Inheriting a property usually comes at a difficult time, and often with a long list of practical jobs attached. You may live some distance away, not know what condition the house is in, and have to agree decisions with other family members. This guide covers the practical side of selling an inherited property in England and Wales.
First, check who owns the property now
How the property was owned makes a real difference. If the person who died owned it jointly as “joint tenants”, their share usually passes automatically to the surviving owner and doesn’t form part of the estate. If it was owned as “tenants in common”, or solely, their share passes under their will — or under the intestacy rules if there’s no will.
Where the property is part of the estate, it’s the executors (named in the will) or administrators (if there’s no will) who have the authority to sell it — not the beneficiaries directly.
Probate comes first
In most cases the executors will need a grant of probate, or the administrators a grant of letters of administration, before the sale can complete. You can value the property, get it on the market and even agree a sale beforehand, but contracts generally can’t be exchanged and completed until the grant is issued. We cover this in more detail in selling during probate.
Looking after the property in the meantime
Until it’s sold, the property is the executors’ responsibility. The main things to deal with early are:
- Insurance — tell the insurer the owner has died and the property may be empty. Many policies limit cover once a home has been unoccupied for a set period.
- Security — make sure it’s locked, keys are accounted for, and someone checks it regularly.
- Utilities — take meter readings, and consider keeping heating on low or draining down the water system in winter.
- Council tax — tell the council. Properties left empty after the owner has died are often exempt for a period while probate is sorted out, but check what applies.
- Post — arrange redirection so bills and important letters aren’t missed.
Deciding what to do with it
Beneficiaries may want different things: one may want to keep the house, another may need their share quickly. It helps to agree early whether the property will be sold, rented out, or transferred to one of the beneficiaries. Executors have a duty to act in the best interests of the estate, which normally means getting a fair price — many executors get more than one valuation so they can show how they reached their decision.
What about everything inside?
Clearing a lifetime’s belongings can be one of the hardest parts. Before anything is removed, look for documents (wills, deeds, bank and pension details) and items with sentimental or financial value, and agree with the other beneficiaries how they’ll be shared. After that, you have choices: clear it yourselves, use a house clearance company, or — with some buyers — leave the remaining contents behind.
Ways to sell
- Through an estate agent — usually the best route to the highest price if the property is in reasonable condition and there’s no pressure on time.
- At auction — can be quick and certain once the hammer falls, but fees and reserve prices need careful thought.
- To a direct buyer — generally a lower price, but no need to repair, clear or manage viewings, and no chain. Worth considering if the property needs a lot of work or you can’t easily manage it from a distance.
Tax after the sale
If the property has gone up in value between the date of death and the date of sale, Capital Gains Tax may be due on the increase. Gains on UK residential property generally have to be reported and any tax paid within 60 days of completion. An accountant can tell you whether this applies and who should report it — the estate or the beneficiaries.
Getting help
Estates vary a great deal. If there’s no will, the beneficiaries disagree, the estate may owe Inheritance Tax, or the property is owned in an unusual way, a solicitor experienced in probate is worth the cost. If you’d like to talk through what selling the property directly would look like, you can tell us about the property or read more about how we buy inherited properties.