The process for selling an inherited property involves some additional formalities to ensure all beneficiaries in the will (and HMRC) receive their full share of the asset. The sale needs to be seen as fair and transparent - that's why an auction sale is very popular for inherited properties.
This guide is intended to provide executors with an overview of the process for selling an inherited property. It deals specifically with inherited properties in England and Wales and is intended to help executors complete their duties as quickly and efficiently as possible.
What is an executor?
An executor is a person appointed in the will of a deceased person to carry out the terms of their will. Most wills appoint two executors (joint executors). An executrix is the female term; sometimes the gender-neutral term "personal representative" is used in place of either. The job of an executor includes various duties, starting with locating and understanding the will and finishing with distributing the assets of the estate. Whilst the role can seem quite overwhelming to begin with, when it's broken down into separate parts it becomes much easier to deal with.
What's the timescale for selling an inherited property?
There's nothing to stop an executor from instructing an estate agent within a few days of the property owner's death. And if the property is priced fairly a buyer might be found within a matter of weeks - as a chain-free sale the transaction could be completed straightaway, if it wasn't for one thing. Probate.
The delaying factor when selling an inherited property isn't the sales and marketing side of things, but the time taken to sort out the estate of the deceased in accordance with their will. That process is known as probate.
If the will is straightforward (or if there is no will, so long as the beneficiaries of the estate are obvious, i.e. spouse or children) the timescale for obtaining grant of probate can be as soon as one or two months.
If there are no complications, an inherited property can in theory be sold within as little as two months and the proceeds distributed to the beneficiaries upon completion.
Complicating factors - such as family disputes, difficulty finding paperwork, complex estates or tax affairs - will cause obvious delays. It's not unusual to see probate take the best part of a year. And without probate, it's not possible to exchange contracts on the sale of an inherited property.
Can an inherited property be sold before probate is granted?
In a word, no. A property cannot be legally sold before probate is granted. However, it is possible to instruct an estate agent to advertise a property for sale before receiving probate. It's quite common for inherited properties to be put on the market soon after the death of the owner, with the contracts of sale ready for exchange by the time the grant of probate is received.
When selling an inherited property at auction it's best to make sure you've received the grant of probate before advertising the property. Even if you're certain the grant will arrive before auction day, if there's a query from the probate registry then the grant could be delayed by a month or two. It's safer to wait for the grant to arrive, to avoid the expense and wasted time of an aborted auction sale.
What is probate? Probate is the process of proving a deceased person's will is valid and giving authority for the assets in the estate to be sold or distributed to the beneficiaries. The terms "grant of probate" and "grant of representation" are effectively used to describe the same thing.
What's involved in applying for probate?
The grant of probate is like a certificate with an official stamp from the probate court. Without it, all assets in the deceased person's estate are effectively frozen - so probate is a bit like the key to unlocking those assets.
Applying for probate is now largely done online via the government's probate portal at gov.uk. The key steps are:
- Estimate the value of the estate and determine whether inheritance tax is due. If the estate is not "excepted" (i.e. it exceeds certain thresholds or has complex affairs), you'll need to complete form IHT400 and submit it to HMRC before you can apply for probate.
- Apply online through the government portal (or by post for more complex cases). You'll complete a statement of truth as part of the application - there is no longer any need to attend a probate registry or swear an oath in person.
- Post the original will to the Probate Registry after submitting your online application. You do not need to include copies.
- Pay the application fee of £300 for estates over £5,000 (there is no fee for estates of £5,000 or less). The fee can be paid online by debit or credit card.
If you need official copies of the grant - which you almost certainly will, as banks and institutions each require their own - these currently cost £16 per copy (increased significantly in November 2025).
Online applications are currently taking around 5-6 weeks to process. Paper applications can take 9 weeks or more. Complex estates or those with queries can take considerably longer. The government's probate portal is available at: gov.uk/applying-for-probate.
How should an executor value a property for inheritance tax purposes?
A key part of probate is calculating the amount of tax due to the government. The executor will need to estimate the value of the deceased person's property and calculate how much inheritance tax is due, if any. To determine the value of any property in the estate, the recommendation is to either:
- Appoint a professional surveyor - who will charge a fee for their valuation, or
- Request free valuations from local estate agents - the most common method is to ask three different estate agents for free valuations and take the average.
It's important to ask for valuations in writing (email is fine) for your records. And when asking estate agents to value a property, let them know the purpose - estate agents can sometimes be over-enthusiastic with their valuations to win instructions. If they know you're looking for a valuation for inheritance tax purposes they will tend to be more realistic.
In our experience, probate valuations tend to be on the lower side, which can be helpful when calculating any tax due.
How much does it cost to sell an inherited property?
