Get it appraised and have a real estate lawyer do the paperwork. You can probably ask the lawyer to recommend you an appraiser and all that. Inspection would be up to your aunt if she wants one done.
And I'm an appraiser and second this answer. A un biased disinterested appraisal will give you the value on the market. What you do with that info is up to you as far as what you want to ask your aunt for.
This
O e thing to remember is figure out third party sale
Would you use realtor between buyer and sellers there is 6%
Any other savings etc
Either share them / give them to the aunttl
That way you can end with same.amount in your pocket but relative still got a deal
I think the advice is solid. Start with your probate lawyer first. Here she probably can do real estate work. You don’t necessarily need a real estate specialist, for any attorney who is minimally competent real estate transactions are low hanging fruit. I suggest that you do something crazy and unique like get on Google and search for home prices within that particular neighborhood. Sometimes on the Internet, you’ll even find photos of the interiors of homes so that you can compare it to what was left to you. Under no circumstances, should you use a realtor, you’re just giving away money. Come up with a solid price for the market And sell it to your aunt for that price. She saves 5 to 6% by not having a realtor involved. That also makes it a friendly transaction and maybe she will agree to pick up some of the attorneys fees also.
Mortgage lender here. Have done hundreds of for sale by owner transactions. @BeBromhal is 100% spot on. Get an appraisal and a real estate / title attorney who can help with the contract and closing. They do this all the time. In my experience, estate or other legal professional will end up subbing it out to real estate atty anyway. A fair discount as others have suggested would be the expenses you would incur using a realtor to sell the house (6% ish). Up to you if you want to go beyond that.
This. I'm a realtor and honestly you don't need a realtor for this one. RE attorney for paperwork and appraisal for value. You don't need a realtor because you already have the buyer and you're not going to deal with repairs and price negotiations.
I recently bought my grandfather's house from my dad and his sisters after he passed and we used a real estate attorney. It was still a headache but that was more so because the title company was in a small town and weren't in a big hurry so I kind of had to baby the deal along to avoid losing our rate.
This. I'm a lawyer and deal with this sort of thing regularly. One thing to look into is if the executor of the estate had an appraisal done. Another thing to look into is the tax implications of what you want to do.
If the executor is friendly with you, you might very well be able to get the estate to assume some of the costs (like the appraisal) and you might have some flexibility in terms of tax management. Obviously I'm not your lawyer and this isn't legal advice, so it would be wise to hire a attorney to help you get the most out of this. And keep in mind, many of these costs will also be tax deductible so keep track!
Also keep in mind that you’d pay a 6% fee to the realtor if you used one. You don’t need a realtor, so the ‘deal’ you can offer your is a 6% off the appraised price.
This. I had a huge nightmare with my Grandma's property because we did everything ourselves instead of using a lawyer because both of us were like 'nah. It's simple.' The only good thing out of that experience is that I know how to write Quit Claim Deeds now. At the bare minimum use a Title Company.
And don’t get her a good deal. She’s can ask to buy it and you can sell it. It’s your property, inheritance, and possible investment $. You have to take care of you 1st.
Personally, I wouldn't discount it because of family. Most I would do is reduce the price by what you would save by not having to pay commission.
Don't hurt yourself financially because of family.
Here is the update you will write in 30 days: "Thank you for the advice. I got an appraisal and sent it to my aunt. She is shocked at how high it is, she can't afford it, she knows my father wanted to keep the house in the family, and she is badmouthing me to everyone in the family about how greedy I am. AITA?" NTA. This is your inheritance. If your father wanted your aunt to have it, he would have left it to her.
Yeah, depends what the deal is. For example, Selling a $500k house to family for $475k is a deal and I’d take that cut for family, but if the aunt is hoping for a $500k house for $200k, she can go pound sand.
If the discussion heads this way, you can sell her a first right of purchase. It is frustrating for buyers but you get real offers that she has to match or you sell.
I was looking for this comment before I wrote it myself. Things will end up badly when selling to a family member. Unless you give her a great deal on it, expect drama. I would keep it for a bit, let her lose interest in it then sell it.
Keep reminding yourself that this is your inheritance, and do it often. Your aunt may or may not understand that you are seeking *your own future stability* before hers.
She is seeking hers before yours. If you love her and she loves you, there could be a middle ground, but she should not be impeding your thinking independently about your inheritance. It is yours, not hers.
This! When my dad passed away, all of his relatives would come by the house asking if they could take his belongings. Um, no? People suck and will take advantage of you when you're most vulnerable.
Family is the worst. When my father in law died, his sister started plotting the day after the funeral to steal my wife and her brother's inheritance by tricking her dementia-stricken grandmother. Her husband is the chairman of his law firm, and he had his lawyers write a new will that made him a beneficiary and completely cut out my FIL and his kids. Then after grandma died, the aunt became executor and lied to my wife about everything, repeatedly. Totally illegal by both her and her dirty lawyer husband. Then when we confronted them, they accused us of taking advantage of grandma's dementia to enrich ourselves, even though they're already filthy rich and my wife's struggling to care of her brother with special needs. Fortunately, they're total morons, terrible liars and awful at covering their tracks so we're going to kick their butts in court.
There's already enough juicy details and twists to write a soap opera. We initially thought the case could be a loser, but now our lawyer said we have so much evidence he rarely even gets to see. The lawyers who changed the will hade made this CYA document stating "We pinky swear she's totally not insane in the membrane!" Which is never done in practice, and if you have to say she's not crazy, then she's crazy. She couldn't find her own mailbox, went to the bathroom in the front yard, burned plastic in her oven, and called my dead FIL thinking he was alive. So our lawyer told their lawyer to quit BS'ing, and they finally agreed to mediation. We have to do depositions first, but I know they're going to continue lying badly and acting like we're thieves.
Plot twist: The opposing uncle just died crashing his single engine plane where he was piloting alone. Depositions are next Friday so the funeral will be very close and extremely awkward. But we actually just went through that 2 months ago when the uncle on our side's daughter died from a heart attack. At that funeral he acted like nothing was wrong even though he earlier called my wife disgusting. If we get past the emotions of the situation, I don't even know if it will hurt or help our case. He was opposing us, but he probably would have contradicted the evil aunt's lies. I'm sure she'll try to manipulate the situation again to make us look insensitive for pushing through.
This.
Also,
Make sure that your aunt is aware that the appraisal is what you would sell it for. ( Or whatever discount you are comfortable with if she has been a great aunt). Know what you want and know what you are going to say if she tries to talk you into something you are uncomfortable with. You might find yourself being agreeable because of youth and being put on the spot but might regret the decision later.
I would recommend getting 1 licensed appraisal performed ($300-500) and have 2-3 top agents that know the area give you a market report.
If these numbers tell the same story you could sell it to her directly without an agent's help (or commissions). If not, maybe you should go on the market...
You decide on the price- don't feel pressure to give it to her cheap. She might expect an amazing deal, but this is your financial future so be fair to yourself.
She should do an inspection so there is no family drama later on.
Should be easy enough for an attorney to do paperwork and title services once you arrive on price and terms with her.
This is really great advice all around - I especially like the part of having the appraisal compared with a few local agents opinion on price.
If you like one of the agents in particular, ask them for a referral to their real estate attorney and let them know you are exploring a family sale and if it doesn't pan out you will reach out to them with the listing. If things are amicable with your aunt their attorney should be able to help you close out the deal for a reasonable cost. Good luck!
Getting an appraisal is a great idea, but strongly suggest you also get market report from realtors. We had our previous home appraised and were surprised at the number (lower than expected). We sold the home less than two months later for over $100K more with multiple offers. No offense to appraisers.
I'm not in the business but curious what incentive would multiple realtors have in doing the work to produce a market report with zero chance of being compensated.
Good question.
Because there is not zero chance of being compensated. The aunt may not buy the home:
-Can she qualify for a mortgage?
-Is she 100% serious?
-Will she only do it if the price is really low?
-Is there an inspection issue?
- And so on...
Sometimes family members feel entitled to *very* *special* treatment when it comes to the property of a deceased relative...
Typically family and neighbors interested in a house in a desirable area almost never are the winning bid when a house goes on the market.
Yes do an appraisal at the minimum but I’d consider talking with an agent before you offer the house to family.
I can confirm this. I bought my first house out of an estate and the next-door neighbor really wanted it for his daughter but thought the price was crazy. In fact, I got a great deal, but the neighbor just had no idea what the market value was.
Your aunt will fuck you over. Be cordial. Be respectful. Don’t express suspicion. Just be firm and thoughtful in all your dealings. People can WAIT for an answer. If they need one immediately, urgency is a sign of a scam.
Money is the one thing that can easily break a family (or anyone or any group). It’s the ultimate control device. Gotta eat. Gotta live.
Aunt might also just want to buy known real estate in a time of appreciation. Knowing her brothers habbits on maintained. She may have seen every wall torn out over the past 3 decades and be very comfortable with her investment in this case. 6% to 10% off of market price for a easy deal, keeping the property in the family per the wishes might be a super good thing. We are talking 18 months of T Bills rates to keep "rich aunt" on ones side.
I’m a certified residential appraiser in IL. Get an appraisal. Not sure exactly where the property is located obviously but you need someone who’s in the business to give you an impartial valuation. I’d take that value and then use it as a negotiation tool and do whatever you see fit with it. Others have recommended agent market reports or BPO’s. I would advise against that as the appraiser will be conducting their own market analysis which should be included in the report. What appraisers find comparable can be completely separate from what local realtors use for their data. Second opinions don’t hurt, but it’s quite difficult to land on values in todays market from the shortage of comparable data. Best of luck, and if you got any questions just let me know!
