Congratulations! You’ve Inherited Grandma’s House In Florida Along With Lots Of Liability You Weren’t Expecting!
You are generally not personally liable for the deceased’s debts. However, any “involuntary” liens, such as mortgage liens, unpaid taxes or judgments, remain attached to the property. That means that they are your problem now. You need to address them as soon as possible to keep the house long enough to sell it. Grandma also left you with responsibility for maintaining the property. You are also responsible for code enforcement liens if you don’t maintain the property. You are also subject to potential capital gains taxes if you sell it later.
The Ongoing Expenses You Have Also Inherited:
- Mortgage Payments: If there is a mortgage on the property, you are not personally responsible for paying it. However, if you don’t make the payments, the lender can still foreclose on the house.
- Property Taxes: You are responsible for paying property taxes that are due after you inherit the home.
- Homeowner’s Insurance: You must maintain homeowner’s insurance to protect the property especially if there is a mortgage.
- Liens: Involuntary liens, such as property tax liens or special assessments or liens from a creditor remain with the property. Guess what? They are now your responsibility. You will need to pay off these liens to clear the title. Warning: They could end up on your credit report!
- Mortgages as Secured Debts: A mortgage is a secured debt. This means the lender has a security interest in the property.
Your Options and Responsibilities:
- Live in the House: You can move into the home and take on the financial obligations.
- Sell the Property: You can sell the house to pay off any outstanding debts, including the mortgage.
- Rent the Property: You can rent out the property and use the rental income to cover expenses.
Important Considerations:
In many cases with inherited properties in Florida, the property is a mess. It’s obvious Grandma has been living in the nursing home for awhile. The grass is 2 feet high and there are warnings from code enforcement taped on the front door. Who knows what kind animals are living in the grass or in the murky florescent green waters of Grandma’s pool.
The inside of the house looks like your walking into a 1970s time capsule. Grandma’s house has plastic covering the furniture and lime green kitchen appliances. It’s apparent grandma meant well but she left with you with giant money pit. So what do you do?
Call The Inheritence Specialists At Foreclosure Defense Network At 1.888.214.6377