Apart from any general probate and legal costs, you should expect to pay a few thousand pounds towards preparing the property for sale.
One-off costs include: house clearance from £100 upwards depending on the type and volume of contents; and an Energy Performance Certificate (EPC) if the property doesn't already have a valid one, typically costing around £60-£100.
Ongoing costs include council tax, gardening and insurance. These accumulate for as long as the property remains unsold, so a quicker sale reduces the total bill.
After the property is sold, executors should expect to pay a commission to the sales agent (estate agent or auctioneer) of around 2% + VAT of the final sale price, and legal/conveyancing fees of around £1,000-£1,500 for the average property.
Are the services of a solicitor needed to sell an inherited property?
There are two separate legal services associated with the sale of an inherited property, and each will usually be dealt with by a separate solicitor.
Legal service 1: Probate solicitor
Executors don't necessarily need to use a solicitor for probate - a lot of money can be saved if the work is done without one. Solicitors can charge up to 2-5% + VAT of the value of the estate for probate work, hence why DIY probate has become more popular. If you want to carry out the work yourself and save on costs, it's worth reading around the subject first - see the guide books section at the end of this guide.
Legal service 2: Conveyancing solicitor
As with any property sale, it's advisable to use a solicitor or licensed conveyancer to handle all the legal work associated with selling. Even though it is technically possible for executors to carry out their own conveyancing, it's not advisable given the value of property at stake and the ever-increasing risk of property fraud. By any measure it's worth paying for professionals to handle the sale.
Is stamp duty payable on inherited properties?
No, stamp duty is not payable on an inherited property itself. However, beneficiaries should be aware of two potential stamp duty implications going forward.
Effect on future property purchases
If a beneficiary still owns (or co-owns) the inherited property when buying another home, they may be liable for the higher rate of stamp duty, which currently carries a 5% surcharge on top of standard rates (increased from 3% in October 2024).
There is an exception: if someone inherits 50% or less of a property, or if they inherited more than 50% but the inheritance took place more than 36 months before their new purchase, the inherited property is disregarded for the purposes of the additional dwelling surcharge.
Effect on first-time buyer status
Inheriting a property - even a partial share - can affect a person's eligibility for first-time buyer stamp duty relief on a future purchase. As a general rule, having ever owned or part-owned a residential property (including an inherited one) can disqualify a buyer from first-time buyer relief.
Note: Stamp duty rules are complex and have changed significantly in recent years. If you are unsure how an inherited property might affect your position as a buyer, seek advice from a solicitor or tax adviser.
Do inherited properties have to be sold?
There's no legal requirement to sell an inherited property, but if executors need to raise funds to pay inheritance tax, or wish to divide the value of the estate amongst the beneficiaries, then selling the property makes obvious sense.
Issues to consider when renting out an inherited property
When an executor decides to keep an inherited property as a rental investment, they should be mindful of Capital Gains Tax (CGT) when it eventually comes to selling. If the property is not sold until some years after the grant has been issued, the value will likely have increased - which could lead to a CGT liability (see the tax section below for current rates).
Being a property landlord is no easy task. Executors should carry out the same assessment as any other landlord would, considering the rental demand, the cost of upkeep and the increasing burden of legislation on buy-to-let landlords. Also bear in mind that inherited properties are often not in the best state of repair, so bringing the property up to a lettable standard can be costly - especially if gas or electrical systems need to be replaced to meet current safety standards.
What taxes are due for inherited properties?
The two main taxes to consider when inheriting property are inheritance tax and capital gains tax.
Inheritance tax
Executors are responsible for calculating the amount of inheritance tax due to HMRC. Inheritance tax is payable at a rate of 40% on estates valued over £325,000 (known as the nil-rate band). This threshold has been frozen and is set to remain at £325,000 until at least 2030-31.
However, if the deceased's estate includes their home and it is being left to direct descendants (children, grandchildren etc.), an additional Residence Nil-Rate Band of £175,000 may apply - bringing the effective tax-free threshold up to £500,000 for an individual. Married couples and civil partners can combine their allowances, potentially passing on up to £1 million free of inheritance tax.
Payment of inheritance tax is due within 6 months of the date of death, after which HMRC will begin charging interest on any outstanding amount. The estate won't have to pay tax if all assets pass to the deceased person's spouse, civil partner, or a registered charity.
Capital gains tax (CGT)
If the value of the inherited property increases between the date of death and the date of sale, CGT may be payable on the gain. For the 2025/26 tax year:
- Annual CGT allowance: £3,000 per person (significantly reduced from previous years)
- CGT rate on residential property: 18% for basic rate taxpayers, or 24% for higher rate taxpayers
For example, if the value of a property increased by £20,000 between the date of death and the date of sale, CGT would be payable on the gain less the £3,000 allowance - leaving a taxable gain of £17,000. At the higher rate of 24%, that would amount to £4,080 in CGT.
