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I Inherited a House — What Do I Do First?

The first steps after inheriting a house are to confirm whether it must go through probate, find out who has legal authority to act, and secure the property — insurance, utilities, and protection against vacancy — before making any decision to keep, rent, or sell. Rushing to "just sell it" is the most common and costly mistake. This checklist walks you through what to settle first and hands you a prioritized list for your exact situation.

Tell us about your situation

Legal & authority

Probate status

Who has authority to sell?

Attorney involved in the estate?

Heir alignment

Property condition & risk

Homeowner's insurance

Is the property occupied or vacant?

Utilities

Cleanout / contents removal needed?

Known repairs needed?

Financial & market

Mortgage status

Independent value opinion obtained?

Cash offers already received?

Your first steps

Answer the status questions on the left to get a prioritized action list for your exact situation.

The universal five — regardless of situation

  1. Confirm or obtain insurance on the property
  2. Secure the property against vacancy risk
  3. Establish who has legal authority to act
  4. Confirm probate status with an attorney
  5. Get an independent value before talking to any buyer

Worked Example

A vacant, lapsed-insurance property with a cash offer already on the table

A homeowner inherits a property from a parent. Probate not started. Vacant since last fall. Insurance lapsed. A wholesaler left a cash offer the week of death. Here's how the checklist prioritizes.

QuestionStatusPriority assigned
Insurance Lapsed TOP Get insurance today
Vacancy Vacant TOP Secure the property
Probate Not started HIGH Confirm if probate required
Value opinion No CAUTION Get value before responding
Cash offer received Yes FLAG Don't sign — no authority yet, no value yet
Result 5-step plan generated, offer deferred pending probate + value
What happened: The heirs secured insurance the next day (cost: $1,200/yr), opened probate with an attorney, and obtained a market value opinion showing the property was worth $85,000 more than the wholesaler's offer. They sold listed four months later — after probate cleared — for $47,000 net above the original cash offer. The week of delay cost them nothing. Signing the offer would have cost them nearly half the value.

Illustrative example for educational purposes. Not legal or tax advice. Individual results vary.

Why order matters as much as action

Inheriting a property creates an unusual kind of pressure: emotional weight plus financial urgency plus legal deadlines you may not even know exist. The typical result is one of two mistakes — paralysis (nothing gets decided for months while the property deteriorates) or rush (accepting the first offer from the first buyer who appears during a difficult week).

The five steps above exist to prevent both. Insurance and property security come first not because they're most financially significant, but because they're time-sensitive in a way that legal steps aren't — a pipe that bursts in a vacant house does damage that probate can't undo. Legal authority comes next because almost everything else — selling, refinancing, renting — requires it.

Value before any offer. The most expensive mistake in inherited-property sales is pricing off a cash buyer's offer. Buyers who approach heirs during bereavement count on the heir not knowing the market value. A $180,000 cash offer feels generous until a market opinion shows the property would list at $260,000. The checklist flags this combination — offer received + no value opinion — because it's where the most money is routinely left behind.

Heir alignment before any contract. A signed purchase contract where one co-heir refuses to execute the deed leaves the estate in breach of contract. Getting all heirs on the same factual footing — with the same numbers, the same timeline, and the same exit options — is the work that makes every subsequent step faster and cheaper.

Common questions

Do I need to go through probate before selling?

Usually yes — if the property was solely in the decedent's name and there's no transfer-on-death deed, living trust, or joint tenancy with right of survivorship, the estate typically must go through probate before title can legally transfer to a buyer. The exception is property that passes automatically by operation of law. A probate attorney can tell you which applies in your situation, usually within one conversation.

Who can sell an inherited house?

The person with legal authority depends on how the estate is structured. If there's a will, the executor (personal representative) has authority once the probate court opens the estate. If there's no will, the administrator appointed by the court has authority. If the property passed by joint tenancy or beneficiary deed, the surviving owner or beneficiary has direct authority. If multiple heirs inherited equal shares, all must typically agree to and sign any sale contract.

What if the heirs disagree about selling?

A disagreeing co-heir can block a sale by refusing to sign the deed. The practical first step is ensuring all heirs have the same factual information — current market value, carrying costs, and net proceeds from each exit path. Most disagreements dissolve when all parties see the same numbers. If genuine deadlock continues, a court can order a partition sale, but that process is slow and reduces net proceeds for everyone. Getting aligned early is always cheaper than litigation.

Is there a step-up in basis for an inherited house?

Generally yes — inherited property typically receives a step-up in cost basis to fair market value at the date of death. This means capital gains on a prompt sale are calculated from the date-of-death value, not the original purchase price, which can significantly reduce tax exposure. The rules are complex and vary by titling and estate structure. Consult a CPA before making any sale decision where tax treatment matters.

What should I do first with a vacant inherited house?

Vacancy is your most urgent physical risk. Within the first week: (1) confirm or obtain homeowner's insurance — many standard policies lapse or exclude vacant properties after 30–60 days; (2) secure all entry points; (3) shut off water to prevent pipe damage; (4) maintain basic utilities if weather or security require it; (5) arrange periodic walk-throughs. Municipal fines and insurance citations for unkempt vacant properties can add costs before you've made any decision.

Get your inherited-house options mapped in writing

A free Home Transition Review gives you a written comparison of every path — keep, rent, sell as-is, repair and list, or cash sale — with your actual numbers, no commitment required.

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