It is common for many people to receive property as inheritance. However, it must be borne in mind that once the family member dies, the property is not immediately transferred to the heirs, but it is necessary to carry out a series of preliminary procedures before the figure of a notary. Here the question arises, how to sell an inherited house?
The procedures can be somewhat cumbersome, which is why many
heirs choose to reject the legacy. But, if in your case you decided to accept
it and take charge, it is crucial that you know about the existence of some
payments that must be made such as inheritance tax or municipal capital gain,
this as a way to avoid future economic and legal scares. If what you have in
mind is to sell an inherited house, we give you some tips so that nothing is
Requirements to sell
an inherited house
Taking charge of an inherited home has its tricks, but do
not worry that next we will give you some lights to understand all the aspects
that come into play in this scenario.
Before thinking about selling an inherited house, it is
necessary that you are its legal owner in the eyes of the Property Registry, a
procedure that can be done depending on the nature of the inheritance, for
example, it could be a inheritance with a will, an agreement in the
distribution of assets between the number of heirs or some legal procedure when
there is a disagreement between the beneficiaries. Regardless of the case, you
must present the death certificate and the last will certificate of the
deceased, to know if there is a will and where you can locate it.
Taxes before selling
a house in inheritance
It is time to cancel some taxes. First, there is the
Inheritance Tax whose value may vary depending on the autonomous community. In
this sense, each heir has the responsibility to pay his in a recommended period
of six months, if he cannot do so at that time, it may be extended, provided
that a previous request is made.
Secondly, there is the payment of the Capital Gains Tax or
Tax on the Increase in the Value of Urban Nature Land, which is paid on the
increase in the cadastral value of the land. The calculation of this increase
is made by comparing how much the price has increased from the first purchase
to the moment in which the transmission is carried out by inheritance.
In the same way it is important that the inherited house be
reflected in the declaration of income as imputed income, in case you plan to
keep the property owned. In the event that you have decided to sell it, in your
personal income tax, you must only declare the profit you have obtained in the
sale. In this way, you are not obliged to declare anything regarding
inheritance, since this transfer does not pay in the IRPF, but does so in the
With regard to taxes you must be very attentive, since there
are decisive details that sometimes are often ignored or go under the table.
Taxes on the sale of an inherited home must be paid in the territory where the
deceased had the habitual residence, regardless of the location of the
property. This is an important aspect because depending on the autonomous
community where they are settled, taxes can be up to a thousand times higher in
one place than in another.
Anyway, you must be clear that before making the payment of
any of these taxes, it is necessary to make an appraisal of the house. This
step can be activated before the Ministry of Economy and Finance of the
corresponding autonomous community so that this administration is responsible
for deciding the value of the property left in inheritance by the deceased.
After this you must contact an appointment with the notary
to, when the time comes, be able to sign the deed of adjudication of the
inheritance. At this point it is very important that you have at hand the deeds
of the house so that you can be credited as the new owner of the same, then you
can make the change of ownership of the property.
If you want the statement to be more favorable we recommend
you follow some legal “tricks”. For example, the sale price can be
subtracted from all the expenses derived from the operation that you can
justify before the Treasury. To the acquisition price you can add all the
expenses derived from the operation that you can justify, for example, the
taxes that you have had to cancel.
We recommend you read our post about expenses when selling a
house. Also, tell you that if you are looking to sell your home in the fastest
and easiest way, even with an inheritance, here is a solution. We are not a
real estate agency, we work differently and we explain how the process to sell
your house with us works.
Is there a stipulated
time to sell an inherited house?
From the legal point of view there is no time limit to be
able to sell an inherited house, since once you become the owner you will have
the right to sell it when you require it, however, there is something that does
influence and is the profitability that you can get to the property during the
time between the inheritance and the sale of the home.
There are ways to avoid tax surcharges, for example, by
canceling the taxes of the sale of the inherited house within a maximum period
of six months after the death of the original owner.
Also, from the perspective of the municipal capital gain, it
happens that, when selling an inherited house a year after registering the home
in the name of the heir, the payment of this tax will have to be made again.
For this reason, many experts in the real estate area
recommend that, if the goal is to sell the inherited property, the operation is
carried out within a year after the award and registration of the same, this as
an alternative to avoid assuming a payment additional not within the personal budget.
Keep in mind that the faster you take care of fixing each of the procedures to sell your house, you will have a green light to sell it. Don’t let the process, which we understand is usually overwhelming in some cases; prevent you from selling an inherited house. If what you want is to sell it as soon as possible and without going through this process, call or write us without obligation. We offer you a serious and fast offer.
Find more here: We Buy Jersey Shore Houses LLC