Tips for selling an inherited flat

In this article we are going to explain the steps to follow to sell an inherited flat so that it does not become a headache for you and your family. Take note!

How can I selling a flat inherited? This is one of your most frequent queries after receiving an inherited property. The costs of receiving it, the need to have the capital or the desire to sell to avoid problems between the heirs are some of the reasons why an inherited flat is put up for sale. 

What does it take to sell an inherited flat?

There are still many questions about what it takes to sell an inherited flat. Follow these steps and everything will be much simpler.

Gathering the necessary documentation

There are certain documents that are essential for selling an inherited flat. The main ones are the following:

• The death certificatewhich is requested at the Civil Registry of the place where the death occurred. It is a free document that can take up to 15 days to be issued. 
• The certificate of last will and testamentThis is a document that certifies whether the deceased has left a will and in which notary's office he/she has done so. The amount is less than €4 and is requested in the Ministry of Justice It must be applied for within 15 days of the death and takes about 10 days.
• Finally, the copy of the will. If the deceased left a will, we must request a copy from the notary authorised in the will. The price varies depending on the number of pages and the age of the will. The procedure takes at most one week.

Accepting the inheritance before the notary

Acceptance of the inheritance before the notary depends on whether or not there is a will. 

If there is a willThe notary must draw up an inventory of assets and the deed of partition of inheritance. The latter includes the particulars of the persons who are to receive the property and the distribution of the assets which the notary has inventoried. If there is only one heir, it is sufficient to draw up a document in which the inheritance is accepted and the notary legitimises it with his signature.

If there is no willThe notary is responsible for establishing who the heirs are in accordance with the law. In order to prove the degree of relationship to the deceased, different documents can be used, such as the family register or the birth certificate. With this, it is possible to sign the deed of inheritance. declaration of heirswhich costs approximately €300 (plus VAT). Two witnesses who knew the deceased are necessary to declare that there are no more heirs.

On the other hand, whether there is a will or not, the notary has to draw up a inventory of goods and the deed of partition of inheritance. The latter includes the details of the heirs and the distribution of the assets that the notary has inventoried. If there is only one heir, it is sufficient to draw up a document accepting the inheritance and have it legitimised by the notary with his signature.

Paying inheritance taxes

The main taxes associated with inheritance are two: municipal capital gains tax and inheritance and gift tax. Let us look at them in more detail below.

• Municipal capital gainsThis tax is levied on the increase in the value of the land of the property from the time it was purchased until it is put up for sale. It must be paid within 6 months of death, although it is possible to request an extension of 6 months.
• Inheritance taxThe tax is paid at the tax office where the habitual residence of the deceased was located. The amount varies depending on the value of the inheritance and, in case you are wondering, there are different allowances in each autonomous community. As in the previous case, it must be paid within 6 months of the death and a 6-month extension can also be requested. 

Registering the flat in the Land Register

Although this procedure is not compulsory, it is always better to do it when there is an intention to sell. Selling a house that is not registered in the Land Registry is very difficult, as the buyer cannot verify who is the rightful owner or validate the legality of the construction. Nor can he check if there are any associated charges or a double sale. To avoid all these potential pitfalls or having to lower the price to attract buyers, it is best to register the flat in the Land Registry. 

Putting the flat up for sale

If you have made it this far, you have passed all the steps for putting an inherited flat up for sale with flying colours. From here on, the process is the same as for the sale of any other flat. We recommend that, before putting it up for sale, prepare your flat to make prospective buyers fall in love with it and they are attracted to it and you don't lose bargaining power because it looks too old-fashioned. 

Pay sales tax

Last but not least, among all the things needed to sell an inherited flat, we find the payment of sales tax (in case you missed paying taxes...). In addition to what we have already mentioned above, if the house is sold, it will be necessary to pay the IRPF and the municipal capital gain. "Municipal capital gains?you ask, "But I've already paid for it.. We know this, but it has to be done again. If there are several heirs in the sale, each one will pay the percentage that corresponds to him/her according to what he/she has inherited.

When is it best to sell an inherited flat?

There is no ideal time to put an inherited flat up for sale, and there is no need to wait either time to do so. This is where supply and demand come into play, as well as the economic capacity of the heirs to keep the flat until the sale takes place. 

It should be borne in mind that as time goes by, the costs of maintaining the flat will increase. However, if the real estate scene is not at its best, it may be worth waiting to sell and pursuing other strategies, such as renting until the situation improves. 

How to sell an inherited house between siblings

Selling an inherited property among several family members can be complicated. because of different points of view. It is even possible that some of the heirs are not willing to sell their share. Although it is most likely that everyone will want to sell in order to share the proceeds fairly, the road can be a difficult one. 

In fact, when an inherited house is put up for sale between several siblings, different scenarios may arise. For example, that one of the brothers wants to keep the flat and pay the rest of the heirs their share. Or that some do not want to sell, but do not want to buy either. In that case, it is best to reach an agreement that satisfies everyone. There is also the possibility of the sale, even if one of the siblings does not want the sale to go ahead.. In this case, it is possible to extinguish the condominium, divide the common property and sell the joint ownership. In any of these cases, there will be delays or even a loss of profitability. Therefore, it is always better to reach an agreement than to go to this extreme. 

Once the agreement has been reached, the steps for the sale are as we have already seen. 

We hope you will find these tips useful in helping you to selling an inherited flat not become a mountain, not to mention the sentimental factor of the property. If you still have doubts and need help, do not hesitate to contact us.