Do You Have An Inherited Property That You Need To Sell Quickly?

Inherited property can be a stressful experience, and you have so many options when it comes to selling. You can become a landlord and rent it out, you can sell it, or you can live in it. Selling can be an attractive opportunity, as it gives you quick access to money to use for anything you like. However, you might wonder how to make the sale as fast and profitable as possible. Again, you have options.

High street estate agents won’t always be able to sell your inherited home in the time frame you want, and they’ll also charge you extra fees. In contrast, selling to a quick cash buyer like SellQuickly.com can ensure you sell your property on your own schedule, immediately freeing up the money you need.

Below, we’ll answer all the key questions you might have about inherited properties, your sale options, and the cash sale process.

Are You Selling Inherited Property?

Most people inherit property after losing someone they care about. Struggling with a loss at the same time as navigating a sale process can be incredibly challenging. Indeed, if you’re completely new to selling property, you might wonder whether it’s even possible to do so successfully. After all, it looks like there is so much to organise and so much terminology to learn.

You’ll still be dealing with a loss and all the complexities that come with it. We can make selling an inherited house or flat more straightforward than you expect. Dealing with estate agents can be a long-winded, tiring and expensive. We can helpyou to arrange a quick sale to a property buyer that’s fast and easy. What’s more, we promise no hidden fees. However, before we get to all the details of our service, let’s first explore the costs you face with an inherited property and break down the concept of probate.

Understanding Inherited Property Taxes And Associated Costs

When you inherit a home, you can expect a number of different costs. With insurance costs, these are influenced by what you plan to do with the property. Say you leave the home without any occupants for over a month, for example – you’ll have to get a specific insurance policy that covers this. And you’ll still have to pay council tax. This scenario of managing everything you need to do with an unoccupied home is just one of a wide range of scenarios that strongly recommend making a fast property sale for cash.

Meanwhile, tax is also of concern to most owners of inherited properties. Want to make a traditional sale? You have to understand the ins and outs of three types of taxes. Here are the ones that might apply to your situation: inheritance tax, capital gains tax, and income tax. We’ll look at all of these shortly so that you can differentiate between them more clearly.

In addition, you may have inherited part of a mortgage along with a house or flat. Most inherited properties have fully paid off mortgages. But be sure to ask the mortgage lender about this so you don’t get caught in the lurch. If you do owe mortgage payments, explore the specifics of payments with your lender, as payment after death can vary.

Inheritance Tax

Whether you have to pay inheritance tax isn’t just a matter of the property’s value but the wider estate. Specifically, if the deceased has assets that add up to more than £325,000, then you will owe inheritance tax. Then the inheritance tax is owed within half a year of the person’s date of death. The main relevant outlier here is if the property belongs to someone in your immediate family, like a spouse, mother or father. In such a case, you may find your total owed tax is cut by there being a higher asset threshold.

Income tax

Income tax isn’t relevant to you if you want to live in the house you’ve inherited or if you decide to sell it. Instead, income tax is paid when you decide to become a landlord and allow tenants to live in the property for a fee. In such cases, you’ll also need to start an annual process of completing a self-assessment tax return. All of these costs add up, so do keep these details in mind if you’re struggling with the choice of selling or renting.

Capital Gains Tax

Finally, capital gains tax applies if you inherit a home that becomes more valuable after you first inherit it and before you opt to sell it on. The amount you owe in capital gains tax varies. It can drop depending on home repairs and improvements as well as costs incurred in the selling process. The best way to get a handle on all the many variables that determine capital gains tax is to use an online calculator like the one the HMRC provides for free. And of course, all of this is moot if you decide to just sell your property right away. Just let us know if you’d like our help with this.

What Is A Probate? 

A probate is what makes sure your inherited property is listed under your name. You will need this probate no matter what you intend to do with the home. Whether you plan to live there, have tenants, or sell the place. You can apply for probate as soon as you learn that you have an inherited property to claim.

What Happens When A Property Owner Dies?

Any property a person owns is part of their estate. Someone in their will is usually named as the person who should deal with that estate. If there isn’t a will then the closest person alive in their family will take on full responsibility for the property. It is this person’s job to apply for probate.

How Easy Is It To Sell A Probate Property? 

With a traditional estate agent, selling a probate property can be emotionally draining. Plus it can take a lot of time and money, as well as piles of paperwork. In contrast, selling to a property buying company can be done within just a couple of weeks.

What Is The Cost Of Selling A Probate Property? 

Selling a probate property is just like selling any home. The only difference is extra costs such as insurance, home valuations, and any tidying or repairs. These need to be conducted before the sale. Some costs, like insurance – can be excluded if you sell quickly to a cash property buyer.

What If The Probate Property Sale Price Differs From The Valuation?

If your inherited property sells for a significantly higher price than the tax return’s probate valuation, you’ll need to complete paperwork that justifies this. In many cases, all this requires is explaining how you have repaired and updated the property. In addition, with more than two independent valuations you’re unlikely to be asked for further tax.

Can An Inherited Property Be Sold Before The Probate Has Been Granted?

Yes – you can sell your property to a cash buyer like us. We will arrange a quick contract exchange to complete the sale. After this, you’re free to submit your request for a grant of probate on your own time. 

How Long Does It Take To Get The Grant Of Probate?

If you have time-sensitive circumstances like a court case, you can get probate organised in about 14 days. On the other hand, you’ll be waiting around a month and a half. And if it’s not urgent and you’re not eligible to pay any inheritance. In the event that you do owe inheritance tax, you’re looking at closer to 12 weeks.

What Documents Are Required For Probate?

There are a number of property documents you’ll need. This will include the deceased party’s will, their identification, a death certificate and National Insurance number. Plus, you’ll be asked for deeds for the home, and the latest figures related to the mortgage.

I Don’t Have A Copy Of The Will. How Can I Obtain One?

To get a copy of the relevant will, request one from the deceased person’s solicitor. If this fails, approach the Solicitors Regulation Authority. And if that doesn’t work, the chances are high that there is no will. Where there is no will, the person closest to the deceased typically gets their estate.

What Common Mistakes Are Made When Handling Probate?

If people make mistakes, it’s usually related to one of the following:

  • Incorrectly interpreting the deceased individual’s wishes in the will
  • Not logging all the incomings and outgoings associated with the estate
  • Making errors in trying to get ownership of the property
  • Ignoring or misestimating debts left by the deceased
  • Incorrect or incomplete probate forms.

Can You Provide A Property Valuation For Probate?

We can do so easily, and at no cost to you. What’s more, we can complete it in just 48 hours after first contact. If you’re looking to calculate inheritance tax, it’s always best to get at least three independent valuations on the property.

We Can Help If You Need This Inherited Property To Sell Quickly

If you have inherited property and you need to sell it as quickly and easily as possible, contact us today. We offer a lightning-fast, transparent process, and you’re under no obligation to accept our offer. You set the deadline, and you’ll soon have money to invest in whatever you need for your future.