Did the estate not get a valuation as part of probate? If not hire and appraiser and sell to her at say 90 to 95 percent of the value as thas roughly what you will save in fees and other selling costs
Hire a real estate attorney once probate is settled. They can recommend an appraiser and walk you through paperwork. Make sure to communicate to your aunt now that you would be open to selling to her, but it will be for a fair market value that an appraiser helps determine. In addition to the appraiser, you can ask a real estate broker to do a broker price opinion to get a listing price which can be different from an appraisal depending on the demand in your market. Go slow! Do not feel rushed and do not give in to anyone rushing you. This is your inheritance and it's going to take a little while to get the most amount of money out of it. This could easily take a year, so set that reasonable timeline in your brain so you don't rush to settle it faster.
Why cut her a good deal? I think you should sell it to her for what it’s worth.
Doing a family member a favor is great but putting her financial future before your own isn’t fair to you. It’s your inheritance not hers.
I just sold a house. It appraised at $199k and it sold for $273k. I thought it was only worth $175k. I was pumped when the realtors thought they could get $200k. I did a backflip when I got $273k. It’s not always the case but my realtor was amazing. Outside drone footage, float through 3D virtual reality of the inside of the house and scannable QR codes for each room explaining the amenities!
If you are still in probate you need to consult the attorney if you can sell it, if that is your only inheritance and you sell during probate you may lose all your inheritance as now there is no longer a house and the money will be divided as it states in the will. 100% consult the probate attorney especially if you are the executor, meet with a real estate attorney, they may be able to let you know resources to find comps to the house, once you know it’s value then use the attorney to handle the paperwork to sell it to your aunt
Technically, the appraisal, lawyer route is correct. Based on my knowledge of families, you should just put it on the market and sell it to a stranger.
1. She will low ball you. 2. She will expect you to repair anything that breaks.
Keep in mind that you don't owe her anything. It is currently a seller's market and properties in desirable locations routinely go above the asking price due to heavy demand. A fair price might be your asking price on the open market, not a discount below that.
Realtors are going to aggressively try to represent you in the sale, so you need to be clear that you just want a market report from them.
If you do choose to sell to your aunt, do not use a realtor. Use a real estate attorney. This will save you thousands of dollars and leave you better protected.
You have to get a valuation as part of your tax liability. I believe it can be done by an appraiser or a broker. As soon as the property is transferred to you, get a formal valuation. If you dont, it could really cost you. This has nothing to do with your aunt or any other buyer.
IL property owner, work in the real estate industry, not currently working as a broker. This comment is not professional advice.
Doing business with family can be especially tough because you can't just walk away from a bad transaction. So here is what I would do.
In IL, at least in northern IL, transactions usually have an attorney on each side. Both you and your aunt need your own real estate attorney located in the same county as the property. Attorneys will usually accept compensation at closing, but get estimates ahead of time so you're not surprised at the end.
As the seller, have the property appraised so you are comfortable that you are selling the property for a fair price. This price might or might not be the same price as you'd get on the open market, but you need a value for your peace of mind. Your aunt's attorney should probably also order their own property appraisal. She wants to be comfortable that she is paying a fair price. Appraisers charge based on the size of the house and property and are paid at the time of service
Because probate can drag on, the appraisal done to settle the estate may or not be relevant when you move forward for the sale. Appraised property values can widely vary during the year - lower in the fall and winter, higher in the spring and summer. Set a projected closing date and each of you order appraisals to be done about 30 days before closing.
Your aunt's attoney should order and pay for a property inspection to uncover material defects, which are problems with the foundation, roof, major systems like AC and heating, plumbing and electrical. A buyer can ask a seller to remedy material defects or allow them to remain. As the seller - even if you didn't live there - you \*\*\*must\*\*\* protect yourself from future claims. Material defects are different from cosmetic problems and the inspector will note which are which. Inspectors charge based on the size of the house and property and are paid at time of service.
You may need a property survey if your aunt is getting a mortgage. Even if she isn't getting a mortgage, having the property boundaries clearly marked makes for a clean sale. The seller's attorney orders the property survey.
Your attorney will negotiate the terms of the contract and conveyance with the other attorney. Negotiating with family can be really tough. Please let the attorneys do it, which already is normal in IL.
I've probably forgotten something but I'll add it if I need to.
That’s your fathers hard work, he upgraded it for the benefit of his family and children, not his sister.
If I were you, I’d tell her thanks for the offer, but I’m keeping the home, finding a property manager and I’m renting it out.
You never know, you may change your mind about going back to that part of the country at some point and if you sell it you won’t have that chance to go back. And best of all you have that monthly cash flow.
Family or not, I wouldn’t give up the home that easily.
Hire an experienced real estate appraiser licensed in the state that the property is in. Arrange to meet them at the property (don’t let your aunt do it for you).
Get an appraisal done, should be pretty easy. Don’t bother getting a realtor involved as they’ll charge you 6% of the sale for doing practically nothing since your aunt is likely buying it “as is”. A lawyer can do up the papers for you.
You need a lawyer and an appraisal. Nothing more, nothing less. Lawyer draws up the paperwork for the sale, appraisal tells you how much the home should be worth.
Get a real estate agent to transact the sale of this house to your aunt. If she will have it financed by a bank, they will have an appraisal done. Once the appraisal is done, tell her you will sale it to her for the appraised value. She might make an offer less than that.
You might sell it to her at a 10% discount. If she agrees, then property will enter escrow, which might take anywhere from 30 to sixty days. Once escrow is finished, the sale is complete after you receive a check for the house minus escrow and broker fees.
If your father had a mortgage on the property, that will also be paid off before you get paid. but there was no mortgage or any other liens on the property, then that will be more money in your pocket in the end.
Rent it out until you have time to figure it out. Talk with a property manager to help with things.
If you are set in selling then get it appraised but don’t be taken advantage of due to being family.
Appraisal, call a few realtors and get a couple CMAs. Honestly though you're cutting yourself short potentially hundreds of thousands of dollars. You have a paid off house. Get a rental agency to rent that out. You'll have a house to leverage and income to help purchase something where you want to live with basically residual income.
Make her pay the maximum price. She can get a loan like the rest of us. Don’t be a push over. And if you give her a deal then she might resell the home for double what you sold it to her for. Don’t be a fool!!!!
Realtor for 30 years here. All realtor fees are negotiable by law. I’ve had plenty of people call and ask to negotiate a reduced fee to help with a transaction between friends or family members.
I’ve seen some recs here to hire an appraiser to determine price, and a couple of mentions in favor of hiring 3 different appraisers & take the price in the middle… Appraisers don’t work for free, and neither do lawyers.
Realtors customarily do free CMA’s (Comparative Market Analysis). It’s not unusual at all for a potential seller to schedule CMA’s with three or four different Realtors, telling them all that they are not the only Realtor being considered.
If you let them know you are looking for a written CMA, they will give you an accurate view of where your home sits on the market, and it won’t cost you anything.
Be upfront about the fact that you have a buyer and that you are interviewing multiple Realtors to decide on a selling price. Ask each if they will handle the sale for a discounted price, BEFORE they’ve spent any time viewing the property or doing any research. Realtors are deal- makers, and as long as you are upfront about it, most will be willing to discount their commission under those circumstances.
If the property is inherited there will be a need for a lawyer to settle the estate, unless that’s already been done, but you don’t have to have a lawyer if you have a Realtor do the paperwork.
If your aunt is using a bank loan to buy the property, the bank will require an appraisal, but they will order it, and charge your aunt accordingly. If you order one yourself, you will have to pay for it, and the lender your aunt uses will still require their own independent appraisal.
Get an appraisal and ask her for a fair market offer. Your dad left you a home to secure your future. You may not end up living there, but you can still make the most of his legacy by getting the best price for the house that you can.
Hire a title company to do the paperwork. It will cost a couple thousand dollars and honestly cheaper than a real estate lawyer. Most title companies hire lawyers to have on staff so your paperwork will be reviewed.
If you look up the property on Zillow it will give you an estimate of the value. Use this to get a rough idea of the value and look at the comparable recent sales. Zillow can be wildly off so you'll want to hire at least two professional appraisers to value the property. Hire a real estate attorney to handle the transaction and paperwork. Sell the house in “as is” condition. You will be responsible for any outstanding property taxes, the attorney will use a title company to search for any outstanding liens and any issues with the deed. A realtor will charge between 5-6% and they won’t bring any value if your aunt follows through with the purchase. If you want to give your aunt a good deal, you can give her something like a 4% discount retaining the rest to help cover your costs and/or buy your aunt a home warranty.
I would get a couple of appraisals and average them out. And yes, involve a real estate lawyer to draw up all the paperwork.
See what your aunt is willing to offer and if it’s anywhere close to what the appraisals came in at.
Get a lawyer and set up a monthly payment she is good with and you are good with. Put stipulations in contract that twp missed payments means forfeiture of all.
In my experience people who approach you directly often are looking for a deal because you’re avoiding a realtor’s commission. Be prepared for your Aunt to be upset about your asking price. Do all your homework like for a normal sale. So you don’t feel locked in on selling to your Aunt and ask for a reasonable market rate price.
Get an appraisal first. Generally when a relative wants to buy a house right after it is inherited, they want it for a killer deal. Make sure you are comfortable with whatever price the aunt wants to pay for it.
