Probate & Inherited Property FAQ: Questions New York Homeowners Ask
Hudson River Realtors | Referral Network Serving New York State
How long does probate take in New York?
Straightforward estates typically take 7 to 12 months from filing to final distribution. Contested estates or those with complex assets can take significantly longer. The executor can usually list the property once Letters Testamentary are issued, which takes 4 to 8 weeks in uncontested cases.
Can I sell inherited property before probate is complete?
You can list and sell the property once the executor has Letters Testamentary, even if the overall probate is not complete. The sale proceeds go into the estate account and are distributed after all estate debts and obligations are satisfied.
Do I have to pay capital gains tax on inherited property?
Only on appreciation above the stepped-up basis (fair market value at the date of death). If you sell soon after inheriting at approximately the same value, your capital gains tax may be minimal or zero.
What if there is no will?
If there is no will, the property passes according to New York intestacy laws. The Surrogate's Court will appoint an administrator (usually the closest next of kin) who has the authority to manage and sell estate property, though they may need court approval for the sale.
Can one beneficiary force the sale of inherited property?
Yes, through a partition action — a lawsuit requesting the court to order the sale of jointly owned property. Partition actions are a last resort when beneficiaries cannot agree, and they can be costly and time-consuming.
Should I sell the inherited property as-is?
It depends on the property's condition, the estate's financial resources, and the beneficiaries' timeline. Selling as-is is faster and requires no upfront investment but typically yields a lower price. Your agent can compare both scenarios for your specific property.
What expenses can the estate deduct?
The estate can deduct real estate commissions, legal fees, executor fees, property maintenance and repair costs, property taxes paid during administration, and other expenses reasonably incurred in managing and selling the property.
Do I need a New York attorney for probate?
While not technically required, it is strongly recommended. New York probate law is complex, and the Surrogate's Court has specific procedural requirements. An estate attorney ensures the process moves efficiently and protects the executor from personal liability.
What if the property has a mortgage?
The mortgage must be paid off at closing, either from the sale proceeds or from other estate funds. If the property is worth less than the mortgage balance, the estate may need to negotiate with the lender or consider a short sale.
How can Hudson River Realtors help with an estate sale?
We connect executors and beneficiaries with agents who specialize in estate sales in your area. They understand the probate timeline, coordinate with estate attorneys, handle as-is buyer negotiations, and provide the sensitivity the situation requires. The referral is free.