When you inherit a South Florida house, you will need to cope with many emotions. The death of a loved one is difficult, and the extra burden of having to safeguard your inheritance can be stressful.
If you are the sole heir, the financial responsibility will fall completely on your shoulders. Don’t rush into any decisions. Before you do anything, contact a estate or tax attorney to guide you through the legal process of transferring the home to your name.
If there are other beneficiaries, make sure you talk to them and reach an agreement regarding what to do with the property. Differences among family members can cause even good relationships to sour.
Below, we’ll share some sound advice to help you answer the question: “What should I do with an inherited house in South Florida?”
Check Your Insurance Coverage
Be aware that if you’ve inherited an older house, there is a chance it may have failed an insurance inspection in the past, placing you at risk of having your homeowner’s insurance canceled.
Check that your policy has enough coverage to rebuild the home in case there is a natural disaster or fire, and make sure you inform the insurance company that you are the new owner.
Even if you have insurance, read the fine print carefully. Most standard policies require the home to remain occupied. If you anticipate that the home will be vacant for more than 30 days, purchase an unoccupied and vacant home insurance policy. Keep in mind that insurance claims on a house left empty for more than 30 days will likely be denied.
Secure your house
An empty house is a primary target for theft and vandalism. If your house is vacant, secure the property right away: replace broken windows, secure loose doors, and change all the locks. You may also want to ask a trusted neighbor to keep an eye out for any suspicious activity.
You can even call your local police department and request extra property checks. Many local law enforcement agencies will gladly schedule additional drive-bys in your neighborhood.
Pay past due bills
Avoid accrued interest, late fees, and service interruptions by paying any past-due bills. Pay outstanding property taxes or HOA dues, and contact the electric, gas, and water companies to bring all accounts current.
Get a home inspection
Before deciding whether to rent or sell your inherited home, have the property inspected. A home inspection may uncover deferred maintenance issues and hidden structural problems.
If the inspection reveals only minor issues, you can handle the repairs yourself. If there are major structural or system problems, hire a licensed professional contractor.
Once you have followed the steps above, you can weigh the different options available to you.
What To Do With An Inherited House in South Florida. Should I move in?
If you have inherited a home without a mortgage or have the financial ability to pay off an existing mortgage, then one practical choice is to move into the home. You can build equity in the home over time and save on monthly mortgage or rent payments.
Since you will live in the home, if you do not have the money or time, you can put off the repairs into the future.
What To Do With An Inherited House in South Florida. Should I rent it out?
If you already own a home and want extra income, then renting out your house could be ideal. Before you rent out your house, find out what the market rents are by speaking to a local real estate agent.
Prepare a clearly written lease agreement which spells out the responsibilities and obligations of both the landlord and the tenant.
Make sure that all the family members that will pay the rent, sign the lease and don’t forget to give a copy of the signed lease to the tenant.
Visit legaltemplates.net to create a free Residential Lease Agreement that is tailored to the state where you own the property.
Reduce your chances of getting stuck with a bad tenant. Ask the tenants to fill out an application form where they give you:
- Full name of each person that will sign the lease
- Contact information
- Date of birth
- Employer information
- Previous address for the last two years
- Previous landlord contact number
- Social Security Number
- Authorization for you to check their credit report and to do a criminal background check.
- Signature line for each individual whose credit and criminal history is checked
Do your due diligence: verify employment, contact previous landlords, and run credit and background checks. Each of the three major credit bureaus (TransUnion, Equifax, Experian) offers tenant screening services that allow you to review credit reports for prospective tenants.
Other helpful tips
- Do not hand over keys to the tenant until you have received a full security deposit
- Prepare a move-in inspection checklist and inspect the entire house with the tenant, before the tenant moves into the house
- Take exterior and interior pictures of the house. This could be very helpful for you in court if your tenant damages your home.
SOME POSSIBLE DISADVANTAGES OF RENTING OUT YOUR HOUSE
- You will have to repair the home right away if you want to rent your house at market rate
- You could get stuck with a bad tenant that does not pay the rent on time or destroys the house
- If you are in a down market your home could depreciate considerably.
What To Do With An Inherited House In South Florida. Should I sell it?
Reasons why you may need to sell your South Florida house:
- Distribute the inheritance among several heirs
- You do not have the money to pay off an existing mortgage
- You do not have the time or the money to fix your home
- You have inherited a house located far away
- You do not want the risk of problem tenants
- You are in a hot seller’s market and believe that now is the time you can get the most money for your house
If you want to sell your inherited house, the traditional way with a real estate agent, it will take a lot of work and commitment on your part. You will have to select the right real estate agent, clean, repair, declutter and stage your home. You will also need to make your home available for showings on evenings, weekends and for last-minute appointments.
Sell your inherited house to Frederik Buys Houses, LLC quickly and easily and close in as fast as 7 days.
If your South Florida home is in need of repairs or you want to avoid the hassle of selling your home through an agent, call Frederik Buys Houses, LLC. You can sell your home to us for cash and stop the monthly costs of utility bills, mortgage payments, taxes, insurance, HOA and household maintenance.
The advantages of selling your home to us include:
- No need to make repairs
- Do not have to stage your home
- Avoid long listing contracts
- No need to show your house to an endless parade of buyers
- No real estate commissions or marketing fees
- No seller closing costs
- Eliminate the stress of trying to find a buyer
- Avoid the worry of lengthy home inspections, bank appraisals, mortgage loan approvals and final walk-throughs
We’ll guide you through the entire sales process, to make the sale as smooth and worry-free as possible.
Call Frederik Buys Houses, LLC now at (305) 506-6463 to get a top-dollar cash offer. Count on us to understand your needs, provide solutions to your problems and deliver exceptional service.
For a quick recap of what you’ve just read, look at the What To Do With An Inherited House infographic below.
More Helpful Tips And Resources To Help You With Your Inherited House in South Florida.
- Answers to frequently asked questions about home inspections via homeinspector.org
- How to handle the insurance company if you inherit a house via consumerreports.org
- 4 hidden costs of being a landlord via bankrate.com
- Move-In Checklist for Landlords and Tenants via com