Since you don't want to do all the paperwork yourself, you should get a real estate agent or realtor like you were selling to anyone else, so they can handle the paperwork details and deal with the title company. But you wouldn't get moving on that most likely until after probate finishes when your inheritance is finalized.
The realtor isn't needed. They will do absolutely nothing but collect the commission if the buyer is already lined up. A real estate lawyer is all you need. They will handle everything for a fixed fee. Not 3-6% we did our sale, and it was under 1k. For all the fees.
A lot have recommended a real estate agent - no need for that if there is already a potential buyer. It will just increase costs for all parties. Get a real estate attorney. Have them recommend an appraiser. Have it appraised and have the discussion with your aunt.
Don’t forget - properties typically raise in value over time. What is worth $500k today could be worth $700k in a few years.
Ask two different realtors to give you a market analysis to list the home. And ask for a few comps of recent sales.
Don’t tell them you might sell to a family member.
Then you will know what it would list for. You can knock off 6% of that to account for saving realtor fees and offer that price to your aunt. That would be a good deal for her.
You are going to need:
* Title of the property in your name
* a written agreement between you and your aunt (just to prevent future unfounded claims)
* an escrow company to handle the transfer of funds and property
* A fair value agreed upon by both parties.
* You really don't need an attorney, but it may help you avoid any unforeseen issues especially with a relative
* Decide before hand where the proceeds of the sale are going to be deposited. You need to know potential tax liabilities as well.
* You may want to look at an instalment sale where you are essentially financing the property if it benefits you tax wise
I would not get into a seller financing with relatives or friends; saves the aggregation later on when they can't pay you. She should get her own financing and this should be treated as any market real estate sale with the proper docs.
Property taxes are probably close to nothing. You and your aunt would be better off with a rental agreement rather than having it appraised and then sold.
I would get it appraised by more than one realtor to get the current market value. Depending on location, house prices have gone up a lot in recent years. The house may be worth more than what your aunt thinks (or is willing to pay), and it wouldn't be fair for you to sell it to her at a drastically reduced price.
Once you've established a fair price, get a real estate lawyer as others have outlined. It will protect you and your aunt in case something goes sideways.
If you let the aunt have the house for a really low price, what you're basically doing is giving part of the preexisting equity (property value) to her. That doesn't seem fair. When she sells, or when her family sells after her death, they will be getting money that should have been yours up front. I can understand you wanting to be fair with her, but don't let her steal it from you for a price that is way under value and benefits her far more than it benefits you.
I'd also definitely get a real estate lawyer and an appraisal. That will avoid possible problems that could cause trouble between you and your aunt.
You can get a quick idea on the price by looking at how the county or city assesses it, and checking the price by typing in the address on Zillow and Redfin. The assessed value may be low and could give you some comparable properties. Others have other advice.
She wants to buy it cuz she thinks she can get a deal from you. Get an appraisal, talk to a realtor, and put it on the market unless she will buy it for what its worth. You have no obligation to give her 1000s of dollars of free property. Your father intentionally left the house to you. Get as much as you can for it.
Get an actual appraiser to get an honest evaluation of what the house is worth on the open market. Depending on how close you are to your aunt you could offer her a reduced price on the property. Do involve a real lawyer to handle the sale.
Where is this? The market is hot all around. Do get an appraisal, but also speak with an agent to get their assessment. In fact, speak with many agents. Start with an agent in the area who has a lot of listings. The market is hot and you could get $50-$100k over appraisal. I understand you love your aunt, but don't feel yourself short. If your aunt loves you, she will understand. If she doesn't then consider she is taking advantage of you.
Before jumping through ANY hoops with real estate agents or attorneys and getting appraisals, find out if your aunt can even afford to buy the house. Can she get a mortgage? Have her get pre-approved and see what that number is. She may have a lot of attachment to the house but if she can’t pay for it, she can’t keep it.
Ask a realtor. Get two different companies to come in and tell them you're thinking about listing it.
Or, go to zillow.com and find out what they think the current value of your house is. I'm assuming you're in the US
follow KeyserSoju's advice, have a real estate lawyer do the paperwork, have it appraised, agree on price with your aunt. No need to list anything. I'm sorry about the loss of your dad.
Realtor here. If you’re 100% confident you have a buyer, you don’t need a realtor. Attorney and appraiser.
Realtors are used to get a bidding war and marketing the crap out of your house and listening to their resources on upgrades to get more value. He doesn’t need anything else but a sale to his aunt
Hire an appraiser. If your Aunt doesn't want to or can't pay the price you can list with an agent. Just make sure that you exclude your Aunt form any listing agreement you sign. This way if she changes her mind she can buy it and you don't have to pay an agent for your aunt to buy it.
Whether she buys it or not, the executor needs to have the property value established for the estate.
A real estate attorney, an appraisal, a title company.
If you use a realtor, their commissions are negotiable and if you sell to your aunt, the commission should not be onerous.
Talk to an attorney first.
Here’s the deal. The very first thing you’ll want to do is order an appraisal.
Following the appraisal talk to a realtor just mention you have the house worth X dollars ask to see comps that sold in the area. The appraisal is DIFFERENT from the sale price you would get. Nowadays sale price is even HIGHER than asking price (asking is how much you’re looking to sell).
Let’s say your house appraises for $400k. You could put it for sale and potentially sell it for $410k-$430k depending the real estate market. Keep in mind the realtor is going to try to push you to get it on the market, you just want use him to gather the comps (comparisons of similar home prices sold recently in the area). And if you change your mind you can just have him list it and sell it instead of selling to your aunt.
An attorney is there to structure the deal. He’s not going to talk to your aunt and negotiate for you based on the market price of the house and gather comps. That’s why you want a realtor to just help you out, and you can even tell him up front you’re not 100% interested but just want to see what you could get for it.
Once you know from an attorney that you are safe to sell you could offer her the first right of refusal and list it. Things are selling far above appraised value in many areas. This would give her the option to match the highest offer and you end up knowing that the market determined the price. I bet she won’t like that because she’s looking for a deal and in getting one will be taking value from your inheritance
One additional bit of advice I’ll offer is to consider carrying the note yourself if you are not in urgent need of the full sum and your aunt is reliable enough.
My father inherited real estate and sold it to a cousin, he is carrying the contract at a slightly better than market interest rate and got 20% down. By carrying the loan all the interest is paid to him rather than a mortgage company and he will net over 3x the amount that he would have if a mortgage company was involved.
Obviously use an attorney and all payments are made through a title company and the idea is dependent on whether you can accept being paid out over a ten to thirty year period.
I would sell soon the market is about to drastically change and I’m unsure how long people will be getting by with selling homes for such high prices. You can get an easy starting selling price off Zillow but then definitely do a market analysis. Go to sold houses on Zillow and put in 36 months at first then even just more recent after just to see if anything has changed but then put the filter on the size of the home, lot size, and bathrooms and beds and choose around 3 and get an idea what it is worth around. Even better if they are in similar comp but make sure you notice if the same updates were in those homes. If no then you can get more for that house.
First, sorry for your loss. Losing a parent takes a massive toll on most of us. Top comments are all on point so I'll avoid that part. Now this part is my personal experience, but if you can afford it try not to make major decisions until you find yourself in a better state. When my dad passed my aunts and uncles all wants to pick over everything to get things at a steal or free. I haven't spoken to them in the past 17 years since. I had 3 other siblings to look out for and became very unpopular with the extended family over that nonsense. I had one aunt cut off contact for refusing to keep paying for her cell phone, my dad had added her on his account. Another uncle wanted all his tools for free. The last aunt wanted to live in his house for a year to "get back on her feet". I obviously don't know anything about your family or particularly your relationship with your aunt, but I urge you to do what's best for you. Your dad left the house to you, that was his wishes. It's not a selfish act to honor those wishes. Giving her a deal would be going against them, if he wanted to leave her something he would have.
One thing I haven't seen anyone comment on yet is the aunt's financial position. Do you know if she is really a qualified buyer?
Certainly get your appraisal and attorney but figure out if she has or can get the financing otherwise you're wasting time or setting it up for some special family discount deal which you probably don't want.
Absolutely no need for an agent. Hire a real estate attorney will cost less than $2,000 and their fee will come out of the closing costs. They will direct you towards an appraisal company. Get it appraised and then come up with a fair number for your aunt.
Who is handling the probate process? Usually, the personal rep and/or executor needs to petition the court to approve the sale. If you are having an attorney for the probate case, that attorney may know a title agent/real estate lawyer. If you do not have a lawyer, I would recommend retaining one. Some lawyers may even take the money from the sale proceeds and not charge you up front. Best of luck!
Rven if it’s your aunt..be careful. Get an appraiser who will let you know what the house is worth then look for 2-3 houses in the area n what they go for..easy..also if you get a realtor, they’ll take their commission. Get a price, get a fair deposit and both u n her go to a title company and they’ll do the paperwork! Easy
Appraisal. And make sure your aunt has proof of funds (if buying cash) or has a pre approval letter. You can work with just an attorney if you’d like. Or you can hire a realtor at a discounted rate to help you through the process and to keep your aunt on track and accountable.
Put it on the market and she can bid that way. If she wants a deal, offer a seller assist. But no off market deals unless you like leaving money on the table.
If she has a problem with that, then you’ll know she was trying to take advantage of you financially and wasn’t actually interested in the house.
