In today’s post, I will share with you the process I go through to buy an inherited property in Tucson. From the first appointment to the final offer submission. Follow along with me as I share with you the steps I take to make offers on homes even in the midst of the Coronavirus Pandemic.
Who Buys Inherited House In Tucson?
Inheriting a property in Tucson can be a tremendous blessing.. or curse depending on the circumstances. If you were left unprepared for inheriting a house in Tucson then you can find yourself in the a whirlwind of issues you may have never considered.
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There are several questions that need to be asked quickly however. One of the biggest and most important issues you face when selling your inherited home in Tucson is the issue of any remaining mortgage.
Is there a mortgage on the property?
If there is a mortgage on the home you’ve inherited, the details of the mortgage might affect how quickly you decide to sell or rent the property.
- Due-on-sale clause: See if the mortgage has a due-on-sale clause, which states that the entire loan is due and payable if the borrower transfers the property to someone else, especially a non-family member. This clause may make it necessary for you to either pay off the mortgage in full or sell the property. When family members inherit a property, they can usually just assume the mortgage payments instead.
- Reverse mortgage: In a reverse mortgage, which is a financial product popular with older homeowners looking to access their home’s equity without moving, the original owner receives ongoing cash for the equity in the home, repaying the loan upon moving out. Upon the original owner’s death, the beneficiary often has a limited time to repay the amount due — usually six months. You’ll need to pay the balance with your own funds, sell the home to satisfy the loan or get a new loan in your name to cover the amount due.
- Underwater properties: If the property you’re inheriting is underwater (meaning more is owed on it than it’s worth), the issuing bank may agree to let you do a short sale on the home, accepting less for the property than the remaining loan amount.
- Mortgage paid off by the estate: While the person leaving the home to you may have had a mortgage on the property while they were living, it’s possible that the mortgage was paid off by their estate, and you own the home free and clear.
How I Determine Home Value To Make An Offer
What is “Fair Market Value”? Fair market value isn’t what you typically think . The fair market value of a property is the price that a willing and knowledgeable buyer would pay to a willing and knowledgeable seller, when both parties are acting voluntarily and in their best interests.
Every piece of real estate is unique, with a unique market value that varies over time. An appraisal is not the definitive market value of a home. It is an opinion of value by one appraiser at one point in time, based on their analysis of market data. Valuation of real estate is partially data-driven and partially subjective. If you ordered three appraisals, you would likely receive three different values for a home.
How To Determine A Fair Cash Offer
A cash offer (or private financed) is better than a traditionally financed buyer. Since cash and private financing make up a majority of the investing world, it makes sense that a professional homebuyer will use various types of financing.
A cash offer goes faster, with less risk for the seller. Additionally there’s always the chance that some change in the buyer’s finances since pre-approval will cause the lender to deny them the loan. Without the mortgage underwriting process, sellers save time and avoid any risk.
How To Write An Offer During Covid-19
Even during a Covid-19 outbreak, people still need to buy and sell real estate. However, because of mandatory closing of certain business and operations, closing and dates must be accounted for differently. Especially when you are buying an inherited house in Tucson, there are special forms that are available.
The Covid-19/Coronavirus Addendum that was promulagated by the Arizona Association of Realtors makes this easy and safe for both Buyer and Seller. As a licensed Realtor® and Broker here in Arizona, when I buy an inherited house in Tucson I use the Arizona State Contract to ensure that all parties are protected and accountable to the terms of the contract.
Do You Have An Inherited House In Tucson?
If you have an inherited home in Tucson, feel free to reach out to me for a fair, fast, no obligation review of your property and your particular situation. Each property is different, and each situation is different. This case study is just one way that I have to solve real estate problems!
Feel free to reach out to me by using the form below, or calling me directly at (520) 403-6227!
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