- April 11, 2022
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Upon the passing of a loved one, you may have an inherited house on your hands. In an ideal world, this property would be in a ready condition for sale, rental or to move into; however, we all know that’s rarely the case. When deciding whether to keep, sell or rent an inherited house, numerous factors can come into the fold, especially if you have inherited the house jointly with other heirs.
Understanding Mortgage Implications
Before deciding what to do with the house, you will want to get to terms with the mortgage. If the mortgage has not been paid off, the most important question to ask is if your loved one had mortgage protection insurance, which pays off the remaining sum in the event of their death. If not, you may have to assume the mortgage and pay it off either monthly or immediately, depending on what you decide to do with the property and whether there’s a due-on-sale clause.
Keeping the House to Move Into
If you wish to move into the house, the good news is that you only have to make the bare minimum of repairs to make it safe and functional. Anything extra will be entirely at your discretion, of course, but you will not have to make the house attractive for potential buyers or tenants. One factor to consider here is if you wish to keep the property but the co-heir(s) wish to sell it. A solution is to buy them up so that you both get what you want without compromising on your fair share of the inheritance.
Rent It Out
Renting out the property can be a good option if you and your co-heirs wish to keep it in the family but already have your own homes. Getting a property ready for renting can require a lot of work, particularly if it’s in an unsafe condition. If you go with this option with your co-heirs, always make it clear who will be responsible for doing what. An alternative would be to get a property manager in to take care of everything.
Selling
Of course, you have the option of selling the house and splitting the profits between yourself and your co-heirs, if any. While going through a real estate agent and selling it the traditional way can be a good option, it may not always work out in some cases. This can be if the house requires extensive repairs that no one is willing to take responsibility for or if you simply wish to wrap up the sale as soon as possible.
When that’s the case, consider selling your inherited property to Modern Feather Properties. You are free to schedule your own closing after accepting our cash offer and from there, all you need to do is pocket the cash. The house will be off your hands quickly and efficiently without you needing to do any work on it, allowing you to move on with your lives as before.