Selling an Inherited Property
The conveyancing is often the easy part. It is the authority to sell (probate in England, confirmation in Scotland) and the tax and empty-property questions that add the time.
The Short Version
- You need probate (England & Wales) or confirmation (Scotland) to complete a sale
- You can market before the grant, but not usually complete without it
- Personal representatives or executors carry out the sale
- Watch for unregistered title, missing documents and poor condition
- Sort unoccupied-property insurance and security for an empty home early
- Inheritance tax and capital gains tax both need proper advice
The first hurdle: authority to sell
You cannot sell an inherited property until you have the legal authority to deal with the deceased's estate. Obtaining that authority is a separate process that runs before, or alongside, the conveyancing, and it differs by jurisdiction:
- England and Wales: the personal representatives obtain a grant of probate (where there is a will) or letters of administration (where there is not). This grant is what proves their authority to sell.
- Scotland: the executors obtain confirmation from the sheriff court, the Scottish equivalent, which lists the estate and authorises them to deal with it.
You can market the property before the grant or confirmation is issued, and often should to avoid losing time, but you cannot usually complete a sale without it. Buyers and their solicitors will want to see it, and delays in obtaining it are the most common cause of hold-ups in probate sales.
Who sells the property
The sale is carried out by the personal representatives (England and Wales) or executors (Scotland), the people legally responsible for administering the estate. If they are also the beneficiaries, the process is simpler; if not, they act on the beneficiaries' behalf and owe them duties. Where there are several personal representatives or executors, they generally all need to be party to the sale.
Title and registration issues
Inherited properties, especially those owned by the deceased for many years, can carry title complications that a normal sale does not:
- Unregistered title: older properties may never have been registered, requiring the deeds to be produced and first registration dealt with
- The deceased still on the title: the transfer of the legal title into the personal representatives' or beneficiaries' names has to be handled correctly
- Missing documents: guarantees, planning consents and certificates that a living owner would hold may be lost, sometimes requiring indemnity insurance
- Property in poor condition: a long-unoccupied home may need work, or may be sold as-is, sometimes at auction
Empty-property considerations
An inherited property is often empty for a period, which brings practical issues your solicitor and you should keep in view: insurance (standard policies often restrict cover on properties unoccupied beyond a set period, so specific unoccupied-property insurance may be needed), security, council tax (empty-property rules and any exemptions vary by council), and maintenance to prevent deterioration and problems like damp or burst pipes.
The tax picture
Selling inherited property engages more than one tax, and the position benefits from proper advice:
- Inheritance tax may be payable on the estate as a whole, depending on its value and the available allowances. This is an estate matter, dealt with as part of obtaining the grant or confirmation, and it can affect timing because tax may need to be paid before the grant issues.
- Capital gains tax can arise if the property rises in value between the date of death and the date of sale. The base cost is usually the value at death, so a quick sale often means little or no gain, but a property held and sold later, or after refurbishment, may produce a taxable gain for the estate or beneficiaries.
Because inheritance tax and capital gains tax interact, and reliefs may apply, it is worth taking advice from a solicitor or accountant rather than assuming the position.
If the property passes to you before sale
Sometimes the property is transferred to a beneficiary who then sells it in their own name, rather than the estate selling directly. This can change the tax analysis (for instance, whether any private residence relief is available if the beneficiary lives there) and the conveyancing, since the beneficiary becomes the registered owner first. Which route is better depends on the circumstances and is worth discussing before deciding.
Keeping it moving
The keys to a smooth inherited-property sale are starting the grant or confirmation process promptly, instructing a solicitor experienced in probate or executry sales, sorting empty-property insurance early, and getting tax advice before rather than after decisions are made. The conveyancing itself is often straightforward; it is the authority-to-sell and estate-administration layer that adds the time and complexity.
A Note on Jurisdiction
The authority to sell differs by jurisdiction: England and Wales use a grant of probate or letters of administration, while Scotland uses confirmation from the sheriff court. The tax treatment also has jurisdiction-specific features; take local advice.
Common Questions
Frequently Asked Questions
Can I sell an inherited property before probate?
You can market it, and often should to save time, but you generally cannot complete the sale without the grant of probate or letters of administration in England and Wales, or confirmation in Scotland. This grant proves the personal representatives' or executors' authority to sell, and buyers' solicitors will require it. Delays in obtaining it are the most common cause of hold-ups in probate sales, so start the process promptly.
What is the Scottish equivalent of probate?
In Scotland the process is called confirmation, obtained from the sheriff court. It lists the deceased's estate and authorises the executors to deal with it, serving the same function as a grant of probate or letters of administration in England and Wales. As with probate, you generally cannot complete a sale of the property until confirmation has been issued.
Do I pay capital gains tax on an inherited property I sell?
Possibly, if the property rises in value between the date of death and the date of sale. The base cost is usually the value at death, so a quick sale often produces little or no gain, but holding the property and selling later, or after refurbishment, can create a taxable gain. Inheritance tax on the estate is separate. Because these taxes interact and reliefs may apply, take advice from a solicitor or accountant.
What should I do about an empty inherited property?
Address insurance, security, council tax and maintenance early. Standard insurance often restricts cover once a property is unoccupied beyond a set period, so you may need specific unoccupied-property insurance. Check the council's empty-property rules and any exemptions, keep the property secure, and maintain it to prevent damp, burst pipes and deterioration while the sale progresses. These practical issues are easy to overlook amid the estate administration.
Keep Reading
Related Guides and Pages
Unregistered Land
Common with long-held inherited properties.
Indemnity Insurance
For the missing documents inherited homes often have.
The Scottish Process
How executry sales fit the Scottish system.