Firstly, we are sorry for your loss. We understand how challenging of a time this is for many reasons, and dealing with property ownership is tough at the best of times.
You’re thinking, “I inherited a house, what do I do with this house?” or ‘do I sell my inherited house in Kitchener?”
There are a ton of options that are open for you, and we can help you with finding a solution to your ‘sell my inherited house in Kitchener’ dilemma.
We are seasoned investors in Kitchener real estate, and we are always on the lookout for properties available in the Kitchener, Ontario area. Often times we receive calls from individuals who have inherited a house and are looking to sell. In this article, we have compiled a few tips that will help make the decision easy for you.
I Want To Sell My Inherited House In Kitchener: What Is My Next Step?
Here are a few important considerations to help you make the right decision when it comes to choosing whether to rent or sell in Kitchener:
1) Make Sure The Mortgage Is Paid
This may sound obvious, but if the person who left you a property also had a mortgage (unless it had no mortgage and was paid off, which is great!), you have to pay it (assuming you want to keep the property). Some banks will allow you to assume the loan, while others may force you to refinance into a new loan. If you don’t qualify for a new loan, renting may not be an option for you.
2) The Investment Is Only As Good As The Manager
If dealing with brokers, maintenance, tenants, rent collection, and all the nuances of property management isn’t the best use of your time, hire a professional to help you or cash out now. Some people who inherit homes decide to keep the house and rent it for extra income. That’s a great strategy for sure. You just need to be prepared to manage the property and the hassles that can go along with tenants and toilets!
3) Property Ownership Costs Money
It’s rare to see a building that’s been perfectly maintained. Most inherited houses need major improvements.
Consider hiring a professional property inspector to give you a detailed rundown on what you’ll need to do within the next five years, along with estimated costs. Surprises are very, 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, there is no need to worry. Here at Ontario Property Buyers, we buy Kitchener houses for cash in as-is condition.
5) If The Market Grows faster Than Other Options, Hang On To The Investment
We can help you analyze the value of your property today versus the long-term benefits of renting. If you can use the equity in your property in another way that outpaces the performance of the real estate market, you should. If you don’t have anything better to do with the money and the neighborhood is rising in value, hang on – real estate can be a great investment if you know how to correctly read the market.
6) Uncle Sam Wants A Piece Of The Action!
Don’t forget to discuss your inheritance with tax and legal professionals before you take action. There are major property and income tax consequences that will dramatically impact the cost of owning your investment.
7) Consider All Options
In certain situations we may be able to help you structure a lease-option agreement that allows you to rent and sell at the same time – capturing the best of both worlds. These kinds of deals can be complicated, but our Kitchener investment experience can help you win.
8) Compare A Few Scenarios
We’ll help you determine prices for any property near Kitchener- if you sold it today without doing any work, the highest price the market will bear, and the projected value of keeping it as a rental (along with the costs).
We hope that these tips prove to be helpful for you and that you are not distressed when thinking that ‘I need to sell my inherited house in Kitchener‘.