Inherited a House in Texas? Here's What to Do (Austin, Waco, Temple Area)

Inheriting a house in Central Texas can feel overwhelming, especially when you're already dealing with the loss of a loved one. Whether the property is in Austin, Waco, Temple, or a smaller surrounding town, you have several options - and selling for cash might be the simplest solution.

Common Challenges with Inherited Properties

Most people who inherit Texas homes face these issues:

• Property is in poor condition and needs major repairs

• It's located far from where you live (maybe you're in Houston but inherited a Temple house)

• There are multiple heirs who need to split the proceeds

• The home has unpaid property taxes or liens

• You can't afford to maintain another property

• You simply don't want to be a landlord

Your Options for an Inherited Texas Property

Option 1: Keep It and Rent It This works if the property is in good condition and you want rental income. But managing a Central Texas rental from out of state is challenging and expensive.

Option 2: List It Traditionally Selling through a real estate agent gets you top dollar, but requires repairs, staging, and 2-4 months of waiting. Plus you'll pay 6% in commissions.

Option 3: Sell for Cash Cash buyers purchase inherited homes as-is, close quickly, and handle all the paperwork hassle. This is ideal when you need to split proceeds among siblings or simply want the property off your hands fast.

Texas Inheritance Tax Laws

Good news: Texas has no state inheritance tax or estate tax. However, you may owe federal estate tax if the estate exceeds $13.61 million (2024 threshold). Most inherited homes won't trigger this.

Capital Gains Considerations

When you inherit property, you receive a "step-up in basis" - meaning the property's value is reset to its fair market value on the date of death. If you sell shortly after inheriting, you typically owe little to no capital gains tax. Consult a CPA for your specific situation.

The Probate Process in Central Texas

If the property must go through probate, you typically can't sell until:

• The will is validated by the court

• An executor is appointed

• Creditors are notified

• The court approves the sale

This process takes 6-12 months in Texas. However, if you're the executor, you can often accept a cash offer contingent on probate approval, speeding up the timeline.

Selling an Inherited House As-Is

Most inherited Central Texas properties need work - the previous owner was often elderly or ill and deferred maintenance. Cash buyers specialize in these situations:

• Buy houses with foundation issues, roof damage, outdated systems

• Purchase properties with personal belongings still inside

• Handle estate sales and cleanouts if needed

• Work with your timeline (probate delays, sibling negotiations, etc.)

Multiple Heirs? Cash Sales Make It Easier

When siblings inherit property together, disagreements are common. One wants to keep it, another wants to sell, a third can't afford their share of repairs. A cash sale provides:

• Quick resolution (close in 2-3 weeks)

• Equal split of proceeds

• No ongoing expenses or management disputes

• Clean break for everyone involved

Common Questions

Q: Can I sell before probate closes? A: In Texas, you can typically accept an offer contingent on probate approval, then close once it's finalized.

Q: What if the property has back taxes? A: Cash buyers can close even with tax liens - they're paid from proceeds at closing.

Q: Do I have to clean out the house? A: No. Cash buyers purchase properties with contents included and can coordinate estate sales if you want.

Next Steps

If you've inherited a Central Texas property and want to sell quickly without repairs or hassle, request a free cash offer. We serve Austin, Waco, Temple, Belton, Killeen, and all surrounding areas.

Clear Path Closing - Licensed Texas Real Estate Professionals serving inherited property sales throughout Central Texas