Is There a Holding Period Before I Can Sell My Inherited Home?
When it comes to the ins and outs of selling inherited property, there is a lot of fine print you’ll need to wade through. As you consider how to use your property, one common question, and rightfully so, is the question of a waiting period if you decide to sell. When you inherit a home, do you have to wait a certain amount of time before you are allowed to sell it?
This is a great question, but to answer it, we’ll need to explain a few things first…
Inheritance vs. Probate
There is a slight difference between an inherited property and one in probate. When someone passes away and leaves a property in their will to an heir, there is a process that requires verifying the will is right and that the correct heir receives the property. This means that the first step to inheriting the house is for it to be placed in probate. During this time, while the will is being proved, the property may be contested by another heir. So you likely will not be able to sell an inherited property until Probate has been completed. Once it is completed, you fully own the home and at that time you will be able to sell the property if you so choose.
A “Holding Period” for Taxes
When the property changes hands from the deceased to the heir, there may be a small holding period due to tax issues. The period depends on when the deceased passed away in terms of the tax season and during this period, it will be determined how much tax you actually owe on the property for the season in question.
In most cases, an inherited property being in such a holding period will not prohibit a sale. However, you will definitely want to talk to an accountant to see how the tax issue may turn out as it will impact what you owe on the property which can affect your selling price.
Other Factors to Consider
So, while the big answer is “no there is no holding period that specifically states you cannot sell before a certain time has elapsed after inheriting a property,” there are other holding periods that may affect your inherited property and make it more difficult to sell. One of these is the houses mortgage. Of course, most of these are not long-term issues, but they still require time and effort to work out before you can finalize a sale.
For those looking for the quickest way to sell their inherited property without the hassle, money, and time commitment it takes to sell it for top dollar on the MLS, the good news is that there is likely no holding period interfering with your plans. However, remember to work with a reputable investment firm like Cornerstone who will make you an offer without cost, or obligation. Even if you are just a little curious to see what we’d offer, go ahead and fill out the online form or give us a call – we’ll get back to you in 48 -hours with an all-cash offer we can have in your hand in as little as 7 days! What are you waiting for? Contact Cornerstone Properties today!