Inheriting property might seem like a windfall – a house, maybe even a family heirloom wrapped in bricks and mortar. But before you start picturing yourself sipping lemonade on the porch or renting it out for passive income, let’s have a real talk. That “gift” could come with a few strings attached—like tax bills, repair costs, and maybe even a few squabbles with the family. When taking on an inherited property, knowing what it will cost you is important. Here is a look at some of the costs you may face when inheriting a property in New Hampshire so you can make the best decision throughout the process.
Tax Obligations
Taxes: The “Gift” That Keeps On Giving (to the IRS)
Congratulations, you’re the proud owner of a house…and its tax obligations. Property taxes, estate taxes, inheritance taxes, and capital gains taxes could all be waiting to knock on your door like an unwelcome houseguest.
- Property Taxes: Once the house is yours, so is its property tax bill. Depending on New Hampshire’s tax rates, this could be a hefty annual cost. Some cities really know how to pinch a penny—or in this case, a lot of pennies.
- Estate Taxes: If the estate can’t cover its own tax bill, you might have to dig into your own pocket.
- Capital Gains Tax: Planning to sell? If the home’s value has increased since it was purchased, Uncle Sam wants his cut.
- State Inheritance Taxes: Depending on where you live, some states will take their slice of the pie just for inheriting it.
Pro Tip: Budget ahead and consult a tax professional. You don’t want a surprise letter from the IRS putting a damper on your new property dreams.
Utility Bills: Even Empty Houses Cost Money
Here’s the deal: Even if no one’s living there, a house doesn’t power itself. You’ll need to keep the electricity on, water running, and maybe even the heat or air conditioning going, especially if you’re trying to avoid turning the place into a moldy, frozen, or overheated mess.
Why Sell Fast? Many people in New Hampshire decide to sell quickly rather than pay for a house they don’t plan to use. Empty homes are like gym memberships for some people—you think you’ll use them, but you never do.
Empty Houses Aren’t Free: The average monthly utility bill for a vacant home can still run anywhere from $200 to $500, depending on its size and location.
Maintenance and Repair Costs
Houses require ongoing maintenance and repairs. Does the house have a lawn, pool, or fruit trees? Things like this all need to be maintained regularly. Whether you do the work yourself or hire someone to do the job, you will be dedicating time and money to the general maintenance of the home. There are also repairs, clean-up, and the sorting of belongings to consider too.
Houses have a way of needing constant TLC, even when you wish they’d just behave.
- Ongoing Maintenance: Lawn care, snow removal, pool upkeep, gutter cleaning—it all adds up. Even the “cute” fruit trees in the backyard will need pruning and cleanup.
- Hidden Repairs: If the house hasn’t been well-loved in a while, prepare for surprises like leaky roofs, outdated wiring, or a foundation with more cracks than your phone screen.
- Time & Money: Whether you DIY it or hire someone, maintaining an inherited property is an ongoing commitment.
Mediation
Sadly, when a loved one passes away, disputes between family members can arise. If you have siblings or others with a claim to the estate, you may find yourself dealing with mediation fees. A quick way to resolve this is a buyout or a fast sale, dividing the profits. Susan Cole Realty Group can facilitate a fast and fair sale of your property, closing in a matter of days. This solution has saved countless families from having to deal with mediation or court.
While these are just a few of the costs to own a home, there are more to consider. You will need to pay for appraisals, cleaning, listing fees, and more. By selling the house quickly and as-is, you can save money, while liquidating the property much faster.
Sell Your House to Avoid Costs
If you decide to sell the inherited house, you’ll need to factor in selling costs, such as real estate agent fees, closing costs, and any repairs or upgrades needed to make the house marketable. These costs can add up quickly, so make sure you have a realistic understanding of what you’ll need to spend to sell the house. T
How Susan Cole Realty Group Can Help
Do you have questions about inheriting a property in New Hampshire? Susan Cole Realty Group can help you find the answers you need. We understand that it may be a difficult time, and we are very compassionate and understanding. We will never talk you into a anything that isn’t right for you – we will simply give you the facts and leave the rest up to you!
Inheriting a property in New Hampshire can come with costs you may not be prepared for. Susan Cole Realty Group can help you with any inherited property in the New Hampshire area, making the process simple for you. Give us a call today to learn more about how we can help with your inherited property in New Hampshire. (603) 443-3149