No one ever really wants to think about inheriting their parent’s home. After all, that is something that happens after they have passed and that is not something that anyone ever wants to dwell on. But it will eventually occur and you will be faced with making a lot of difficult decisions. But the thought of a free house really doesn’t sound like it could be that bad. It’s free after all. However, there are several costly factors that could come into play.
If the house was your family home, then there is a certain fondness and sentimentally that colors how you think of the house. All of the childhood memories and family holidays are pleasant memories which overshadow the rough edges that the house may actually have. The things that you see as character could actually be shortcomings and things that a buyer would consider to be a huge negative. So you need an unbiased third party to tour the house with you as you begin to access the current condition. This will have a bearing on what you decide to do with the house in the future.
Another factor to consider is the carrying cost that you will incur while the estate still owns the house. In the end, you and the other heirs will be paying the carrying costs out of the money that you would be getting from the estate when it is settled. So the longer you wait to sell the house or rent it the longer you are paying for the monthly bills.
One more factor that comes into play is any other debt that the estate owes. In Arizona, if your parent had other debt such as medical bills, credit card bills or loans then the estate will need to pay those. If there is no other savings or checking account, then you might need the proceeds of the house sale to pay off the other debts.
Taking a long look at all of these factors will help you to decide what the best financial decision is. In some cases the money is not an issue and you can take your time and make a decision after some of the emotion and feelings have settled but in other cases, waiting will just make it more difficult and cost you more money. Having information from a real estate professional can be a big help in deciding what to do with the home that you have inherited.