What to do when inherited a house in North Central Illinois?

First, condolence, we’re so sorry for your loss. This can be a very challenging time for many reasons because you'll be facing with questions you may not be prepared for. Should you sell the house, rent it, or live in it yourself?

Making the wrong move could cause serious financial distress later on, or even lead to family quarrels. We’re seasoned investors in North Central Illinois real estate, and we’re looking to buy several houses each month in the area. Every month we get calls from those who have inherited a house and are looking to sell the house… so the info below are some tips to help you navigate the process.

What to do Next?

1. Pay Mortgage. In most cases, an inherited property has still mortgage on it. The executor has the responsible to pay the mortgage and settling all financial affairs. Some banks will allow you to assume the loan, while others may force you to refinance into a new loan.

2. Registering the property in your name. Once the property passes to you, you can register your ownership in the Land Registry. This will give you evidence that you are now the owner of the property.

3. Property ownership. Consider hiring a professional property inspector to give you a detailed rundown on what you’ll need to do within the next five years, along with estimated costs. Surprises are very, very expensive.

4. Use for investment. Some people who inherit homes decide to keep the house and rent it for extra income. That’s a great strategy for sure. You just need an insurance coverage which covers medical, personal and structural property. Also you need to be prepared to manage the property and the hassles that can go along with tenants and toilets.

But take note, you'll pay taxes for any profit you make from the rental income.

5. Consider your options. In certain situations we may be able to help you structure a lease-option agreement that allows you to rent and sell at the same time – capturing the best of both worlds.

Initiating Probate (LegalZoom)

Step 1. Obtain a certified copy of your parent's death certificate from the county coroner or the mortuary where your parent's body was taken prior to burial.

Step 2. Locate your parent's will, if he left one. You need the original will with your parent's original signature/s, along with a photocopy.

Step 3. Obtain an application for probate from the probate court with jurisdiction over the county where your father was living at the time of his death. Many courts now have these forms available online. If an application is not available online, obtain one from the court clerk. Complete the application and sign it. You are not required to be the named estate executor in your parent's will to submit an application for probate.

Step 4. Submit your parent's death certificate and a copy of the will to the probate court along with the application for probate. You may be required to pay a small filing fee (fees vary by jurisdiction). Submission of these items will initiate the probate process. The court will set a date and time for the first hearing and notify the executor named in your father's will.

How long does probate take?

On average, probate takes between 6 to 9 months to complete the process and can take up to eighty working hours. However, other complications can cause the process to take considerably longer, such as if the Will is contested, or the deceased did not keep clear records of all their assets. It is not unheard of for the process to take several years to wrap up.