If you want to sell an inherited house, you should check beforehand whether you should accept the inheritance at all. In addition to assets, an inheritance can also contain debts and liabilities that often encumber an inherited property (mortgages, loans, outstanding claims from artisans, or the tax office).
Also, a property can be in poor condition and would require extensive renovation or redevelopment work to be carried out before an inherited property can be sold.
However, the house offers to sell most cases a decent return. In this article by quadwalls, we want to discuss important points to consider when selling an inherited property.
How Much Is The Inheritance Tax?
In principle, the inheritance tax depends on the degree of relationship to the testator. Spouses and children have the highest allowances, but other relatives only marginal ones. Spouses can claim an allowance of 500.00 euros, children at least 400,000 euros each. That is why, in many cases, there are no inheritance taxes if you want to sell an inherited house, for example. Only values going beyond that are subject to inheritance tax. When evaluating a property, the tax office assumes the current market value of the family home.
You can have an appraisal drawn up yourself, or the tax office determines the value itself. If a brown house is rented, the tax office deducts 10% of the market value. The determining market value is also a good orientation for a possible sales price.
What To Consider Before Selling
If the legal position regarding the inheritance is clear, one must first apply for the inheritance certificate if one wants to sell an inherited house. You identify yourself as the heir and legal owner of a property and can inspect the land register. However, a notarized will may be sufficient for the land registry if the succession is clear. Only then can you sell an inherited property. In the hereditary house, the excerpt from the land register is then “corrected,” and the heir is entered as the new owner of the property.
The change is free of charge if it is made within two years of the testator’s death. If co-heirs are involved in the property, there must be agreement on the decision that one wants to sell the inherited house, and the sale must then also be carried out jointly. A speculation tax may also have to be taken into account. If you want to sell an inherited property, this will be due within ten years of the testator’s acquisition. However, it is automatically canceled as soon as the testator has owned the property for more than ten years in the event of inheritance.