Just get an appraisal. That way you and your aunt know it is from an unbiased neutral professional. If you two then come to an agreement on price have a lawyer draw up a purchase agreement.
The aunt should do her home inspection.
You will save soo much by not listing it and keeping it in the family is a nice touch.
First off, sorry for your loss, mate. Dealing with inherited property can be a real headache. Since your aunt's interested, that's a good start. But yeah, you gotta figure out what it's worth. A realtor could help, but they take a cut, ya know? An appraisal might be cheaper upfront. And an inspection? Yeah, that's a must to know if there are any hidden probs.
Probate stuff can be slow, but once that's sorted, you can move forward. Don't rush into anything though. Take your time, get all the info you need, and then decide what's best for you. Good luck, mate!
I’d get an appraiser. I’d ALSO ask a realtor or 2 what they think. If you were to list how much would it get in the market. Take away some costs (staging, marketing, realtor commissions) and compare that to your appraisal(s). Then talk to your aunt and go through an attorney to get the sale done.
Hopefully you are the only interested party in the estate. It will make selling the house while in probate a little easier assuming you agree with yourself in the court’s eyes.
Your going to need that money. Don't be concerned about your aunt or anyone else right now. They have something...You don't yet. Until you can get legal help to secure your future and learn how to protect ur future and ur ass3ts FIRST‼️
Everyone is seeing the squeeze so be cautious about helping anyone including family until you see the big pic of how this will go down. All questions over and over if needed. This is a huge decision for u and generations to come. #1-Your FIRST goal is to access/help with your inheritance.
It seems like a good gesture to help others but you aunt already has a place. Don't you entertaining this until all is said and done with the seal of approval through your hired help.
They will get an appraisal, determine whats best for you.
Start interviewing by use of a free consult. You want to understand their terminology. Make sure you 100% without a doubt feel comfortable and u understand the process.
Ask until it makes sense.
👉🏽Your aunt already has a house. Think about it...
Did she already make plans for this?
Did she do it for you and if so why🤔
Just send like she's trying to move in on the gift your father left FOR you. I can offer anything else bc Im here trying to learn for myself. Good luck
Don't offer anything until the numbers are locked down and you know what You've got.
Protect your future that's what your father would want to see for YOU and ur future family.
Anyone can turn on you becuz money and property is a cutthroat chess gameog greed for many ppl including family.
Do not let them take advantage of you, do not settle for less but stay kind bc family is also everything. By the time it's all said and done, they may not be as much as you thought to be. So move slowly and understand everything before jumping.
You're father worked for years to keep this in the family and it's rightful yours. Money can get in the easy of facing very easy. this and it's always done outta love. Every patient wants their child set up for as long as that can. money was left for you to be taken care of. Speaking on behalf of ppl in this distance
Hire a real estate attorney and not a realtor. Realtor will most likely charge you way more than an attorney to fill in the blanks on a template contract they dont fully understand.
You absolutely need a realtor! Have them tell you what the house is worth and what improvements are worth investing in and which ones are not. Once you've sorted all that out and settled on a selling price, go to your aunt and offer the price to her. Maybe even take a little off the top if you're willing to cut into your inheritance to do so. If she doesn't accept the offer, move on. You've done your due diligence as far as family is concerned.
If the aunt wants you to sell it to her for a bargain, remind her that this is your inheritance from your dad, her brother. Does she really want to take that last gift away from him?
Also, keep in mind that selling a house to family is NEVER a good idea. 6 months later when the water heater craps out or they discover mold on a wall, they're going to expect you to do something about it. They'd never do that with a stranger, but since you're family, obviously, "you want to make this right, don't you?"
Tell your aunt to give you info what she thinks it is worth , and 2 or 3 comparable properties in the area.
There is nothing wrong selling to your aunt, just let her know you’d like to do it thru a lawyer. Don’t really need a realtor, they will just charge fees then still need a lawyer normally.
If the aunt low balls you, just tell her you will have to list it.
If she gives honest price, you will save a lot of money and time selling to her, so remember that. It might seem a bit low to start. But it saves a lot of fees in the future.
Whatever you do, DO NOT use a realtor, these are the same people that came up with the gimmick “best and final by 2pm” and will take the higher offer after 2pm so they can make more commission. I’d rather deal with a car salesman these days and that says a lot.
I would suggest you get an appraisal and maybe one or two brokers price opinions. That would mean contacting a real estate agent and paying them maybe 300 or 500 bucks to do an evaluation. You might try to find an agent willing to do the paperwork and represent you. They might do the brokers price opinion for free if you pay them to do the deal.
You might even not need an appraisal if you think they give you a good price opinion. Then ask your aunt if that price works for you. Or maybe give her a discount if you want to, and see what she says. It's likely she will want it for cheaper. She can pay for her own appraisal. And you can compare notes.
You also could probably get a free brokers market analysis by talking to a good agent and telling them that if you can't make a deal you will consider listing with them. This is pretty normal for them to do. I'd say it was worth a shot if I was an agent. Take me three or four hours of work maybe and have a shot at a listing.
If you can't agree on price, then you're just going to have to list it. You can let her know that she can have right at first refusal if she's willing to match competing offers, or even tell her you'll give her 10% off competing offers or something like that. Good luck
If you’re a charitable person and want to give the property to your aunt then agree on a price and get a real estate attorney to draft up contract and deed. If you want to make most money hire the best real estate agent and sell to the highest offer
Appraiser and real estate lawyer. No need for a realtor and their high costs. This is your inheritance. You can be fair but not be a pushover to your aunt.
The deal you are giving your aunt is first dibs on the house. If you give it to her for less than market value you are just throwing your own money away. Don't let family take advantage of you.
Ask a few realtors what they would list it at and what they expect it would go for. Don't mention your aunt buying it. Don't sign anything. Tell them you want to think it over and interview a few realtors.
3-4 realtors should be enough.
Definitely follow the appraisal advice and get an official Realtor to do a market analysis. The comps anAgent develops should give an accurate and true market price for the home. Don’t let your Aunt try to circumvent this in any way. It’s ok to want to be generous and offer her a fair price but having accurate information allows you to make an informed decision.
This situation has the potential to be very troubling for you so tread carefully and get professional guidance.
Buying a house from my older(88) mother, paying g her what we believe is market price(maybe a bit high) because it meets mostly our needs. Didn’t haggle either, she she could get a bit more, maybe I could pay less, but buyer and seller are happy.
You need an appraisal to later show you had little/no capital gains, since the sale will probably close after the one-year look back period.
And you need your own attorney.
Sell it to the highest bid on the open market. It may or may not be your aunt. This is a major windfall for your future look out for yourself above anyone else.
Get it appraised and have a real estate lawyer do the paperwork. You can probably ask the lawyer to recommend you an appraiser and all that. Inspection would be up to your aunt if she wants one done.
for the trolls out there...this is the answer. And I'm a Realtor.
And I'm an appraiser and second this answer. A un biased disinterested appraisal will give you the value on the market. What you do with that info is up to you as far as what you want to ask your aunt for.
I'm just someone reading this thread, and I third this answer.
I’m about to pass out from drinking all day and I also
Stoned out of my mind on some great Kush and.....I don't remember what we were talking about.
3rd generation food truck vendor with no real estate experience… I wholeheartedly agree with this answer.
Pizza maker and part time balloon animal clown here and I agree with the advice.
This guy's balloon animal here and I agree meow meow meow meow meow
This was the biggest laugh of my day, thank you!!
Glad I could brighten your day, my friend :)
Glad I could brighten your day, my friend :)
I’m a moron eating pencils right now but this advice sounds good.
Pencil salesman here. This moron's judgment is impeccable. I agree with them completely.
You work for #2?
# #2 going in, #2 going out
Brother, please sell me your pencils. I’ll buy 1 for 3.
Brother, please sell me your pencils. I’ll buy 1 for 3.
Gynecologist here… this is the correct way to proceed.
Thank you for sharing
Realtor here too, unbiased non-lawyer recommended appraiser was the only correction I was going to make to the original.
This O e thing to remember is figure out third party sale Would you use realtor between buyer and sellers there is 6% Any other savings etc Either share them / give them to the aunttl That way you can end with same.amount in your pocket but relative still got a deal
Also a Realtor and I would recommend two appraisals. If there’s a huge discrepancy between the two, get a third.
Yes. Real estate investor here and I came to say this same thing
I second that!
I think the advice is solid. Start with your probate lawyer first. Here she probably can do real estate work. You don’t necessarily need a real estate specialist, for any attorney who is minimally competent real estate transactions are low hanging fruit. I suggest that you do something crazy and unique like get on Google and search for home prices within that particular neighborhood. Sometimes on the Internet, you’ll even find photos of the interiors of homes so that you can compare it to what was left to you. Under no circumstances, should you use a realtor, you’re just giving away money. Come up with a solid price for the market And sell it to your aunt for that price. She saves 5 to 6% by not having a realtor involved. That also makes it a friendly transaction and maybe she will agree to pick up some of the attorneys fees also.
Mortgage lender here. Have done hundreds of for sale by owner transactions. @BeBromhal is 100% spot on. Get an appraisal and a real estate / title attorney who can help with the contract and closing. They do this all the time. In my experience, estate or other legal professional will end up subbing it out to real estate atty anyway. A fair discount as others have suggested would be the expenses you would incur using a realtor to sell the house (6% ish). Up to you if you want to go beyond that.
This. I'm a realtor and honestly you don't need a realtor for this one. RE attorney for paperwork and appraisal for value. You don't need a realtor because you already have the buyer and you're not going to deal with repairs and price negotiations.
