The death of a loved one is a major event that brings with it many emotions. In addition to dealing with the loss, practical matters often also have to be arranged, including the estate and the deceased's own home. In this article we will discuss what exactly happens to an owner-occupied home after death and what steps must be taken by the heirs to properly arrange matters surrounding the owner-occupied home.
It is of course also wise to arrange your own affairs regarding a mortgage and your assets as best as possible so that after your death everything will run smoothly for the person who inherits it. Consider, for example, partners, children, brothers and sisters. ZSM House Clearance happy to help you!
Will and heirs
When someone dies, his or her estate is divided among the heirs. In a will, the deceased can specify who his or her heirs are and how the inheritance should be distributed. Arranging this as best as possible is therefore very important. Especially if you want everyone to inherit an equal share. If there is no will, the rules of statutory inheritance law apply. It is important to know who the heirs are, because they are responsible for handling the estate, including the home.
Registered partnership and cohabitation contract
If the deceased had a registered partnership or lived with a partner without marriage, the partner may be able to claim the home. After the death of one of the partners, in a registered partnership the remaining partner automatically becomes the heir and he or she will inherit the home. If you live together without a registered partnership, there must be a cohabitation contract that contains agreements about the division of the home in the event of death. Term life insurance also plays a major role in the distribution of the house after death.
As you can see, heirs, inheritance tax and other matters relating to a death are difficult topics. It is therefore important to inform yourself well.
Accept inheritance beneficially
An heir has the choice to accept the inheritance purely, accept it beneficially or reject it. With pure acceptance, the heir also becomes responsible for any debts of the owner-occupied home after death. If there is a possible mortgage loan or other outstanding debts, it may be wise to accept the inheritance beneficially and sell the house. The heir is only liable for debts up to the value of the inheritance. Due to the housing crisis, surviving relatives can now easily sell a house. This way, the house will only be empty during the transfer and the house will be put up for sale as quickly as possible. This way you also do not have to think about what happens to the house and you do not have to think about a possible new loan.
Determine the value of the house
After the death of the owner of the house, the property's property value must be determined. This is important for the further settlement of the inheritance to the partner and children and the possible sale of the home. The value of the house can be determined by an appraiser or real estate agent. This includes looking at the condition of the house, its location and recent sales prices in the area. This way, any excess value can also be examined.
Inheriting a house and mortgage debt
If the home is inherited by the heirs, they also inherit the associated mortgage debt. The heirs become joint owners of the house and must jointly decide what should be done with the house. There are various options: keep the home and take it over, i.e. continue to live there yourself, sell the home or rent out the home. It is important to consider the financial consequences of each option, such as mortgage costs and possible maintenance costs.
Sale of the house
If it is decided to sell the home, this process will have to be initiated. A real estate agent can be of service and advise on the sales strategy and the value of the home. It is important to realize that selling a home can take time depending on market conditions and the location of the home. The proceeds from the sale are used to pay off any debts and to distribute their inheritance to the heirs.
Inheritance tax and distribution
When inheriting a home, inheritance taxes may also be due. The amount of inheritance tax depends on the value of the inheritance and the relationship between the heirs and the deceased. There are exemptions and rates determined by the Tax Authorities. It is wise to obtain information about this in a timely manner and, if necessary, consult a notary for advice. After paying any taxes, the inheritance can be distributed according to the wishes of the deceased or the rules of inheritance law.
Conclusion
The death of a loved one involves many matters that need to be arranged, including the deceased's home. It is important to consider the possible scenarios and the wishes of the deceased in a timely manner. By drawing up a will and recording agreements in a cohabitation contract or registered partnership, the settlement of the estate and the division of the home can proceed smoothly. It is wise to seek professional help during this process, such as a notary, real estate agent or tax advisor.
Request a free quote
Would you like to receive a quote for clearing your home? Then request a free quote. This is completely without obligation and you are not committed to anything. By requesting a quote you will get a better idea of the costs and services we can offer you.
Do you have any questions or would you like advice before requesting a quote? Then you can always call us on 070-2116102. You can also send us an email at: info@zsm-woningontruiming.nl. We will then respond to your enquiry as soon as possible.
Help Center
What happens to a home after death?
After death, the home becomes part of the estate and will be distributed among the heirs.
Do I have to pay inheritance tax on an inherited home?
Yes, inheritance tax may be due on an inherited home. The amount depends on the value of the inheritance and the relationship between the heirs and the deceased.
Can I inherit the deceased's mortgage debt?
Yes, as an heir you also inherit the deceased's mortgage debt. This can influence the decision to keep or sell the home.
Do I have to engage a notary to settle the estate?
Although it is not mandatory, it may be advisable to involve a notary in the settlement of the estate and the division of the home. A notary can provide legal advice and help draw up the necessary documents.
5. What happens if there is no will?
If there is no will, the rules of statutory inheritance law apply. This means that the estate is divided according to a legally determined order, with the spouse and therefore the surviving partner and any children having priority and receiving the benefit according to the law.
The information provided in this article is for informational purposes only. Although we strive to provide accurate and up-to-date information, we cannot guarantee the completeness, accuracy or currency of the information provided. It is therefore wise to always seek legal advice.
