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You inherited a home. "What do you do? Who do you call?"

By
Real Estate Agent with SAMSON PROPERTIES 0225018862
Inheriting a home that is in rough shape "What do you do? Who do you call?"
 
Today's blog post just an example of what kind of calls we field in a day. It is a success story about a caller that called used Google to find a local real estate agent who could sell their home fast in i Virginia. They called me last Saturday morning on July 25th 2015.

The phone rang and I answered. The person on the other line introduced himself and said I am in town to settle my Mom's estate. She past away two months ago and I am here emptying the house. But it is far worse than I thought and more than I can handle from so far away I think I need to talk to your about selling it.
 
I explained I had a cancellation and I could come over in the next morning. I did. Sure enough when I got to the home I could see why they might be overwhelmed. It is never easy to come to another state get a U-Haul Van and try to decide what's getting pack and what is getting pitched especially when you have no clue on what to do next.
 
"This family needed a road map to follow."
 
At this point it is not about getting a new listing. It is about helping some folks who are "overwhelmed with a daunting process on a short time span"
 
First thing I do is look at the home. Access whether it can be emptied and sold "as is" or with a little cosmetic fix up can it be sold for higher. This home needed a lot of work. The deck was shot, there was wood rot, it was extremely dated. But the silver lining was all the systems in the house were new. The furnace, the AC Unit, the kitchen cabinets and counters, the appliances, the toilets, vanities and roof. But the walls, the flooring, the stair hand rails, lighting was in rough shape.
 
If this family had $25,000 to fix up the house they could sell the home for top dollar. But they did not have the resources for something like that. Nor did they have the time. They fell into the trap of calling one of those signs they see on the street that says "We'll buy ugly homes in 7 days Cash" well those folks just tried to steal the house in my opinion. They offered them $170,000. Seriously.Average homes in the neighborhood sell for $300,000. This house needed about $25,000 maybe $35,000 to totally transform it.
 
So I gave him some options:
  • Sell it to the investor for $170,000
  • Settle the estate with the county, refinance the house and pull out the cash you need to get it fixed up to sell and then sell it. You will get top $
  • Interview some reputable investors who will buy your home CASH so that you can cash out, settle the estate and move on with your life.
​They opted for the last option. Within 24 hours they interview a few investors, and ratified an offer to sell CASH on Wednesday of the following week. They received tens of thousands more just be calling a local real estate agent who could advise them.They are on there way back home to Alabama with a lot of memories and knowing they accomplished their goal. To settle their Mom's estate, empty the home and feel good about their decision.
 
Real estate agents are a wealth of knowledge. Don't be afraid to call a local real estate in a situation like this. There is no charge. Only if we list and sell the home.
 
This is the same if you are falling behind on mortgage payments, your loan is getting ready to go up and you do not know what to do. You may be facing a divorce or job loss or worse the bank is already calling you  because your home is heading to foreclosure.

Pick up the phone and call for real estate help. I promise I will answer.

Comments (44)

Chris and Dick Dovorany
Homes for Sale in Naples, Bonita Springs and Estero, Florida - Naples, FL
Broker/Associate at Premiere Plus Realty

I guess I'm in the minority here.  You lost a listing.  You lost a sale.  Our advice should be worth something.

Jul 31, 2015 11:12 PM
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Yes to this post and subject. I am active in counsel on this matter right now

Jul 31, 2015 11:29 PM
Peggy James
SAMSON PROPERTIES - Woodbridge, VA
Woodbridge Virginia Area Real Estate Specialist

Chris and Dick Dovorany some might think that. But for me, real estate is never about me. It is about what the customer needs, not mine. This was not a marketable property in the condition it was. The family needed closure on a tight timeframe and limited budget. I gave them some resources they could call. The investors are professionals and do pay me a referral fee when they flip the home. Sometimes depending on the investor I am the listing agent when the flip is done. Each situation is different.

Aug 01, 2015 12:34 AM
Anthony Vosilla
Tony's Appraisal Services - Centereach, NY

Peggy, yes you did what would be looked at as the next best, however the IRS calls for an appraisal for the estate tax issue. From my A R Blog...

Date of Death Appraisal; When someone dies, it is necessary to value all of the decedent’s assets, including real property such as real estate. As part of the valuation of assets at death by an estate tax appraiser, a date of death valuation determines the Fair Market Value of real estate as of the date that the owner died. This property valuation is used to determine if a federal estate tax return is due to the IRS, and the amount of estate tax, if one is owed. This is part of what is sometimes referred to as the death tax. The valuation of the property is also used to determine the new income tax basis for the decedent’s assets when they are passed on to the person’s heirs. These types of appraisals are usually done as a retrospective date.

