While no one really wants to have to worry about finances after losing a loved one, the truth is it is a fact of life. If you have inherited property that you intend to sell, you first should look into whether there are any mortgages or liens on the property, or probate problems that need to be paid. Before beginning the process of the sale of inherited real estate, you also should research the current value of comparable properties in the area.
The first step in a sale of inherited real estate is to pay off any existing mortgages due on the house, as well as any outstanding property taxes and then keep them current. There may be other bills, which will need to be paid out of the sale of the property. Remember that unfortunately, not all properties inherited come free and clear. If you are in need of some assistance, you can apply for inheritance advance loans, or trust loans, in order to help you fund the bills. In fact, attorneys often use probate or trust loans or owned property to finance estate debt, pay attorney fees and to buy out other heirs’ interests.
Many people choose to have trust loans in the name of the trustee or director of the trustee company rather than in the name of the trust. In other words, the director of the trustee company is the borrower, whilst the trust is the mortgagor. This is done to take advantage of negative gearing benefits when using a unit or hybrid trust.
Before you officially begin your sale of inherited real estate, you may want to consider having an estate sale or auction. Estate sales can help you to accumulate any funds that the trust loans have not. If you are not attached to the items in the home, an estate sale may reduce the length of time you will be responsible for continuing to maintain the home.
Finally,contact a real estate agent to sell the property for you. Selling real estate in probate in probate can be difficult, so it is best to leave it to the professionals. The sale of inherited real estate can be relatively overwhelming, but if you follow these steps you will eliminate a ton of the stress typically associated with the process.