Selling House in Estate/Probate – Knowing Your Options
Have you recently inherited a house that was passed down from a family member? It’s always best to know your options for renting or selling inherited house in Toronto!
If you have recently inherited a house or property, it is likely a complicated, sensitive and draining issue to deal with where a family member or loved one has passed away. Owning an additional property can leave a variety of options open for you.
You may be considering do you move in, rent or sell it?
If you are feeling overwhelmed and unsure of where to go from here once the property is yours, keep on reading to determine if living in, renting or selling inherited house in Toronto is the right choice for you.
Before You Start – Consult the Professionals
Inheriting a house comes with a slew of paperwork, some of it rather complicated to someone outside of the real estate, legal or financial world. The first step of knowing your rights as a recent inheritor can save you from future hassle.
If you are dealing with an easy, single property inheritance, you will likely just require the services of a tax accountant to assist you. If you have inherited multiple houses or properties, it is wise to get help from a Certified Financial Planner (CFP), as these professionals have undergone extensive educational training and can give you the advice you need. You may also consult your lawyer, preferably one who is familiar with inheritance and real estate, to guide you in the right direction.
Lastly, if you are thinking of selling inherited house in Toronto, reaching out to an experienced real estate agent with a reputable brokerage may be the right move towards an easy sell.
1. Move in to your inherited house
Moving into your inherited home may be a great option for you and your family. This option is typically daunting for those afraid of the financial risks and burdens this may cause, but depending on your current life circumstances, moving in can be a blessing in disguise. If your family is growing and the inherited home has more space to it, it could be worth selling your current home and upsizing. Alternatively, if you are a new empty nester and the inherited home is smaller, you can save on property taxes and mortgage fees by moving in instead of selling inherited house in Toronto. It is important to analyze the market currently to see if selling your current home is a smart decision financially; this is where consulting the professionals may be beneficial.
2. Renting your inherited house
If moving into or selling inherited house in Toronto are not in your deck of cards, renting out the property may be a smart decision that can result in a bit of additional income. Before choosing to rent, there are a few key factors and choices to make:
- Do you want to manage a property? Everybody loves the additional income, but not everyone has what it takes to manage a rented home. There are legalities around property maintenance, repairs and fixes, quick response times from tenant questions, etc. and not everyone is up for the challenge! Additional income may also put you in a higher tax bracket, so it is important to consider this before renting out.
- How far do you live from the inherited property? As the new landlord of the home, living a far distance from the inherited property can be problematic. You would be legally responsible for repairs and required maintenance on the house, so keeping happy tenants would require you to easily get to the property for fixes and problems.
- Is the house suitable for renting? Depending on how the house was kept, there may be the chance of extensive repair to get the house up to code in order to rent. This is especially true if the benefactors were elderly or if the house was rarely used (cottage home, for example). If extensive repairs are needed, selling inherited house in Toronto “as–is” could be your smartest financial move.
3. Selling your inherited house
The final choice when questioning what to do with an inherited house is to sell it. As with a standard house sale, there are plenty of things to keep in mind before selling inherited house in Toronto:
- Do not sell before you are ready: If inheriting the house is very recent and you are also grieving – if it is financially possible – do not sell or rent until you are prepared. Acting emotionally can result in regret later down the road, so give yourself a few weeks to adjust before choosing to sell.
- Check out the market in that area: Take a good hard look at the Toronto market – is it favourably in the seller’s market right now? Depending on the time of year and what is happening with other homes for sale in the area, you can decide to sell now or wait it out.
- Fixing up the property: As with renting, selling inherited house in Toronto requires repairs and some TLC in order to make it attractive to the market. Fresh paint, new decorations and some staging can bring the house to life and may result in a quicker sell. If you have the time, attend open houses in the same location to check out the competition and learn how to price the home accordingly, and gain some décor inspiration.
- Selling inherited home in Toronto for cash: With the emotional rollercoaster involved with selling an inherited home, even the thought of hiring a real estate agent or a contractor to fix necessary repairs may be too much hassle. If you have heard about selling your house for cash but have your questions, reach out to us by filling out the form below. We promise a hassle – free experience and easy customer service, so you don’t have to do the leg work. The process is simple; fill out the form or give us a call, we book a time to check out the property, and then give you a cash offer.
Selling your inherited house in Toronto does not need to be a lengthily, expensive
process, so reach out today to get your questions answered.