How to Sell an Inherited House in Florida: Probate, Homestead, and Your Options

Losing a parent or relative is hard. Then you find out you now share a house, a mortgage, a tax bill, and a lot of paperwork. You do not have to figure it all out in one day. This guide walks through the Florida rules in plain English, what to do first, and how each way of selling fits an inherited home.

What to Do First

Before you think about price, protect the house and the estate. These steps help no matter how you sell.

• Secure the property. Lock it, change the locks if many people have keys, and check on it often.
• Call the insurance company. Tell them the owner passed away. Ask if the policy still covers the home, especially if no one lives there now.
• Keep the mortgage paid if you can. Late payments add fees and can lead to foreclosure. Call the servicer, explain what happened, and ask what they need from you.
• Find the papers. Look for a will, a trust, the deed, mortgage statements, tax bills, and insurance policies. Order several certified death certificates.
• Do not sign a sale contract yet. Until you know who has legal authority to sell, a contract you sign may not hold up. Talk to a Florida probate attorney first.

Step One: How Did the House Pass?

This is the most important question. The answer decides who can sell and how long it takes.

Outside of probate

Some homes skip probate. A Florida probate attorney lists the common ways:

• A living trust. The successor trustee can sell it without the probate court.
• Joint ownership with survivorship, or tenancy by the entireties between spouses. The surviving owner already owns it.
• An enhanced life estate deed, often called a Lady Bird deed. Title passes to the named people at death.

Even then, the title company will want proof, like a death certificate and other records, before closing.

Through probate

If the house was only in the person’s name, with no trust or special deed, it usually goes through probate. The Florida Bar calls probate a court process for gathering a person’s assets, paying debts, and passing what is left to the people entitled to it. The court appoints a personal representative to handle it. The Florida Bar says a personal representative should always hire a qualified attorney.

Formal Probate vs Summary Administration

Florida has two main kinds of probate.

Formal administration

This is the full process. A personal representative is appointed and gets Letters of Administration. Notice to creditors is published. Creditors who get notice generally have three months to file a claim. The Florida Bar says a simple probate estate takes about five or six months to handle. Many take longer.

Summary administration

This is a shorter path with no personal representative. Under Florida Statute 735.201, it can be used when the Florida estate, less property that is exempt from creditors, is worth $150,000 (for deaths on or after July 1, 2026; $75,000 for earlier deaths) or less, or when the person has been dead for more than 2 years. If there is a will, it must not require formal administration. Because the home is often the largest asset, many estates with a house will not fit the dollar limit unless the house is protected homestead. Ask a probate attorney.

Florida Homestead Rules for Heirs

Florida protects a person’s homestead in special ways. If the house was the person’s main home, these rules may apply.

• Creditor protection. The Florida Bar notes that homestead property is exempt from the claims of creditors.
• A surviving spouse has rights. Under Florida Statute 732.401, if the person left a spouse and children or other descendants, the spouse generally gets a life estate and the descendants get the rest. The spouse can instead choose an undivided one-half interest as a tenant in common. That choice must be made within 6 months after the death.
• The heirs sign, not the personal representative. A Florida probate attorney explains that protected homestead is not part of the probate estate, so the personal representative has no authority to sell it. The heirs who own it sign the deed.
• Title companies want a court order. Most will ask for an order that determines homestead status and names the people who own it.

If a spouse holds a life estate, the spouse and the other owners usually all need to agree to sell. This is a common reason inherited home sales take longer.

What About the Mortgage?

A loan does not go away when the borrower dies. But heirs have more protection than many people think.

The federal Garn-St Germain Act lists transfers that lenders cannot use to call a home loan due. One of them is a transfer to a relative that results from the borrower’s death. Another is a transfer where the borrower’s spouse or children become an owner.

The Consumer Financial Protection Bureau also says that people confirmed as successors in interest, such as heirs, generally get the same protections under its mortgage servicing rules as the original borrower. That includes access to loss mitigation options.

So you may have time to decide. But interest and payments keep coming due. If no one pays, the lender can still foreclose.

If there is a reverse mortgage

Many Florida retirees have a reverse mortgage. The CFPB explains that after the lender sends a due and payable notice, heirs generally have 30 days to buy the home, sell it, or turn it over to the lender, and the time may be extended up to about six months to sell or arrange financing. To keep the home, heirs must pay the full loan balance. To sell, they repay the balance, or at least 95 percent of the appraised value if the home is worth less than what is owed. The CFPB says mortgage insurance covers the rest. Call the servicer early and keep every letter.

Clearing Title Before You Sell

Any buyer, including a cash buyer, needs clear title. A licensed title company will search for:

• Every person who now owns a share and must sign
• Mortgages, liens, and judgments
• Unpaid property taxes
• Code or permit problems that need a municipal lien search

If one heir lives out of state, signing can usually be handled with a mobile notary or online notary. If heirs do not agree on selling, talk to a Florida attorney about your choices.

Taxes on an Inherited House

IRS Publication 551 says the basis of inherited property is usually its fair market value on the date of death. This is often called a stepped-up basis. If you sell close to that value, your taxable gain may be small. Get an appraisal or other proof of value as of the date of death, and talk to a tax professional.

How Each Sale Option Fits an Inherited House

Once you know who can sign, you can compare ways to sell. Here is how each one tends to fit.

Cash sale, as is

Good when the house needs work, is full of belongings, or heirs live far away. You skip repairs and cleanouts. The price is usually lower than a retail sale, so compare your net. Learn more in our guide to cash offer vs listing vs selling on terms.

1% listing

Good when the house could sell for more on the open market and the heirs can wait for a buyer. We list it on the MLS for a 1% listing fee through our licensed Florida real estate partner. It takes longer than cash, and the heirs may need to handle repairs or a cleanout before showings. See how a 1% listing works.

Subject to the existing mortgage

Can fit when the house has a low interest rate loan and little equity. Be careful here. The loan stays in the original borrower’s name, and the due-on-sale clause can apply to a sale to an outside buyer. Read our subject-to guide and have the estate’s attorney review it.

Seller financing

Can fit when the house is paid off and the heirs would like monthly income instead of one lump sum. The buyer pays the heirs over time. It needs a well written note and mortgage, so use an attorney.

How HOMKEYS Helps With Inherited Homes

HOMKEYS LLC buys homes across Florida, including inherited and estate homes. We can show you a cash offer and, when it fits, creative terms like seller financing or a subject-to purchase, or a 1% listing through our licensed partner brokerage. We work with your probate attorney and a licensed Florida title company, so the right people sign and title is clear. We do not give legal or tax advice, and we cannot promise a price or closing date before we see the home and the paperwork.

Subject to qualification, property inspection, and transaction terms.

We buy in many areas, including Lake Wales, Lake City, Spring Hill, and Pensacola. Want to see your options? Share a few details about the property or call us at (305) 914-4191.

Inherited a house in Lake County? Probate there is filed in Tavares. Our Lake County page covers the local steps, offices and towns, from Eustis and Leesburg to Clermont and Mascotte.

Frequently Asked Questions

Not legal advice. This guide is general information about Florida home sales. Laws change and every situation is different. Talk with a Florida attorney, tax professional, or insurance professional about your own case before you sign anything.

⌂ Equal Housing Opportunity. HOMKEYS LLC does not give legal or tax advice. Talk with a Florida real estate attorney or tax professional about your situation.