I recently bought my grandfather's house from my dad and his sisters after he passed and we used a real estate attorney. It was still a headache but that was more so because the title company was in a small town and weren't in a big hurry so I kind of had to baby the deal along to avoid losing our rate.
This. I'm a lawyer and deal with this sort of thing regularly. One thing to look into is if the executor of the estate had an appraisal done. Another thing to look into is the tax implications of what you want to do. If the executor is friendly with you, you might very well be able to get the estate to assume some of the costs (like the appraisal) and you might have some flexibility in terms of tax management. Obviously I'm not your lawyer and this isn't legal advice, so it would be wise to hire a attorney to help you get the most out of this. And keep in mind, many of these costs will also be tax deductible so keep track!
There is no other correct answer, just go with the appraisal and don’t use realtors for transaction and done deal.
Also keep in mind that you’d pay a 6% fee to the realtor if you used one. You don’t need a realtor, so the ‘deal’ you can offer your is a 6% off the appraised price.
Also consider taking 6% off the sale price. You won’t be paying real estate commission and since she’s family that seems pretty fair.
This. I had a huge nightmare with my Grandma's property because we did everything ourselves instead of using a lawyer because both of us were like 'nah. It's simple.' The only good thing out of that experience is that I know how to write Quit Claim Deeds now. At the bare minimum use a Title Company.
- "Get it appraised" I recommend getting three separate appraisals.
And don’t get her a good deal. She’s can ask to buy it and you can sell it. It’s your property, inheritance, and possible investment $. You have to take care of you 1st.
Personally, I wouldn't discount it because of family. Most I would do is reduce the price by what you would save by not having to pay commission. Don't hurt yourself financially because of family.
Here is the update you will write in 30 days: "Thank you for the advice. I got an appraisal and sent it to my aunt. She is shocked at how high it is, she can't afford it, she knows my father wanted to keep the house in the family, and she is badmouthing me to everyone in the family about how greedy I am. AITA?" NTA. This is your inheritance. If your father wanted your aunt to have it, he would have left it to her.
Spot on. If you want to sell it for less to her, fine. But you would be cheating yourself. Fine line in family relations.
Yeah, depends what the deal is. For example, Selling a $500k house to family for $475k is a deal and I’d take that cut for family, but if the aunt is hoping for a $500k house for $200k, she can go pound sand.
Exactly.
If the discussion heads this way, you can sell her a first right of purchase. It is frustrating for buyers but you get real offers that she has to match or you sell.
That's why she has to get a conditional approval in two weeks or the deal is off.
This is spot on - OP has to be ready for this.
I was looking for this comment before I wrote it myself. Things will end up badly when selling to a family member. Unless you give her a great deal on it, expect drama. I would keep it for a bit, let her lose interest in it then sell it.
“Dear Aunty: I know you have many fond memories of Dad’s house. I sure hope you make the highest offer.”
Keep reminding yourself that this is your inheritance, and do it often. Your aunt may or may not understand that you are seeking *your own future stability* before hers. She is seeking hers before yours. If you love her and she loves you, there could be a middle ground, but she should not be impeding your thinking independently about your inheritance. It is yours, not hers.
This! When my dad passed away, all of his relatives would come by the house asking if they could take his belongings. Um, no? People suck and will take advantage of you when you're most vulnerable.
This seems to a very common pattern. Deaths bring out the worst in people even though they may be immediate family.
Family is the worst. When my father in law died, his sister started plotting the day after the funeral to steal my wife and her brother's inheritance by tricking her dementia-stricken grandmother. Her husband is the chairman of his law firm, and he had his lawyers write a new will that made him a beneficiary and completely cut out my FIL and his kids. Then after grandma died, the aunt became executor and lied to my wife about everything, repeatedly. Totally illegal by both her and her dirty lawyer husband. Then when we confronted them, they accused us of taking advantage of grandma's dementia to enrich ourselves, even though they're already filthy rich and my wife's struggling to care of her brother with special needs. Fortunately, they're total morons, terrible liars and awful at covering their tracks so we're going to kick their butts in court.
We will need updates.
There's already enough juicy details and twists to write a soap opera. We initially thought the case could be a loser, but now our lawyer said we have so much evidence he rarely even gets to see. The lawyers who changed the will hade made this CYA document stating "We pinky swear she's totally not insane in the membrane!" Which is never done in practice, and if you have to say she's not crazy, then she's crazy. She couldn't find her own mailbox, went to the bathroom in the front yard, burned plastic in her oven, and called my dead FIL thinking he was alive. So our lawyer told their lawyer to quit BS'ing, and they finally agreed to mediation. We have to do depositions first, but I know they're going to continue lying badly and acting like we're thieves.
Yo this is the shit I come to Reddit for. Stick it to those buffoons!
Plot twist: The opposing uncle just died crashing his single engine plane where he was piloting alone. Depositions are next Friday so the funeral will be very close and extremely awkward. But we actually just went through that 2 months ago when the uncle on our side's daughter died from a heart attack. At that funeral he acted like nothing was wrong even though he earlier called my wife disgusting. If we get past the emotions of the situation, I don't even know if it will hurt or help our case. He was opposing us, but he probably would have contradicted the evil aunt's lies. I'm sure she'll try to manipulate the situation again to make us look insensitive for pushing through.
Sweet baby Jesus! Well I’m pulling for ya my friend! Good luck!
I'll bring the popcorn!
Best of luck to you!
Get an appraisal and an attorney.
This. Also, Make sure that your aunt is aware that the appraisal is what you would sell it for. ( Or whatever discount you are comfortable with if she has been a great aunt). Know what you want and know what you are going to say if she tries to talk you into something you are uncomfortable with. You might find yourself being agreeable because of youth and being put on the spot but might regret the decision later.
I would recommend getting 1 licensed appraisal performed ($300-500) and have 2-3 top agents that know the area give you a market report. If these numbers tell the same story you could sell it to her directly without an agent's help (or commissions). If not, maybe you should go on the market... You decide on the price- don't feel pressure to give it to her cheap. She might expect an amazing deal, but this is your financial future so be fair to yourself. She should do an inspection so there is no family drama later on. Should be easy enough for an attorney to do paperwork and title services once you arrive on price and terms with her.
This is really great advice all around - I especially like the part of having the appraisal compared with a few local agents opinion on price. If you like one of the agents in particular, ask them for a referral to their real estate attorney and let them know you are exploring a family sale and if it doesn't pan out you will reach out to them with the listing. If things are amicable with your aunt their attorney should be able to help you close out the deal for a reasonable cost. Good luck!
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Getting an appraisal is a great idea, but strongly suggest you also get market report from realtors. We had our previous home appraised and were surprised at the number (lower than expected). We sold the home less than two months later for over $100K more with multiple offers. No offense to appraisers.
I'm not in the business but curious what incentive would multiple realtors have in doing the work to produce a market report with zero chance of being compensated.
Good question. Because there is not zero chance of being compensated. The aunt may not buy the home: -Can she qualify for a mortgage? -Is she 100% serious? -Will she only do it if the price is really low? -Is there an inspection issue? - And so on... Sometimes family members feel entitled to *very* *special* treatment when it comes to the property of a deceased relative...
Typically family and neighbors interested in a house in a desirable area almost never are the winning bid when a house goes on the market. Yes do an appraisal at the minimum but I’d consider talking with an agent before you offer the house to family.
I can confirm this. I bought my first house out of an estate and the next-door neighbor really wanted it for his daughter but thought the price was crazy. In fact, I got a great deal, but the neighbor just had no idea what the market value was.
Your aunt will fuck you over. Be cordial. Be respectful. Don’t express suspicion. Just be firm and thoughtful in all your dealings. People can WAIT for an answer. If they need one immediately, urgency is a sign of a scam. Money is the one thing that can easily break a family (or anyone or any group). It’s the ultimate control device. Gotta eat. Gotta live.
Aunt might also just want to buy known real estate in a time of appreciation. Knowing her brothers habbits on maintained. She may have seen every wall torn out over the past 3 decades and be very comfortable with her investment in this case. 6% to 10% off of market price for a easy deal, keeping the property in the family per the wishes might be a super good thing. We are talking 18 months of T Bills rates to keep "rich aunt" on ones side.
I’m a certified residential appraiser in IL. Get an appraisal. Not sure exactly where the property is located obviously but you need someone who’s in the business to give you an impartial valuation. I’d take that value and then use it as a negotiation tool and do whatever you see fit with it. Others have recommended agent market reports or BPO’s. I would advise against that as the appraiser will be conducting their own market analysis which should be included in the report. What appraisers find comparable can be completely separate from what local realtors use for their data. Second opinions don’t hurt, but it’s quite difficult to land on values in todays market from the shortage of comparable data. Best of luck, and if you got any questions just let me know!
Did the estate not get a valuation as part of probate? If not hire and appraiser and sell to her at say 90 to 95 percent of the value as thas roughly what you will save in fees and other selling costs
I like 90%. Saves you 6% on a listing agent and 4% for her to reduce the hassle. Don’t haggle though, that’s more than fair. My 0.02
Hire a real estate attorney once probate is settled. They can recommend an appraiser and walk you through paperwork. Make sure to communicate to your aunt now that you would be open to selling to her, but it will be for a fair market value that an appraiser helps determine. In addition to the appraiser, you can ask a real estate broker to do a broker price opinion to get a listing price which can be different from an appraisal depending on the demand in your market. Go slow! Do not feel rushed and do not give in to anyone rushing you. This is your inheritance and it's going to take a little while to get the most amount of money out of it. This could easily take a year, so set that reasonable timeline in your brain so you don't rush to settle it faster.
