Can a Successor In Interest Sell a House?
Can a successor in interest sell a house? Yes, but here’s what you need to know before you start. See expert insights from a top real estate attorney.
You’ve been confirmed as a “successor in interest” on an inherited home attached to a mortgage. But what does that mean? Can a successor in interest sell a house?
Balancing logistics, grief, and family emotions while trying to figure out your next move can be challenging, especially if the inherited property is out of state.
In this guide, we explore what it means to be a successor in interest, the rights typically granted to you, and whether selling the house is an option. We’ll also provide expert insights and tips on how to sell your inherited home.
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Editor’s note: This post is for educational purposes. If you need assistance determining your legal right to sell an inherited house, HomeLight encourages you to consult a professional advisor.
What is a successor in interest?
A successor in interest is a person who has acquired an ownership interest in a property from a previous owner. While a successor in interest may now own the property, they are not automatically responsible for the existing loan unless they specifically agree to assume the debt.
Examples of situations where someone might become a successor in interest:
- A child inheriting a house from a deceased parent with an outstanding mortgage.
- A spouse receiving a property in a divorce settlement or legal separation where a mortgage is still active.
- A living spouse or parent is transferring ownership of a home to a partner or child.
- A beneficiary of a living trust who receives a property with a mortgage upon the original owner’s passing.
- A co-owner of a mortgaged property has passed away.
“Unlike an executor, personal representative, or beneficiary, a successor in interest does not have to have any relationship with the prior owner,” explains Zachary D. Schorr, one of the top real estate attorneys in Los Angeles. “For example, if someone owns property and sells it to a stranger, then the stranger is still their successor in interest with respect to the property. They just follow in the chain of titles.”
Documentation is typically required to prove your ownership interest, but once you are confirmed as a successor in interest, the mortgage servicer must communicate with you to provide information about the loan and any potential options regarding the property.
