Inheriting property can be a complex matter to handle during a difficult time. While still facing the loss of a family member, you will need to deal with the financial and taxation matters surrounding the inheritance – but if the recently deceased prepared their estate for their death, then you may find the process much simpler and easier. First and foremost, a legal will can help make inheriting property a simple matter and good financial documentation can aid with handling inheritance tax.
The process of inheriting property can be broadly defined as follows:
- The executor, or administrator, of the will first sets about repaying remaining debts and loans from the value of the deceased's estate.
- Inheritance tax may then be levied is the estate's value is high enough. Any property that the deceased held does count towards this total.
- If there is not enough money in the estate to pay for the above two matters, then property may be sold to provide the funds. Alternatively, beneficiaries who would receive the property as part of the will can make contributions towards the required sum to help avoid the sale, if you would prefer to keep the property.
- If you are inheriting the property from a spouse or civil partner then there will be no inheritance tax to pay.
When it comes to inheriting property, getting professional advice from qualified experts can be worthwhile. By filling out our online enquiry form, you can get in touch with UK financial consultants who are offering a free initial consultation.