Experiencing the loss of a cherished family member or dear friend is a difficult time, further complicated by the sudden responsibility of managing an inheritance. This can be overwhelming, making it crucial to have a clear plan in place. To assist you during this period, we have highlighted five essential steps to take right after inheriting a house in Lehigh Valley, PA.
At iBuyLehigh, we are a local home-buying company serving Allentown, Bethlehem, Easton, and the surrounding Lehigh Valley area, and we’re here to help you navigate this challenging time. Here are five essential steps to take when you inherit a home in Lehigh Valley, PA.
1. Open Communication with Co-Heirs
When there are multiple heirs involved, the first thing you’ll need to do is establish clear lines of communication. Even with the convenience of virtual meetings, it’s common for heirs to have differing opinions on what should happen with the property. These conversations can become emotionally charged, so it’s crucial to focus on the facts. If tensions rise, it may be helpful to bring in a mediator to assist in the negotiations. Be aware that any heir has the right to force the sale of the property through legal means, though this usually results in a sale at a lower price—typically around two-thirds of the fair market value.
2. Navigate the Probate Process
If your loved one didn’t set up a living trust, you’ll need to go through probate to handle the transfer of assets, including the house. Probate is a legal process for settling the estate in court, and the first step is to appoint an executor or personal representative. The executor will be responsible for gathering and accounting for all the estate’s assets, communicating with beneficiaries, paying off debts and taxes, and distributing what remains. Probate can also help resolve any disputes between heirs, ensuring a fair and orderly process.
3. Understanding the Role of Executor
If you’ve been named the executor of an estate, it’s essential to fully understand the weight of the responsibility you’ve taken on. As executor, you’ll be the primary point of contact for all matters related to the estate, meaning you’ll need to manage communications with heirs, coordinate the distribution of assets, and oversee the legal and financial aspects of settling the estate. This role often involves working closely with professionals like attorneys, accountants, and appraisers to ensure everything is handled in compliance with the law.
One of your primary duties is to act as a neutral party, prioritizing the best interests of the estate and its beneficiaries. It’s important to remain impartial and avoid any actions that could be perceived as benefiting yourself at the expense of other heirs. Even if you’re one of the beneficiaries, your role as executor requires you to uphold the wishes of the deceased, as outlined in their will or trust, without letting personal interests influence your decisions.
Additionally, you’ll need to maintain detailed records of all transactions and communications related to the estate. This includes keeping track of any payments made to creditors, distributing assets to beneficiaries, and filing necessary paperwork with the probate court. Mismanagement, whether intentional or accidental, can lead to legal consequences or disputes with heirs, so it’s vital to follow all laws and processes to the letter.
4. Assess the Financials
Inheriting a home comes with financial responsibilities that you need to address right away. This includes making mortgage and insurance payments and evaluating any debts tied to the property, such as repairs, liens, or unpaid taxes. You’ll also need to consider tax implications like capital gains taxes, which are based on the difference between the home’s original purchase price and its current fair market value. Additionally, older homes may require costly repairs, and if you’re managing the property from a distance, you might need to hire a caretaker or property management service.
5. Decide: Hold or Sell?
If you’re not interested in keeping the property, iBuyLehigh can help. We specialize in buying inherited houses quickly and hassle-free. We understand that dealing with an inherited property can feel overwhelming, and we’re here to make the process as easy as possible. We offer fair cash offers and fast closings—often in just a few days—so you can move on with your life without the burden of maintaining or selling the house through traditional methods.
At iBuyLehigh, we pride ourselves on transparency. We’ll explain how we arrive at our offer and ensure you feel comfortable with the terms. Our contracts are straightforward, with no hidden fees or commissions, and we’ll even handle any belongings you don’t want to keep. Just leave the rest to us.
If you have any questions or concerns about your inherited property, feel free to reach out to iBuyLehigh. We’re happy to provide guidance with no obligation. You will find dedicated experts willing to share their experience and help you along the way at iBuyLehigh. Just give iBuyLehigh a call at (484) 549-0019 or send us a message to learn how to solve your inheritance problems.