Selling an Inherited Home in Pennsylvania: What Executors Need to Know
Bodacious Estate Conversations | Episode 112
Featuring Brad Leber, Real Estate Attorney | MPL Law Firm
Selling a home after a loved one’s death can involve more than preparing the property and finding a buyer. Families may need to determine who has authority to act, understand how the will affects the property, coordinate the distribution of belongings, and plan for expenses and taxes.
In Episode 112 of Bodacious Estate Conversations, host Kasey King speaks with Brad Leber, a real estate attorney at MPL Law Firm, about legal issues that can arise when an executor or family member is preparing to sell estate property. The conversation offers a practical reminder: clarify the legal and family questions early, before a contract or cleanup creates additional complications.
Confirm who has authority before signing a contract
A relative may assume that being an adult child or the person named in a will automatically gives them authority to sell a parent’s home. That assumption can create delays if the person signing the agreement has not confirmed their legal role and the property’s title.
The starting point is to review the deed, the will if one exists, and the estate’s status. In Pennsylvania, title to real estate generally passes at death to heirs or beneficiaries named in a will, subject to the powers of the personal representative, the will, and court orders. How a particular property can be transferred depends on those details.
A person named as executor in a will may still need to complete the required probate process and obtain formal authority before acting for the estate. If there is no will, an eligible person may need to ask the Register of Wills to appoint an administrator. The appointment process and documents required depend on the circumstances.
Before signing a sale agreement, contact an estate attorney or title professional to confirm who must sign and what documents the buyer and title company will need. A vehicle transfer and a real estate transfer follow different processes; completing one does not establish authority to sell the other.
Read the will and understand the options for the property
A home does not necessarily have to be sold just because its owner has died. A will may leave the property to a particular beneficiary. In other situations, the family may consider whether one person will keep the home while other beneficiaries receive other assets, subject to the estate’s documents, finances, and applicable legal requirements.
If the property is sold, the proceeds may be used to pay estate obligations and taxes before any remaining funds are distributed. The executor should not promise a specific share or distribution until the estate’s obligations and the will’s instructions have been reviewed.
When family members disagree about who should serve as representative or what should happen to the home, resolving the question before listing the property can help avoid confusion later. If the family cannot reach agreement, legal counsel can explain the available process.
Plan the cleanout with the family
Preparing an inherited home often means deciding what happens to furniture, household goods, and personal keepsakes. Brad notes that an auction may be one way families sell belongings and clear a property, but some items may be reserved for relatives.
Before the cleanout begins, make a written list of items the family wants to keep, sell, donate, or discard. Confirm who will collect reserved belongings and by when. A clear plan can reduce misunderstandings and help prevent family keepsakes from being mistakenly included in a sale.
Ask what disclosure rules apply
The episode emphasizes communicating known property problems rather than making assumptions about what a buyer will discover. The relevant rules can depend on who is selling and in what capacity.
Pennsylvania’s Real Estate Seller Disclosure Law generally addresses known material defects in residential property, but it expressly excludes certain transfers by a fiduciary during administration of a decedent’s estate. That statutory exception does not answer every question about a specific sale, so executors should ask their attorney what disclosure requirements apply and avoid inaccurate or misleading statements about the property.
Keep relevant records, such as repair invoices, inspection reports, and written information about known issues. If you are uncertain how a particular condition should be handled, get legal guidance before listing or signing a contract.
Account for inheritance tax and sale proceeds
Pennsylvania inheritance tax may affect what beneficiaries ultimately receive. The Department of Revenue lists rates that vary by the beneficiary’s relationship to the person who died. For example, the current listed rates include 4.5% for direct descendants and lineal heirs, 12% for siblings, and 15% for other heirs; a surviving spouse’s rate is 0%. The applicable rules depend on the date of death and the circumstances of the transfer.
The sale price is not necessarily the same as the amount available for distribution. Ask the estate’s attorney, tax professional, and title company how taxes, liens, expenses, and any required reserves or escrow could affect the closing and later distribution.
Get guidance before problems compound
The main takeaway from Brad’s conversation is to clarify authority, title, and estate obligations before moving ahead with a sale. Make a plan for the home’s contents, ask which disclosure rules apply, and understand how taxes and other costs may affect the proceeds.
This article is for general educational purposes and is not legal or tax advice. Estate and property transfers depend on individual facts and current law. Consult a qualified Pennsylvania estate attorney and tax professional about your situation.
Watch or Listen to Episode 112
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