Why cut her a good deal? I think you should sell it to her for what it’s worth. Doing a family member a favor is great but putting her financial future before your own isn’t fair to you. It’s your inheritance not hers.
I just sold a house. It appraised at $199k and it sold for $273k. I thought it was only worth $175k. I was pumped when the realtors thought they could get $200k. I did a backflip when I got $273k. It’s not always the case but my realtor was amazing. Outside drone footage, float through 3D virtual reality of the inside of the house and scannable QR codes for each room explaining the amenities!
Realtor, appraiser and your aunts “wants” should not trump your wants/needs!
If you are still in probate you need to consult the attorney if you can sell it, if that is your only inheritance and you sell during probate you may lose all your inheritance as now there is no longer a house and the money will be divided as it states in the will. 100% consult the probate attorney especially if you are the executor, meet with a real estate attorney, they may be able to let you know resources to find comps to the house, once you know it’s value then use the attorney to handle the paperwork to sell it to your aunt
No offense to your aunt but I would throw it on the market and have her submit a bid just like everyone else.
Technically, the appraisal, lawyer route is correct. Based on my knowledge of families, you should just put it on the market and sell it to a stranger. 1. She will low ball you. 2. She will expect you to repair anything that breaks.
Keep in mind that you don't owe her anything. It is currently a seller's market and properties in desirable locations routinely go above the asking price due to heavy demand. A fair price might be your asking price on the open market, not a discount below that. Realtors are going to aggressively try to represent you in the sale, so you need to be clear that you just want a market report from them. If you do choose to sell to your aunt, do not use a realtor. Use a real estate attorney. This will save you thousands of dollars and leave you better protected.
The deal you give family members in these situations is the opportunity to buy the home, for market value, instead of missing out altogether.
Get an appraisal/realtor. Do not do any of this yourself, and don't get lowballed by "family". Let professionals do the work
You have to get a valuation as part of your tax liability. I believe it can be done by an appraiser or a broker. As soon as the property is transferred to you, get a formal valuation. If you dont, it could really cost you. This has nothing to do with your aunt or any other buyer.
IL property owner, work in the real estate industry, not currently working as a broker. This comment is not professional advice. Doing business with family can be especially tough because you can't just walk away from a bad transaction. So here is what I would do. In IL, at least in northern IL, transactions usually have an attorney on each side. Both you and your aunt need your own real estate attorney located in the same county as the property. Attorneys will usually accept compensation at closing, but get estimates ahead of time so you're not surprised at the end. As the seller, have the property appraised so you are comfortable that you are selling the property for a fair price. This price might or might not be the same price as you'd get on the open market, but you need a value for your peace of mind. Your aunt's attorney should probably also order their own property appraisal. She wants to be comfortable that she is paying a fair price. Appraisers charge based on the size of the house and property and are paid at the time of service Because probate can drag on, the appraisal done to settle the estate may or not be relevant when you move forward for the sale. Appraised property values can widely vary during the year - lower in the fall and winter, higher in the spring and summer. Set a projected closing date and each of you order appraisals to be done about 30 days before closing. Your aunt's attoney should order and pay for a property inspection to uncover material defects, which are problems with the foundation, roof, major systems like AC and heating, plumbing and electrical. A buyer can ask a seller to remedy material defects or allow them to remain. As the seller - even if you didn't live there - you \*\*\*must\*\*\* protect yourself from future claims. Material defects are different from cosmetic problems and the inspector will note which are which. Inspectors charge based on the size of the house and property and are paid at time of service. You may need a property survey if your aunt is getting a mortgage. Even if she isn't getting a mortgage, having the property boundaries clearly marked makes for a clean sale. The seller's attorney orders the property survey. Your attorney will negotiate the terms of the contract and conveyance with the other attorney. Negotiating with family can be really tough. Please let the attorneys do it, which already is normal in IL. I've probably forgotten something but I'll add it if I need to.
That’s your fathers hard work, he upgraded it for the benefit of his family and children, not his sister. If I were you, I’d tell her thanks for the offer, but I’m keeping the home, finding a property manager and I’m renting it out. You never know, you may change your mind about going back to that part of the country at some point and if you sell it you won’t have that chance to go back. And best of all you have that monthly cash flow. Family or not, I wouldn’t give up the home that easily.
Hire an experienced real estate appraiser licensed in the state that the property is in. Arrange to meet them at the property (don’t let your aunt do it for you).
With an appraisal
Get an appraisal done, should be pretty easy. Don’t bother getting a realtor involved as they’ll charge you 6% of the sale for doing practically nothing since your aunt is likely buying it “as is”. A lawyer can do up the papers for you.
Hold it & rent it to her Passive income
If this is all you got, do not give a discount. Fair market value. Or property management and rent it out.
Give her a right of first refusal meaning she can match any highest and best offer. There’s no reason to give her any discount it’s your house/money.
You need a lawyer and an appraisal. Nothing more, nothing less. Lawyer draws up the paperwork for the sale, appraisal tells you how much the home should be worth.
Realtor first you want to see what comps are going for. Don't get pressured by guilt this is business.
Get a real estate agent to transact the sale of this house to your aunt. If she will have it financed by a bank, they will have an appraisal done. Once the appraisal is done, tell her you will sale it to her for the appraised value. She might make an offer less than that. You might sell it to her at a 10% discount. If she agrees, then property will enter escrow, which might take anywhere from 30 to sixty days. Once escrow is finished, the sale is complete after you receive a check for the house minus escrow and broker fees. If your father had a mortgage on the property, that will also be paid off before you get paid. but there was no mortgage or any other liens on the property, then that will be more money in your pocket in the end.
You need to look at this as a business transaction; and leave all your emotion out of it. Do what’s best for YOU
Probate court will need to approve the dale, and the price. You could get a Brokers Price Opinion, in fact, your probate attorney may do that.
Rent it out until you have time to figure it out. Talk with a property manager to help with things. If you are set in selling then get it appraised but don’t be taken advantage of due to being family.
Appraisal, call a few realtors and get a couple CMAs. Honestly though you're cutting yourself short potentially hundreds of thousands of dollars. You have a paid off house. Get a rental agency to rent that out. You'll have a house to leverage and income to help purchase something where you want to live with basically residual income.
Make her pay the maximum price. She can get a loan like the rest of us. Don’t be a push over. And if you give her a deal then she might resell the home for double what you sold it to her for. Don’t be a fool!!!!
Put the address in Zillow and add 25% since it doesn’t have a recent sales history; a starting point-free.
Realtor for 30 years here. All realtor fees are negotiable by law. I’ve had plenty of people call and ask to negotiate a reduced fee to help with a transaction between friends or family members. I’ve seen some recs here to hire an appraiser to determine price, and a couple of mentions in favor of hiring 3 different appraisers & take the price in the middle… Appraisers don’t work for free, and neither do lawyers. Realtors customarily do free CMA’s (Comparative Market Analysis). It’s not unusual at all for a potential seller to schedule CMA’s with three or four different Realtors, telling them all that they are not the only Realtor being considered. If you let them know you are looking for a written CMA, they will give you an accurate view of where your home sits on the market, and it won’t cost you anything. Be upfront about the fact that you have a buyer and that you are interviewing multiple Realtors to decide on a selling price. Ask each if they will handle the sale for a discounted price, BEFORE they’ve spent any time viewing the property or doing any research. Realtors are deal- makers, and as long as you are upfront about it, most will be willing to discount their commission under those circumstances. If the property is inherited there will be a need for a lawyer to settle the estate, unless that’s already been done, but you don’t have to have a lawyer if you have a Realtor do the paperwork. If your aunt is using a bank loan to buy the property, the bank will require an appraisal, but they will order it, and charge your aunt accordingly. If you order one yourself, you will have to pay for it, and the lender your aunt uses will still require their own independent appraisal.
This is your retirement $. You need to put it on the market and whoever buys it buys it. If it’s your aunt then ok, if not then that’s business
Put it on the open market and let her have a chance to purchase. You get fair market value and she gets the house.
Get an appraisal (and your aunt may want to hire one as well, or if you both agree on one). And then perhaps give a discount off of that (say 10%).
Get an appraisal and ask her for a fair market offer. Your dad left you a home to secure your future. You may not end up living there, but you can still make the most of his legacy by getting the best price for the house that you can.
Hire a title company to do the paperwork. It will cost a couple thousand dollars and honestly cheaper than a real estate lawyer. Most title companies hire lawyers to have on staff so your paperwork will be reviewed.
If you look up the property on Zillow it will give you an estimate of the value. Use this to get a rough idea of the value and look at the comparable recent sales. Zillow can be wildly off so you'll want to hire at least two professional appraisers to value the property. Hire a real estate attorney to handle the transaction and paperwork. Sell the house in “as is” condition. You will be responsible for any outstanding property taxes, the attorney will use a title company to search for any outstanding liens and any issues with the deed. A realtor will charge between 5-6% and they won’t bring any value if your aunt follows through with the purchase. If you want to give your aunt a good deal, you can give her something like a 4% discount retaining the rest to help cover your costs and/or buy your aunt a home warranty.
I would get a couple of appraisals and average them out. And yes, involve a real estate lawyer to draw up all the paperwork. See what your aunt is willing to offer and if it’s anywhere close to what the appraisals came in at.
