The Initial Costs of Inheriting a Property

Mortgages & loans Often when a property is inherited, mortgages and loans will have already been paid off during a lifetime of ownership. However, this isn’t always the case. Occasionally a property will have been left with a mortgage…

The Probate Process

Inheriting property from an estate is governed by a legal process. If there is a valid will describing the deceased person’s wishes, this may allow skipping much of the legal actions. If there is no will, the estate will be distributed…

Minimizing Capital Gains Tax

After an owner’s passing, the home must be appraised and the cost basis for the house becomes the value assigned by the appraiser. This is known as the stepped-up basis. You can avoid capital gains taxes on inherited property…

SECURE Act and Your Retirement

The SECURE Act (Setting Every Community Up for Retirement Enhancement Act of 2019), aimed at improving people’s retirement security, was signed into law at the end of 2019. Some key changes of the SECURE Act (http://bit.ly/2HwrLfV) affect Individual Retirement…

Inherited Homes and the Home Sale Tax Exclusion

I had a client ask whether someone who inherits a home qualifies for the $250,000/$500,000 home sale tax exclusion.  The short answer is no.  But the good news is you do not need to qualify.  When you inherit a…

How much Should you Spend on Home Maintenance?

June 30, 2016 by Michelle J. Lane, Realtor® As a Realtor who specializes in homes that are part of an estate, I have seen a great deal of deferred maintenance in my time. The two main reasons are: these…

Condition and Home Value

I just finished reading an article about improvements that do not impact home value – and could not agree more.  Why?  Because most of these “improvements” fall under the category of maintenance – painting the house, new roof, new…

Home Equity is Your Best Investment

  Like most Americans, it’s home equity, not stock equity, that will pad my bank account when I hit the retirement finish line.  About two-thirds of Americans invest in home ownership, but only half of us invest in stocks. (I suspect…

Ten Tax Tips for Individuals Selling Their Home

The Internal Revenue Service has some important information to share with individuals who have sold or are about to sell their home. If you have a gain from the sale of your main home, you may qualify to exclude…