What to Know About Property Inheritance (And How to Handle It)

Inheriting a home can be both a blessing and a burden. While it’s a valuable asset, it often comes during a difficult time—after the loss of a loved one. And once the emotions settle, many families are left wondering:
“What do we do with this property now?”

At MG Property Bros, we’ve helped dozens of families handle inherited homes with care, clarity, and compassion. Whether you want to keep it, rent it, or sell it, this guide will walk you through what to expect and how to make the best decision for your situation.

Step 1: Confirm Legal Ownership

Before you can make decisions about the property, you’ll need to establish who legally owns it. If there was a will, the home may need to go through probate, which is a legal process for distributing the estate.

If There Was a Will:

• The named executor must be approved by the probate court
• The home is distributed according to the will

If There Was No Will:

• The property is distributed by state law
• A court-appointed administrator oversees the estate

If the title isn’t transferred yet, you likely can’t sell the house until probate is completed or court approval is granted. Consider hiring a probate attorney to help navigate the process.

Step 2: Evaluate the Property’s Condition

Take time to assess the house and what it might need:

• Are there any urgent repairs (roof, plumbing, electrical)?
• Is the home clean or full of belongings?
• Is it vacant or occupied?
• Are there any liens, taxes, or mortgage balances?

This will help you decide whether to keep, rent, or sell the home—and what the financial implications might be.

Step 3: Understand the Tax Implications

Step-Up in Basis

When you inherit a home, the IRS gives you a “step-up” in basis, which means you’re only taxed on the difference between the value at time of inheritance and the sale price, not the original purchase price.

Other Tax Considerations:

• Capital gains taxes (if the home has appreciated since inheritance)
• Estate taxes (usually only for very high-value estates)
• Property taxes, especially if exemptions change after the transfer

It’s smart to speak with a tax professional before you sell, especially if multiple heirs are involved.

Step 4: Decide What to Do With the Property

You have three main options:

Option 1: Keep the Property

This makes sense if you want to live in the home or pass it on to other family members. You’ll need to cover maintenance, taxes, and any mortgage balance.

Option 2: Rent It Out

If you want to generate income, renting may be an option—but it comes with landlord responsibilities and possible repairs to make it “tenant-ready.”

Option 3: Sell the Property

Many heirs choose to sell the inherited home to avoid the hassle of managing or maintaining it—especially if they live out of state or the house needs repairs.

Why Many Families Choose to Sell As-Is

At MG Property Bros, we specialize in buying inherited homes:

No repairs or clean-up required

No showings, agents, or fees

Close on your timeline

Cash offers—even if the home is in probate, full of belongings, or outdated

We help coordinate with attorneys and title companies

If you just want to move on peacefully, we make it simple.

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Let’s Take the Next Step Together

Inheriting property doesn’t have to be complicated. Whether you're the sole heir or working with siblings, MG Property Bros is here to guide you through it—with respect, clarity, and options.

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