Initially, please accept our condolences for your loss. We understand that this can be an incredibly difficult period for various reasons, and managing property ownership can be demanding even under normal circumstances.
You might be contemplating, “I’ve come into ownership of a house, what are my options?” Should I consider renting it out? Or is selling a better choice? And if I choose to sell, what’s the best approach?
Tons of options open for you, but…
… we can help.
As experienced real estate investors specializing in Belton, we are actively seeking to acquire multiple properties every month within the Belton, Texas region. We consistently receive inquiries from individuals who have inherited properties and wish to divest them. As a result, the following information presents valuable insights to assist you in successfully managing this process.
I Inherited A House, What To Do Next?
Here’s a few important considerations to help you make the right decision:
1) Make sure the mortgage is paid.
While this might appear straightforward, it’s worth noting that if the individual who left you the property had a mortgage (unless the property was mortgage-free, which is beneficial), you’ll need to address this financial aspect if you intend to retain ownership. Certain banks might permit you to take over the existing loan, while others could force refinancing into a new arrangement. If you’re ineligible for a new loan, the option of renting out the property might not be viable for you.
2) The investment is only as good as the manager.
If handling brokers, upkeep, tenants, rent handling, and the intricacies of property administration isn’t the most efficient way to spend your time, it’s advisable to engage a specialist or consider selling the property. Certain individuals who inherit homes opt to retain ownership and lease them out for added revenue. Undoubtedly, this is a solid approach. However, it’s crucial to be ready to oversee the property and the potential challenges tied to tenants and property maintenance.
3) Property ownership costs money.
It’s rare to see a building that’s been perfectly maintained. Most inherited houses need major improvements.
Consider the idea of enlisting a skilled property inspector to provide you with a comprehensive assessment of tasks to address over the next five years, complete with projected expenses. Unexpected surprises can be very expensive.
4) Selling a property for top dollar costs money.
If you don’t want to deal with making repairs, updating kitchens, improving landscaping and overall cleanup, don’t worry. We buy Central houses for cash, as-is.
5) If the market will continue to grow faster than your other options, hang on to the investment.
We’re here to assist you in evaluating your property’s present value compared to the enduring advantages of renting. If there’s a potential to utilize the equity in your property more profitably than the real estate market’s performance, it’s advisable to consider it. Conversely, if there are no superior alternatives for utilizing the funds and the neighborhood’s value is appreciating, holding onto the property can be a wise choice. Real estate can be a lucrative investment when you possess the aptitude to accurately interpret market trends.
6) Uncle Sam wants a piece of the action.
Prior to making any decisions, make sure to consult with tax and legal experts about your inherited property. There are significant implications for property and income taxes that can significantly influence the expenses tied to property ownership.
7) Consider all your options.
Under specific circumstances, we could potentially assist you in creating a lease-option arrangement that enables simultaneous renting and selling, offering the advantages of both scenarios. While such transactions can be intricate, our extensive investment expertise can contribute to your success in navigating these complexities.
8) Compare a few scenarios.
We’ll aid you in establishing property values for any location near Belton. This includes the potential selling price in the current market without making any improvements, as well as the anticipated value if you decide to retain it as a rental (alongside associated expenses).