Steps to Selling an Inherited Property in Portsmouth
If you are selling an inherited property in Portsmouth, you may be balancing a shifting plate of emotions, time, and money. You’re likely eager to get a signed purchase contract and move forward as quickly as possible.
“It’s kind of like moving puzzle pieces around,” says Tamara Bahadar, a top Virginia real estate agent serving the Hampton Roads region. “Sometimes it takes longer than other times. I’ve had sales [of inherited homes] close in sixty days from start to finish, but sometimes it’s taken up to ninety days just to get all the heirs on the same page.”
In this post, Bahadar will provide real-world insights on how to sell an inherited house in Portsmouth. She’ll also suggest clear steps and share expert tips to help you decide which selling path is best for you.
Editor’s note: This post is for educational purposes. If you need assistance navigating the legalities or tax implications of selling an inherited home in Portsmouth, HomeLight encourages you to consult a professional advisor.
Here are the steps to selling an inherited property in Portsmouth, Virginia:
1. Confirm the status of the mortgage
As the new owner of an inherited house, experienced agents like Bahadar advise pausing before taking any action so you have a clear picture of what’s been placed in your position, both physically and financially.
“When the property is inherited, you have to get all the information in order, paperwork-wise,” Bahadar explains, adding that it’s essential to fully understand the status of the mortgage.
You need to know the outstanding balance, monthly payments and due dates, the loan interest rate, and other existing lender terms. You’ll also need to know if the inherited Portsmouth home has any other liens or judgments, such as unpaid taxes, a home equity loan or line of credit (HELOC), or a reverse mortgage.
“If there are things owed on the property, like back taxes or judgments, they’ll first need to be paid off, and then you can list the house for sale,” Bahadar says.
A title search is also essential to determine the status of the property. If there is any question about whether the title was properly conveyed to the heir(s), you will want to contact a qualified estate planning attorney. They will be able to assist with legal requirements and filing procedures in Virginia.
2. Anticipate your ownership timeline
Even if you know you’ll inherit the Portsmouth property, it may take some time before you legally own it outright. Your ownership timeline can vary depending on how you inherited the house, whether through a probate inheritance, living trust, or a transfer on death deed, sometimes called a beneficiary deed.
Bahadar explains that you’ll take ownership faster if you’ve inherited the property through a living trust or life estate deed because no court approval is typically required. The trust can make it easier to sell the home almost immediately or at a time that fits your schedule and objectives.
On the other hand, probate inheritance, the legal process of distributing a deceased person’s assets and debts to their beneficiaries, is more complicated. This judiciary maze can take anywhere from a few months to a year or more. The length of the probate process will depend on the complexity of the estate.
Bahadar cautions that you should not sign listing paperwork or market a property until you have court confirmation that you are the new rightful owner and have the legal right to list and sell the property. Listing prematurely can stall or cancel a potential sale.
