Guide to Selling Inherited Property With Multiple Owners

Inheriting a property with multiple owners can be a complex and emotional process, especially when navigating the legal requirements in Missouri.

When you find yourself in this situation, it’s essential to understand the state’s probate laws, ownership structures, and potential challenges that may arise. Below, we look at how to sell your inherited property fast when multiple owners are involved.

Missouri Probate Laws for Multiple Home Owners

When dealing with an inherited property in Missouri, it’s crucial to understand the relevant probate laws that govern the transfer of ownership. Here are some key Missouri probate laws to be aware of:

  1. Determination of Heirship (Missouri Revised Statutes § 473.663): This law outlines the process for determining the legal heirs of a deceased person and their respective shares in the inherited property.
  2. Partition of Real Estate (Missouri Revised Statutes § 528.010): If co-owners cannot agree on how to handle the inherited property, this law allows for the partition or division of the property through a court-supervised process.
  3. Probate Administration (Missouri Revised Statutes § 473.097): This law governs the administration of a deceased person’s estate, including the distribution of assets to heirs and the payment of debts and taxes.

Understanding these laws can help you navigate the probate process smoothly and ensure that you comply with all legal requirements when selling an inherited property in Missouri.

Understanding Ownership Structures During Probate

The ownership structure of the inherited property can significantly impact the decision-making process and the selling process during probate. Here are some common ownership structures and their implications:

  • Tenancy in Common: Each co-owner has an undivided interest in the property, and their share can be transferred or sold independently. This structure can make decision-making more complex, as all co-owners must agree on major decisions.
  • Joint Tenancy with Right of Survivorship: Co-owners have equal ownership rights, and upon the death of one owner, their share automatically transfers to the remaining owners. This structure can simplify the probate process but may still require agreement among co-owners for selling the property.
  • Community Property: In Missouri, property acquired during a marriage is generally considered marital property, and each spouse has an equal ownership interest. This structure can impact the distribution of proceeds from the sale.
  • Trust Ownership: If the property was held in a trust, the terms of the trust will dictate the ownership structure and the process for selling the property.
  • Sole Ownership: If the property was solely owned by the deceased, the ownership will transfer to the designated beneficiary or heir, who will have the sole decision-making authority for selling the property.

Establish Clear Communication Between All Parties

Effective communication among co-owners is crucial when selling an inherited property during probate. It’s essential to establish open lines of communication from the outset and address any potential conflicts or disagreements early on.

Set up regular meetings or conference calls to discuss the selling process, share updates, and make decisions collaboratively. Agree on a primary point of contact to facilitate communication and ensure that all co-owners are kept informed.

By maintaining open and transparent communication, you can minimize misunderstandings and increase the chances of a smooth selling process.

Agree on Selling Objectives and Timelines

Before listing the property for sale, it’s important to align your goals and expectations with those of your co-owners. Discuss and agree on the desired selling price, the timeline for selling, and any specific requirements or preferences each co-owner may have.

Set realistic timelines for the selling process, taking into account factors such as the local real estate market in Missouri, the condition of the property, and any necessary repairs or renovations. Creating a timeline that accommodates all co-owners’ needs and constraints can help ensure a smoother process.

Here’s an example timeline:

  • Week 1: Hire a real estate agent and prepare the property for listing
  • Week 2-4: List the property and hold open houses
  • Week 5-8: Review offers and negotiate with potential buyers
  • Week 9-12: Complete the sale and distribute proceeds

Obtain Legal Counsel and Professional Advice

Navigating the sale of an inherited property with multiple owners in Missouri can be complex, and it’s advisable to seek professional guidance. Consult with a qualified real estate attorney who can provide legal advice and ensure that you comply with all relevant Missouri laws and regulations.

If disagreements arise among co-owners, consider hiring a mediator or facilitator to help resolve conflicts and reach a mutually agreeable solution. These professionals can provide an objective perspective and help facilitate productive discussions.

Explore Home Selling Options During Probate

When selling an inherited property during probate in Missouri, you have several options to consider. Here are three common selling options:

  • Cash Home Sale: This option involves selling the property to a cash buyer, such as an investor or a company that purchases homes for cash. Cash sales can be faster and more convenient, but you may receive a lower sale price.
  • Traditional Home Sale: Listing the property with a real estate agent and selling it on the open market is the traditional route. This option may take longer but can potentially yield a higher sale price in Missouri’s real estate market.
  • For Sale by Owner (FSBO): You can choose to sell the property without the assistance of a real estate agent, which can save on commission fees but requires more effort on your part.

Closing the Sale and Distribution of Proceeds

Once you’ve accepted an offer and completed the necessary paperwork, the sale can be finalized. During the closing process, it’s essential to ensure that all legal and financial obligations are addressed, such as outstanding property taxes or debts in Missouri.

After the sale is complete, the proceeds will need to be distributed among the co-owners according to their respective ownership interests or as agreed upon. It’s crucial to have a clear understanding of each co-owner’s share and to distribute the funds accordingly.

Handling Potential Disagreements or Challenges

Despite your best efforts, disagreements or challenges may arise during the selling process in Missouri. Co-owners may have differing opinions on pricing, timelines, or other aspects of the sale. It’s important to address these conflicts promptly and professionally.

If disagreements persist, consider seeking the assistance of a mediator or facilitator to help resolve the issues. These professionals can provide an objective perspective and help facilitate productive discussions, ultimately leading to a mutually agreeable solution.

Remember, open communication, compromise, and a willingness to find common ground are key to successfully navigating potential conflicts during the selling process in Missouri.

Sell Your House Fast in St. Louis, Missouri

If you need to sell your house fast but don’t want the hassle of a traditional home sale, contact Klamen Real Estate Buyers. We buy houses as-is. No repairs are needed. Avoid closing costs and realtor commissions. Close in as little as seven days. Call 314-230-9552 and get a fast cash offer from our local home buyers in Missouri.