Have you recently inherited a home that you don’t want to live in and are considering putting it on the market? Read on to discover what you should keep in mind when selling an inherited home.
Can You Sell an Inherited Home?
Unexpectedly inheriting a home that you may have never wanted in the first place can be more of a burden than a blessing. Suddenly you have to figure out how to either manage, use, or sell the property. Luckily, selling an inherited home can be as easy as putting it on the market and accepting a quick cash offer.
It’s a good idea to sell an inherited home as soon as possible, since you have to pay a capital gains tax on any property that has increased in value since you acquired it. Rather than waiting around to figure out what to do with your new property or consulting with a real estate agent on how best to go about the sale, get it off your hands as soon as possible to avoid this extra tax.
How Do Capital Gain Taxes Work?
Capital gains come into play when selling an inherited home that’s worth more at the time of sale than at the time of inheritance. The longer you hold onto an inherited property, the greater chance you have of paying a capital gains tax.
If the inherited house you are selling gained value in the time between when you inherited it and when you closed on it with a buyer, you’ll have to pay taxes on the difference. For example, if the value of the home you inherited was $400,000 but when you went to sell it it’s appraised value was $450,000, you would have to pay capital gains taxes on $50,000.
The capital gains tax rate will depend on the income bracket you fall into, but can be up to 20%. That’s why selling an inherited home quickly may be to your advantage!
How to Sell an Inherited Home
If you inherited a house and are hoping to sell, the first step in the process will be figuring out whether or not the loan the previous owner took out for the property is paid off yet. If the owner still has an outstanding balance, you’ll need to deduct this amount from whatever you get from the sale of the property.
Next, you may want to get a real estate agent to help facilitate the process. They may suggest some updates to the property before it goes on the market, or an inspection to ensure that all is as it should be. Fixing up a property or staging it for a real estate open house, however, can be quite the ordeal.
In some cases, you may be able to sell your inherited home quickly for a fair amount in cash. If you want to sell an inherited home and live in Virginia, you are in luck!
How Integrity RE Solutions Works
With Integrity RE Solutions, you don’t even have to worry about fixing up or remodeling a house you’ve inherited! Any homeowner in Virginia qualifies for Integrity RE Solutions’ services, so reach out today to discuss a fair quote.
If you inherited a house that you no longer want or cannot maintain, it’s time to let Integrity RE Solutions take it off your hands. These real estate investors are open and honest, and use sophisticated software to calculate exactly how much your property is worth, so you can trust you’re getting a great deal every time. Because if you’ve inherited a house and want to sell it, you want a quick and easy transaction!
And, because sales to Integrity RE Solutions doesn’t require an agent or broker fee, you’ll end up getting more for your property than if you sell through a real estate company. How does an all-cash offer for your inherited property sound? Yeah, we thought so… Find out how Integrity RE Solutions can help you sell an inherited home today.