- April 11, 2022
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Inheriting a property can come with its fair share of troubles, particularly if extensive work needs to be carried out to make it habitable. In many cases, selling your inherited house will be the best solution, especially if you hold joint ownership with other co-heirs. Read on to find out some factors to consider before selling your inherited house in Haslet, TX.
Has the Mortgage Been Paid Off?
Firstly, you will need to find out how much is outstanding on the mortgage, and whether all property taxes have been paid to date. Are there any foreclosing issues or liens on the house? Depending on the specifics of the mortgage agreement and your individual circumstances, you may need to pay any outstanding amounts off before you can receive ownership of the house (with your co-heirs, if applicable).
Understanding the Tax Implications
There is one main advantageous reason for selling an inherited house in Texas: You are only liable to pay capital gains tax when you are the legal owner of the property. This means that if the value of the house went up between the time of your loved one’s death and you becoming the new owner, the capital gains tax you are subject to is based solely on the difference between these two amounts.
Because you will have to be living in the property for at least 2 years to get a tax exemption, you likely won’t qualify for an exemption by selling it. However, as there is no inheritance tax in Texas, you will only have to pay federal taxes.
Preparing the House for Sale
You have decided to put up the house for sale, what’s next? Before your house can go on the open market, you will need to go through everything inside, carry out a thorough cleaning job as well as make the necessary repairs. Needless to say, all these can be time-consuming and even costly. That’s why many heirs opt to sell their inherited properties to a cash buyer, as they will buy your house as is.
Even if you decide to sell to a cash buyer, keep in mind that you may wish to go through the property to sort through your loved one’s personal belongings and keep anything that may have sentimental value for you.
Selling to a Cash Buyer Is a Quick and Fuss-Free Solution
We understand that inheriting a house can bring about more problems than it solves, particularly if there are co-heirs who disagree on what to do with it. One of the easiest solutions is simply to sell the property and divide the profits amongst the heirs.
When you sell to a cash buyer like Modern Feather Properties, you don’t have to go through the process of getting your house ready for sale. We will buy your house as is, saving you the time, cost, and hassle of carrying out repairs and maintenance works. Come to us today for a quick and fuss-free solution.