Inheriting a property can bring up a mixture of different emotions. Knowing what to do with the property after inheriting it can be a real challenge.
What is probate?
Before you can consider selling the property, the deceased person’s estate will need to go through probate. Probate is the legal settling of any debts or taxes associated with the estate before it can be distributed as per the person’s Will.
What costs will you have to cover before you sell the property?
Most property costs will be put on hold through probate, but once probate is complete, whoever inherits the property will be responsible for several ongoing costs. These may include:
- Property insurance
- Utility bills
- Council tax
- Property maintenance costs
What’s the best way to sell an inherited property?
There are several ways you can sell an inherited property.
Selling on the open market with an estate agent – The majority of people will list their inherited property with an estate agent and sell on the open market.
Selling on the open market is the best way to achieve the highest price for the property, but it’s also the slowest method of sale. Properties currently take an average of six months to sell with an estate agent. You also need to be aware that around one in three property sales on the open market will fall through before completion.
Selling at auction – if you’re looking for a quicker way to sell, property auction could be a good option for you. Property auction is also a great choice if your property is likely to be difficult to mortgage or if it is particularly unusual. It is worth noting, however, that only around 70% of properties that go to auction will sell. If you auction your inherited property and it fails to sell, you will still be required to pay the auction listing and marketing costs.
Selling to a house buying company – If you’re looking for more certainty, and also want a quick sale, you could consider selling to a property buying company. A genuine cash home buying company will be able to complete the sale and have the cash in your bank account in as little as a week, so it’s a great choice if you want to avoid paying ongoing maintenance costs for several months.
However you choose to sell it, an inherited property is an incredibly gift from a loved one and the proceeds from selling it can be truly life-changing.
