You might find yourself thinking, “I inherited a house, what to do with this house?” Should you rent it out? Would selling it quickly be a better option?
Tons of options open for you, but…
… we can help.
We’re experienced investors in Lancaster PA real estate and we’re looking to buy multiple houses in Lancaster Pennsylvania each and every month. We often get calls from people who have inherited a house and are looking to sell the house… so we’ve compiled the list to hopefully help you through the process.
So I inherited a house…..what next?
Here’s a few important considerations to help you make the right decision:
1) Make sure that if the house still has a mortgage, that it’s paid and up to date
Sometimes inherited houses are owned “Free and Clear” which means that there is no mortgage on the property. If that’s the situation for you, that’s ideal. This means that you don’t need to deal with the bank to keep the payments on the house current or to transfer the mortgage to a different name (if the loan isn’t assumable).
If there is still a mortgage on the home, you need to make sure that it stays current at least through the probate process. If you plan to keep the house you may need to take out a new loan on the property. If you’re planning to live there, it can be a great option depending on your current living situation. However, if you’re planning to rent the property out, that comes with its own set of challenges which we’ll get to later.
2) Decide if you’re ready to be a landlord
Managing a rental property can be time consuming. From screening tenants to collecting rent to unexpected late night maintenance issues, it’s easy to have an investment turn into a nightmare in no time. Be sure that you’re ready to take on these responsibilities or are prepared to screen and hire a good property manager to take care of them for you.
Also, keep in mind that the property is going to need to be maintained. This can cost a lot of money, especially if the house isn’t in the best condition already. We often see people inherit a home that needs a lot of work before it can even be rented, not to mention the upkeep of the property once it has renters. If you’re going to go this route, make sure you have reserve funds to handle these ongoing maintenance issues.
3) Selling the home to a retail buyer
Many people choose to list the house they inherited with a real estate agent. This can be a great option if the house is in great shape already. However, if the house needs work, many retail buyers will not even consider buying the property or will want a majority of the work done as part of their offer.
4) Selling the house to We Buy Lancaster Houses
If you don’t want to be a landlord or update and make repairs to the property for a retail sale, there’s another option available. We Buy Lancaster Houses will purchase your property in as-is condition and for cash. No repairs and no headaches. We close on the date of your choice and there aren’t even any fees to pay. We’re even willing to buy the house full of stuff! If it makes your life easier, we’re here to help. Give us a call today at 717-715-0010 to find out more.
5) Remember the taxes
Inheritance tax can be a big consideration when deciding what to do with an inherited property. You should discuss this with your legal and tax professionals. Often you will still be responsible for taxes even if you’re keeping the house as a rental, so you want to make sure that you’re prepared.
7) Figure out what’s the best fit
At We Buy Lancaster Houses, we’re here to help you evaluate your options. While we’re in the business of buying houses as-is for cash, if we think you’d be better of listing your house or keeping it as a rental, we’ll tell you so! Our goal is to help the community deal with unexpected or problematic real estate ownership. We’re often a great fit for people selling an inherited house, but sometimes there are better options. Either way, you have nothing to lose by filling out our short contact form or by giving us a call at (717) 715-0010. We look forward to speaking with you soon!