It’s not uncommon to have unrealistic expectations of the value of the home due to sentimentality clouding everyone’s judgment, and grief putting everyone on an emotional rollercoaster.
Let the market dictate the list price of your parents’ home, rather than personal opinion. Listen to your realtor, they are professional and unbiased.
Get a CMA to take the emotion out of pricing
When you’re ready to list the house for sale, your agent will pull together a comparative market analysis (CMA) which notes the fair market value of the house based on the prices of recently sold homes (comps).
However, the comps aren’t the only numbers that matter when you’re selling an inherited property.
Weigh your tax liability
Setting the list price for an inherited house is tricky, as you need to consider the tax implications of any proceeds from the sale.
You may make more money in the long run if you sell at or just under the comps, if that helps you avoid paying capital gains tax.
Selling for a little less may also save you money, too—if it helps the house sell sooner rather than later, then you’ll be able to stop paying for the monthly items…they can add up quickly!
Remember, time is money
You’ll be shelling out money to cover the bills for the house every month you continue to own the home. The sooner you sell it the less you pay in operating costs. And you don’t want buyers to view a dark, unlit home because you forgot to pay the power company.
The clock is working against you so the faster you make decisions and the more realistic you can be about price and preparations, the better off you and your family will be during this stressful time.
While selling your deceased parents’ home is always a difficult step emotionally, you can simplify the process by following these steps with the help of experienced professionals.