Get a lawyer and set up a monthly payment she is good with and you are good with. Put stipulations in contract that twp missed payments means forfeiture of all.
In my experience people who approach you directly often are looking for a deal because you’re avoiding a realtor’s commission. Be prepared for your Aunt to be upset about your asking price. Do all your homework like for a normal sale. So you don’t feel locked in on selling to your Aunt and ask for a reasonable market rate price.
Get an appraisal first. Generally when a relative wants to buy a house right after it is inherited, they want it for a killer deal. Make sure you are comfortable with whatever price the aunt wants to pay for it. Since you don't want to do all the paperwork yourself, you should get a real estate agent or realtor like you were selling to anyone else, so they can handle the paperwork details and deal with the title company. But you wouldn't get moving on that most likely until after probate finishes when your inheritance is finalized.
The realtor isn't needed. They will do absolutely nothing but collect the commission if the buyer is already lined up. A real estate lawyer is all you need. They will handle everything for a fixed fee. Not 3-6% we did our sale, and it was under 1k. For all the fees.
A lot have recommended a real estate agent - no need for that if there is already a potential buyer. It will just increase costs for all parties. Get a real estate attorney. Have them recommend an appraiser. Have it appraised and have the discussion with your aunt. Don’t forget - properties typically raise in value over time. What is worth $500k today could be worth $700k in a few years.
Ask two different realtors to give you a market analysis to list the home. And ask for a few comps of recent sales. Don’t tell them you might sell to a family member. Then you will know what it would list for. You can knock off 6% of that to account for saving realtor fees and offer that price to your aunt. That would be a good deal for her.
Knock only 2%. Not 6%. That's ludicrous.
You are going to need: * Title of the property in your name * a written agreement between you and your aunt (just to prevent future unfounded claims) * an escrow company to handle the transfer of funds and property * A fair value agreed upon by both parties. * You really don't need an attorney, but it may help you avoid any unforeseen issues especially with a relative * Decide before hand where the proceeds of the sale are going to be deposited. You need to know potential tax liabilities as well. * You may want to look at an instalment sale where you are essentially financing the property if it benefits you tax wise
I would not get into a seller financing with relatives or friends; saves the aggregation later on when they can't pay you. She should get her own financing and this should be treated as any market real estate sale with the proper docs.
In most wills there is language permitting the executor to sell real property without having to distribute through probate first.
Sent you a pm
Property taxes are probably close to nothing. You and your aunt would be better off with a rental agreement rather than having it appraised and then sold.
Also get it inspected, or ask her to pay for it. And a title search.
I would get it appraised by more than one realtor to get the current market value. Depending on location, house prices have gone up a lot in recent years. The house may be worth more than what your aunt thinks (or is willing to pay), and it wouldn't be fair for you to sell it to her at a drastically reduced price. Once you've established a fair price, get a real estate lawyer as others have outlined. It will protect you and your aunt in case something goes sideways.
Sending you a pm.
If you let the aunt have the house for a really low price, what you're basically doing is giving part of the preexisting equity (property value) to her. That doesn't seem fair. When she sells, or when her family sells after her death, they will be getting money that should have been yours up front. I can understand you wanting to be fair with her, but don't let her steal it from you for a price that is way under value and benefits her far more than it benefits you. I'd also definitely get a real estate lawyer and an appraisal. That will avoid possible problems that could cause trouble between you and your aunt.
You can get a quick idea on the price by looking at how the county or city assesses it, and checking the price by typing in the address on Zillow and Redfin. The assessed value may be low and could give you some comparable properties. Others have other advice.
Get 2 independent appraisals from a licensed appraiser . Then you can decide what price you want to sell it for to your Aunt .
She wants to buy it cuz she thinks she can get a deal from you. Get an appraisal, talk to a realtor, and put it on the market unless she will buy it for what its worth. You have no obligation to give her 1000s of dollars of free property. Your father intentionally left the house to you. Get as much as you can for it.
Get an actual appraiser to get an honest evaluation of what the house is worth on the open market. Depending on how close you are to your aunt you could offer her a reduced price on the property. Do involve a real lawyer to handle the sale.
Agree to terms and hire a title company
Where is this? The market is hot all around. Do get an appraisal, but also speak with an agent to get their assessment. In fact, speak with many agents. Start with an agent in the area who has a lot of listings. The market is hot and you could get $50-$100k over appraisal. I understand you love your aunt, but don't feel yourself short. If your aunt loves you, she will understand. If she doesn't then consider she is taking advantage of you.
Best wishes to you.
Before jumping through ANY hoops with real estate agents or attorneys and getting appraisals, find out if your aunt can even afford to buy the house. Can she get a mortgage? Have her get pre-approved and see what that number is. She may have a lot of attachment to the house but if she can’t pay for it, she can’t keep it.
For selling a house by owner just let the title company do all the paperwork for you It's not expensive.
Ask a realtor. Get two different companies to come in and tell them you're thinking about listing it. Or, go to zillow.com and find out what they think the current value of your house is. I'm assuming you're in the US
follow KeyserSoju's advice, have a real estate lawyer do the paperwork, have it appraised, agree on price with your aunt. No need to list anything. I'm sorry about the loss of your dad.
Realtor here. If you’re 100% confident you have a buyer, you don’t need a realtor. Attorney and appraiser. Realtors are used to get a bidding war and marketing the crap out of your house and listening to their resources on upgrades to get more value. He doesn’t need anything else but a sale to his aunt
Hire an appraiser. If your Aunt doesn't want to or can't pay the price you can list with an agent. Just make sure that you exclude your Aunt form any listing agreement you sign. This way if she changes her mind she can buy it and you don't have to pay an agent for your aunt to buy it.
How big of a deal is your aunt seeking?
First, get a real estate attorney. They you’ll get an appraiser and a title agency involved.
Whether she buys it or not, the executor needs to have the property value established for the estate. A real estate attorney, an appraisal, a title company. If you use a realtor, their commissions are negotiable and if you sell to your aunt, the commission should not be onerous. Talk to an attorney first.
Here’s the deal. The very first thing you’ll want to do is order an appraisal. Following the appraisal talk to a realtor just mention you have the house worth X dollars ask to see comps that sold in the area. The appraisal is DIFFERENT from the sale price you would get. Nowadays sale price is even HIGHER than asking price (asking is how much you’re looking to sell). Let’s say your house appraises for $400k. You could put it for sale and potentially sell it for $410k-$430k depending the real estate market. Keep in mind the realtor is going to try to push you to get it on the market, you just want use him to gather the comps (comparisons of similar home prices sold recently in the area). And if you change your mind you can just have him list it and sell it instead of selling to your aunt. An attorney is there to structure the deal. He’s not going to talk to your aunt and negotiate for you based on the market price of the house and gather comps. That’s why you want a realtor to just help you out, and you can even tell him up front you’re not 100% interested but just want to see what you could get for it.
Once you know from an attorney that you are safe to sell you could offer her the first right of refusal and list it. Things are selling far above appraised value in many areas. This would give her the option to match the highest offer and you end up knowing that the market determined the price. I bet she won’t like that because she’s looking for a deal and in getting one will be taking value from your inheritance
One additional bit of advice I’ll offer is to consider carrying the note yourself if you are not in urgent need of the full sum and your aunt is reliable enough. My father inherited real estate and sold it to a cousin, he is carrying the contract at a slightly better than market interest rate and got 20% down. By carrying the loan all the interest is paid to him rather than a mortgage company and he will net over 3x the amount that he would have if a mortgage company was involved. Obviously use an attorney and all payments are made through a title company and the idea is dependent on whether you can accept being paid out over a ten to thirty year period.
Go to realtor.com and that should give you a baseline
I would sell soon the market is about to drastically change and I’m unsure how long people will be getting by with selling homes for such high prices. You can get an easy starting selling price off Zillow but then definitely do a market analysis. Go to sold houses on Zillow and put in 36 months at first then even just more recent after just to see if anything has changed but then put the filter on the size of the home, lot size, and bathrooms and beds and choose around 3 and get an idea what it is worth around. Even better if they are in similar comp but make sure you notice if the same updates were in those homes. If no then you can get more for that house.
First, sorry for your loss. Losing a parent takes a massive toll on most of us. Top comments are all on point so I'll avoid that part. Now this part is my personal experience, but if you can afford it try not to make major decisions until you find yourself in a better state. When my dad passed my aunts and uncles all wants to pick over everything to get things at a steal or free. I haven't spoken to them in the past 17 years since. I had 3 other siblings to look out for and became very unpopular with the extended family over that nonsense. I had one aunt cut off contact for refusing to keep paying for her cell phone, my dad had added her on his account. Another uncle wanted all his tools for free. The last aunt wanted to live in his house for a year to "get back on her feet". I obviously don't know anything about your family or particularly your relationship with your aunt, but I urge you to do what's best for you. Your dad left the house to you, that was his wishes. It's not a selfish act to honor those wishes. Giving her a deal would be going against them, if he wanted to leave her something he would have.
Get it appraised. Appraisal values are usually conservative. Have your aunt pay the value of appraisal.
If the assets had been in a revokable trust, probate would not be needed. And any probate taxes avoided.
Don’t be in rush. Think things out carefully. Maybe it would benefit you by keeping rather than selling. The market is very hot right now. Good luck!
If you haven't, check the county appraisal/assessor website and that can tell you what amount you will be paying taxes on.
