So you inherited a property, now what? Even if the estate is not a legally binding will or trust, you may have to go through the process of verifying the title of any inherited property through probate. Succession is the process of gathering all of the deceased’s assets and distributing them accordingly among the heirs and creditors. When you’re involved in probate real estate matters, it’s best to hire a professional because things can get complicated.
In most cases, the probate process has four steps:
- File a petition with the court and give notice to any other beneficiary
- Notify all known creditors of the estate once the trial date has been set and make an inventory of the assets
- After the probate hearing, where the property distribution has been determined, pay all inheritance and funeral expenses plus all debts and taxes
- The heirs obtain legal control of the property or properties
The Inherited Property
If you inherited a property that ends in probate, do not assume that it will be a simple or short process. Here are some of the things to keep in mind if you are in the middle of a probate trial or before deciding to file your probate application. When an inherited property ends up in probate, you may have to wait a long time – and pay unforeseen costs before you can claim it as your own. The state you live in, the value of the inheritance, and the timing of the application affect the bottom line.
The state where the estate takes place can have a huge impact on the length of the process – from weeks to years – of inheritance distribution, as well as costs.
Possible inheritance expenses:
- Court Costs
- Warranty Costs
- Attorney Fees
- Legal Representation Costs
- Accounting Costs
The Need for Appraisals
In a succession, illiquid assets must be appraised to determine their value. Real estate, such as:
- Commercial properties
Personal property, such as:
The average cost of a home appraisal is between $300 and $400.
National average: $ 326
- High: $450
- Low: $225
The Cost of Going to Trial
Many states require the hiring of a probate attorney, who may charge by the hour, a flat fee, or a percentage of the gross property value, which may not include court fees. In the case of very large estates, this could cost tens or even hundreds of thousands of dollars. Court costs can range from $215 to $3,000.
Inheriting a property can be complicated, but going through the probate process doesn’t have to be. Don’t let legal problems and high costs end up with your inheritance. Learn more about Probate Real Estate Denver CO by contacting the right professionals.