Inheriting real estate property is a common situation that many individuals find themselves in. When family members or close friends pass away, they often leave behind properties to their loved ones. As the recipient, you might suddenly find yourself responsible for property maintenance, potential landlord duties, property taxes, and homeowner’s or property owner’s association fees. So, what are your options?
Consider Probate Procedures
Typically, inherited properties need to go through a probate process based on the current title status. Familiarize yourself with the local and provincial laws governing inherited properties. You might have to initiate an additional probate process in the area where the property is situated, especially if it differs from your current location, to secure complete legal rights. For personalized guidance on potential probate proceedings for your unwanted inherited property in Edmonton, AB, reach out to YEG Home Buyers at (780) 619-0629.
Explore Rental Opportunities
If you inherit a residential property, whether single-family or multi-family, and you choose not to occupy it, renting it out could be a lucrative option. Making minor repairs or enhancements to enhance its market appeal might be necessary, but in the long run, it can prove to be a beneficial investment without the initial purchase cost. If your inherited property already has tenants, it simplifies the process further by eliminating the need to renovate or search for renters.
For commercial properties, renting them out could also be a profitable venture, especially in Edmonton where businesses are actively seeking prime locations with high visibility. These properties often yield substantial returns for property owners.
However, being a landlord entails various responsibilities, including maintenance, repairs, taxes, association fees, and tenant management.
Consider Selling the Property
If retaining the property is not an appealing option, selling it could be the best course of action. Contact YEG Home Buyers at (780) 619-0629 to evaluate the property’s market worth and discuss potential selling strategies. Prior to engaging with real estate buyers or agents, research the selling prices of similar properties to set realistic expectations. Cash buyers offering quick transactions may present slightly lower offers, but the savings on fees and commissions are substantial in the long term, often covering the closing costs as well.
Explore Donation Alternatives
In cases where you neither wish to keep nor sell the property, donating it could be a generous option. Consider gifting the property to a charity, municipality, family member, friend, or child. It may be necessary to undergo local probate proceedings to transfer full ownership for donation purposes.
In summary, inheriting real estate property can be a challenging situation, with the recipient facing responsibility for maintenance, landlord duties, taxes, and association fees. Options include probate procedures, exploring rental opportunities, selling the property, or considering donation. Probate procedures may require familiarity with local and state laws, and additional probate processes may be necessary in the area. Renting out residential or commercial properties can be a profitable venture, but landlords may face maintenance, repairs, taxes, and tenant management. Selling the property may be the best course of action, with cash buyers offering lower offers but substantial savings on fees and commissions. Donating the property to a charity, municipality, family member, friend, or child may be a generous option, but may require local probate proceedings.