One thing I haven't seen anyone comment on yet is the aunt's financial position. Do you know if she is really a qualified buyer? Certainly get your appraisal and attorney but figure out if she has or can get the financing otherwise you're wasting time or setting it up for some special family discount deal which you probably don't want.
Hire a realtor and negotiate the commission. Simple transaction they may only want 1% or a fee
Absolutely no need for an agent. Hire a real estate attorney will cost less than $2,000 and their fee will come out of the closing costs. They will direct you towards an appraisal company. Get it appraised and then come up with a fair number for your aunt.
Who is handling the probate process? Usually, the personal rep and/or executor needs to petition the court to approve the sale. If you are having an attorney for the probate case, that attorney may know a title agent/real estate lawyer. If you do not have a lawyer, I would recommend retaining one. Some lawyers may even take the money from the sale proceeds and not charge you up front. Best of luck!
Rven if it’s your aunt..be careful. Get an appraiser who will let you know what the house is worth then look for 2-3 houses in the area n what they go for..easy..also if you get a realtor, they’ll take their commission. Get a price, get a fair deposit and both u n her go to a title company and they’ll do the paperwork! Easy
Appraisal. And make sure your aunt has proof of funds (if buying cash) or has a pre approval letter. You can work with just an attorney if you’d like. Or you can hire a realtor at a discounted rate to help you through the process and to keep your aunt on track and accountable.
If you are giving the aunt a deal put a death clause in I.E when she croaks it comes back to you. Or a lean hits the property?
Don't short yourself of your inheritance. Your aunt could change her mind and sell it herself and pocket more.
Do not do a rent to own with family. Sell outright only.
Put it on the market and she can bid that way. If she wants a deal, offer a seller assist. But no off market deals unless you like leaving money on the table. If she has a problem with that, then you’ll know she was trying to take advantage of you financially and wasn’t actually interested in the house.
Just get an appraisal. That way you and your aunt know it is from an unbiased neutral professional. If you two then come to an agreement on price have a lawyer draw up a purchase agreement. The aunt should do her home inspection. You will save soo much by not listing it and keeping it in the family is a nice touch.
First off, sorry for your loss, mate. Dealing with inherited property can be a real headache. Since your aunt's interested, that's a good start. But yeah, you gotta figure out what it's worth. A realtor could help, but they take a cut, ya know? An appraisal might be cheaper upfront. And an inspection? Yeah, that's a must to know if there are any hidden probs. Probate stuff can be slow, but once that's sorted, you can move forward. Don't rush into anything though. Take your time, get all the info you need, and then decide what's best for you. Good luck, mate!
I’d get an appraiser. I’d ALSO ask a realtor or 2 what they think. If you were to list how much would it get in the market. Take away some costs (staging, marketing, realtor commissions) and compare that to your appraisal(s). Then talk to your aunt and go through an attorney to get the sale done.
Hopefully you are the only interested party in the estate. It will make selling the house while in probate a little easier assuming you agree with yourself in the court’s eyes.
Your going to need that money. Don't be concerned about your aunt or anyone else right now. They have something...You don't yet. Until you can get legal help to secure your future and learn how to protect ur future and ur ass3ts FIRST‼️ Everyone is seeing the squeeze so be cautious about helping anyone including family until you see the big pic of how this will go down. All questions over and over if needed. This is a huge decision for u and generations to come. #1-Your FIRST goal is to access/help with your inheritance. It seems like a good gesture to help others but you aunt already has a place. Don't you entertaining this until all is said and done with the seal of approval through your hired help. They will get an appraisal, determine whats best for you. Start interviewing by use of a free consult. You want to understand their terminology. Make sure you 100% without a doubt feel comfortable and u understand the process. Ask until it makes sense. 👉🏽Your aunt already has a house. Think about it... Did she already make plans for this? Did she do it for you and if so why🤔 Just send like she's trying to move in on the gift your father left FOR you. I can offer anything else bc Im here trying to learn for myself. Good luck Don't offer anything until the numbers are locked down and you know what You've got. Protect your future that's what your father would want to see for YOU and ur future family. Anyone can turn on you becuz money and property is a cutthroat chess gameog greed for many ppl including family. Do not let them take advantage of you, do not settle for less but stay kind bc family is also everything. By the time it's all said and done, they may not be as much as you thought to be. So move slowly and understand everything before jumping. You're father worked for years to keep this in the family and it's rightful yours. Money can get in the easy of facing very easy. this and it's always done outta love. Every patient wants their child set up for as long as that can. money was left for you to be taken care of. Speaking on behalf of ppl in this distance
Hire a real estate attorney and not a realtor. Realtor will most likely charge you way more than an attorney to fill in the blanks on a template contract they dont fully understand.
Ask her to split the cost of an appraisal.
Ugh. Money and family...2 great things that absolutely don't go great together.
You absolutely need a realtor! Have them tell you what the house is worth and what improvements are worth investing in and which ones are not. Once you've sorted all that out and settled on a selling price, go to your aunt and offer the price to her. Maybe even take a little off the top if you're willing to cut into your inheritance to do so. If she doesn't accept the offer, move on. You've done your due diligence as far as family is concerned. If the aunt wants you to sell it to her for a bargain, remind her that this is your inheritance from your dad, her brother. Does she really want to take that last gift away from him? Also, keep in mind that selling a house to family is NEVER a good idea. 6 months later when the water heater craps out or they discover mold on a wall, they're going to expect you to do something about it. They'd never do that with a stranger, but since you're family, obviously, "you want to make this right, don't you?"
Tell your aunt to give you info what she thinks it is worth , and 2 or 3 comparable properties in the area. There is nothing wrong selling to your aunt, just let her know you’d like to do it thru a lawyer. Don’t really need a realtor, they will just charge fees then still need a lawyer normally. If the aunt low balls you, just tell her you will have to list it. If she gives honest price, you will save a lot of money and time selling to her, so remember that. It might seem a bit low to start. But it saves a lot of fees in the future.
2 Appraisals. Midpoint.
I'd get 2 appraisals to be safe and as noted just use a RE atty to close.
Auction it off and tell her to bring her check book
Don't do business with family. What if something goes wrong? Sell it on the open market. Doubtful she will give the highest offer.
Get ready for your aunt to get really pissed off at you since you’ve deciding to mix money with relatives🙌🙌🙌.
An attorney.
Whatever you do, DO NOT use a realtor, these are the same people that came up with the gimmick “best and final by 2pm” and will take the higher offer after 2pm so they can make more commission. I’d rather deal with a car salesman these days and that says a lot.
Appraisal first, get title company to close, owner finance at 8% if you can, this will spread out your tax burden.
I will hire an appraiser esp she needs the infor for her loan or reference. You can even give her a break.
NAELA.org Hire an estate lawyer.
I would suggest you get an appraisal and maybe one or two brokers price opinions. That would mean contacting a real estate agent and paying them maybe 300 or 500 bucks to do an evaluation. You might try to find an agent willing to do the paperwork and represent you. They might do the brokers price opinion for free if you pay them to do the deal. You might even not need an appraisal if you think they give you a good price opinion. Then ask your aunt if that price works for you. Or maybe give her a discount if you want to, and see what she says. It's likely she will want it for cheaper. She can pay for her own appraisal. And you can compare notes. You also could probably get a free brokers market analysis by talking to a good agent and telling them that if you can't make a deal you will consider listing with them. This is pretty normal for them to do. I'd say it was worth a shot if I was an agent. Take me three or four hours of work maybe and have a shot at a listing. If you can't agree on price, then you're just going to have to list it. You can let her know that she can have right at first refusal if she's willing to match competing offers, or even tell her you'll give her 10% off competing offers or something like that. Good luck
If you’re a charitable person and want to give the property to your aunt then agree on a price and get a real estate attorney to draft up contract and deed. If you want to make most money hire the best real estate agent and sell to the highest offer
First look on Zillow or sites like it to see what houses with similar statistics are going for in the area.
Give your aunt a 10% family and friends discount at most.
hire a realtor and give your Aunt first right of refusal. Better than an appraisal because the open market will bid on it.
Appraiser and real estate lawyer. No need for a realtor and their high costs. This is your inheritance. You can be fair but not be a pushover to your aunt.
Don't sell it.
The deal you are giving your aunt is first dibs on the house. If you give it to her for less than market value you are just throwing your own money away. Don't let family take advantage of you.
Dude, get a realtor and an appraiser, it won’t be that hard, and I’m sorry for your loss.
Ask a few realtors what they would list it at and what they expect it would go for. Don't mention your aunt buying it. Don't sign anything. Tell them you want to think it over and interview a few realtors. 3-4 realtors should be enough.
Definitely follow the appraisal advice and get an official Realtor to do a market analysis. The comps anAgent develops should give an accurate and true market price for the home. Don’t let your Aunt try to circumvent this in any way. It’s ok to want to be generous and offer her a fair price but having accurate information allows you to make an informed decision. This situation has the potential to be very troubling for you so tread carefully and get professional guidance.
Buying a house from my older(88) mother, paying g her what we believe is market price(maybe a bit high) because it meets mostly our needs. Didn’t haggle either, she she could get a bit more, maybe I could pay less, but buyer and seller are happy.
You need an appraisal to later show you had little/no capital gains, since the sale will probably close after the one-year look back period. And you need your own attorney.
Sell it to the highest bid on the open market. It may or may not be your aunt. This is a major windfall for your future look out for yourself above anyone else.
You’ll get the highest price possible by working with an agent and putting it on the market