Aug 01, 2015 12:39 AM
Eileen Burns 954.483.3912
Trans State Commercial Realty Inc. - Fort Lauderdale, FL
FLorida Real Estate Connector

Wonderful post Peggy James  As a recently Certified Probate Real Estate Specialist in Florida,I would also consider your respective state laws on whether probate would be required and when the Administrator has the authority to sell the property.  there are also resources for funds to fix up and repair prior to selling property.  Anthony brought up tax issues as well. 

When the sale does take place, what does the person who is inheriting antiticipate doing with proceeds...buying another property?

Aug 01, 2015 01:27 AM
Jan Green - Scottsdale, AZ
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

Great story of the underlying most of us stay in this business!  Helping others is paramount to what we can do and the smiles will always be remembered on both sides when everyone is happy with the outcome.  Kudos to you!

Aug 01, 2015 01:42 AM
Gay E. Rosen
Julia B. Fee Sotheby's International Realty - Larchmont, NY
As Real as Real Estate Gets!

Hi - I am working with a lady selling her father's estate.. It is a process.  I would ike to maximize her sales price, have reduced the taxes for her, paid for  lawn clean-up, and have spent over 20 hours already cleaning the house personally.. I will be introducing it onto the market and hopefully those investors will come... (multiple bidding always welcomed).

Aug 01, 2015 02:07 AM
Peggy James
SAMSON PROPERTIES - Woodbridge, VA
Woodbridge Virginia Area Real Estate Specialist

Gary E Rosen- I have done that as well. When  the family has the abilty to pay the mortgage and their is no risk of lossing the home listing it is the way I would normal route  I would take. Good luck!

Aug 01, 2015 03:39 AM
Kimo Jarrett
Cyber Properties - Huntington Beach, CA
Pro Lifestyle Solutions

Unfortunate circumstances, yet a wonderful solution, thanks to you and being so virtuous. 

Aug 01, 2015 05:20 AM
Jeanne Gregory
RE/MAX Southwest - Sugar Land, TX
The most important home I sell is YOURS!

I probably wouldn't have gone about it that way, but glad you were able to help them. 

Aug 01, 2015 07:17 AM
Mary Hutchison, SRES, ABR
Better Homes and Gardens Real Estate-Kansas City Homes - Kansas City, MO
Experienced Agent in Kansas City Metro area

Great post!  You saved the day.  Glad the client was happy with your services.

Aug 01, 2015 08:52 AM
Troy Erickson AZ Realtor (602) 295-6807
HomeSmart - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Peggy - This is a great example of being creative as a real estate agent. You have the resources to help buyers and sellers in different ways according to their needs, and have still found a way to get paid out of the deal. Very well done.

Aug 01, 2015 09:17 AM
Ernest Villafranca
Better Homes and Gardens Real Estate - Oakland, CA
3923 Grand Ave. Oakland CA, 510-418-9443

"I think I need to talk to you about selling it (the house)."

I would have gotten the listing and put it on the market. Get highest, and best, and get paid :)

Aug 01, 2015 10:51 AM
Dan Derito
Success! Real Estate - Brockton, MA

Nice post Peggy.  It never hurts to do the right thing. 

Aug 01, 2015 12:05 PM
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

I enjoy helping people in situations like that.  It is why I specialize in probate real estate.  I'll be meeting with an executor tomorrow ... am told the decedent was a hoarder. There will be lots of work that needs to be done, not necessarily repairs, before the home can be sold. 

You did a great job helping her settle her mom's estate and get on with her life!

Aug 01, 2015 12:10 PM
Chris Lima
Turtle Reef Realty - Port St Lucie, FL
Local or Global-Allow me to open doors for you.

Great post, Peggy and.  I like the fact that you presented the family with sound options, allowing them to ultimately make the decision that worked for them.

Aug 01, 2015 10:15 PM
The Derrick Team - Indy Metro Realtors
Carpenter Realtors - Avon, IN
Your Pet Friendly Realtors

Realtors always find themselves helping those in need. Great advice to call a 'local' agent in this case.

Aug 02, 2015 01:42 AM
Terry McCarley
Coastal Real Estate - Cape Coral FL - Cape Coral, FL
REALTOR, SRES, CDPE - Cape Coral, FL

Great job Peggy!  I deal with similar situations fairly often since so many people retire here.  Just had a call last week asking about the companies like "we Buy Ugly Houses".

Aug 02, 2015 04:39 AM
Rebecca Gaujot, Realtor®
Lewisburg, WV
Lewisburg WV, the go to agent for all real estate

Peggy, you are, in my book, the agent with a heart.  I think some agents would have asked for the listing no matter what the house looked like.  Excellent job helping her settle her mom's estate and get on with her life!  I enjoyed reading this post... I call it a good feel post.

Aug 02, 2015 12:01 PM
Winston Heverly
Coldwell Banker Access Realty - South Macon, GA
GRI, ABR, SFR, CDPE, CIAS, PA

A very helpful post, Im glad I came across it in the AR's data base.

Aug 09, 2016 11:35 AM