide whether to sell the property “as is” or invest in remodeling and repairs. When you sell the property as-is, you only really need to clean out the property and remove your loved one’s belongings.
Typically, this is a good option when the inherited home is in need of updating or in a state of disrepair. This is because spending the money to renovate a property in poor condition may lead to more monetary loss than gain in the end.
Avoiding Hassles with Inherited Homes
When you don’t have the funds, time, or interest to fix up an inherited house for the market or to rent, we can help you sell quickly and efficiently. At Flash Realty Solutions, we strive to make the home selling process pain-free. We treat our clients like our own neighbors and pride ourselves in being fair and respectful.
If you are in probate or executing an estate, we buy houses in any condition. Our team can help guide you through the process from start to finish. When you’re ready to sell, we can ease the burden and stress of selling an inherited house. Contact us today for a no-obligation quote!