Important - 60-day CGT reporting deadline: Any capital gains arising from the sale of a UK residential property must now be reported and paid to HMRC within 60 days of the completion of the sale. Missing this deadline can result in penalties and interest.
Executors may qualify for a full CGT exemption during the administration period - i.e. the time taken to settle the deceased person's affairs and obtain grant of probate. The exemption period covers the tax year of death and the two following tax years.
Tax rules change regularly. The figures above are correct for the 2025/26 tax year. We strongly recommend seeking advice from a tax professional or accountant when calculating any tax liability.
Tips for maintaining an empty property
When a loved one leaves behind a property, the task of clearing their personal belongings can be an upsetting experience - but it's a necessary one if the property is to be sold. It's quite common for executors to remove items of monetary or sentimental value before asking a house clearance company to deal with everything else. It's worth doing this sooner rather than later, as empty properties are more prone to break-ins than occupied ones.
Empty properties represent a higher insurance risk. Make sure your insurer is updated on the status of the property - be prepared to pay a higher premium, as vacant property cover can be significantly more expensive than standard cover. Your policy will likely require the property to be inspected regularly (often every 7-14 days), letterboxes to be sealed, and utilities to be turned off with the water system drained.
Attending to issues such as broken windows, overgrown gardens and general security should be a top priority. If neighbours are known and trusted, it can be worthwhile asking them to keep an eye on the property.
Protecting the legal title
Vacant properties without a mortgage are particularly vulnerable to title fraud, where criminals attempt to sell or borrow against a property without the owner's knowledge. HM Land Registry offers a free Property Alert Service (propertyalert.landregistry.gov.uk) that monitors the title and sends email alerts when certain activity occurs.
If the property cannot be found in the Land Registry database, it may be unregistered - not unusual for inherited properties that have been in the same ownership for many years. Registering a property is a job best carried out by a solicitor and typically takes a couple of months.
Should I pass all my executor duties to a solicitor?
Most people only have the responsibility of being an executor once or twice in their lifetime, if at all. Getting to grips with both the legal and property sale responsibilities (especially while grieving) can be difficult, so it's fairly common to pass on some of the work to a third party such as a solicitor.
But executors should be careful about which responsibilities they delegate. In our opinion, the sale of high value assets is something that should be carried out by the executors themselves, not the solicitor. It doesn't matter how much you trust your solicitor - keep control of the sale of high value assets.
Is it worth carrying out repairs before selling?
Many of the inherited properties we're invited to see have been empty and neglected for many months, sometimes years. And in many cases properties have not been updated or maintained in the years before the owner passed away.
Rather than embarking on a project to modernise the property, we suggest spending the least amount of money possible, limiting the spend to essential repairs only. Unless improvement work is carried out at trade prices, it's very difficult to recover the cost of work on resale. And there's no shortage of buyers looking for a project, especially at auction.
What to expect when selling a retirement property?
If the estate includes a retirement property, be prepared for more bills and a longer wait. The resale market for park homes, retirement flats and assisted living accommodation is much slower than that for standard residential properties, and service charges can be very high - annual service charges of £4,000 or more are not uncommon, on top of council tax and utility bills.
A quick sale would keep ongoing costs down, but unfortunately achieving a quick sale for these types of properties often means selling significantly below market value - which is why they are relatively unusual at auction.
If you encounter problems that cannot be resolved directly with the freeholder, it can be a good idea to contact the Leasehold Advisory Service (lease-advice.org) or the Leasehold Knowledge Partnership (leaseholdknowledge.com).
Why do people sell inherited properties at auction?
According to the Office for National Statistics, life expectancy at birth in the UK now stands at around 83 years for women and 79 years for men (based on 2022-2024 data, published December 2025). As people move into later life, priorities inevitably change. Whereas a new kitchen once seemed like a good idea, in later life the focus is often on living with the least amount of change or disruption as possible.
It's for this reason that the majority of inherited properties are not in the best state of repair, ranging from unmodernised to severely dilapidated. Selling through an estate agent can be difficult because the executor is often motivated to sell fairly quickly - and the buyer knows it, so prices are often chipped away as problems with the property emerge. The final sale price can end up being very low.
But with an auction, bidding can only go one way - up. Prospective buyers will offer their best bid based on the potential of the property, rather than picking holes and identifying problems. As a result, auction sales often achieve final prices well above expectations, plus the executor benefits from an immediate exchange of contracts on auction day.
When an inherited property should not be sold at auction
When selling by auction, you will need to agree a reserve price with the auctioneer. The reserve price is set below market value to stimulate interest and attract multiple bidders. If any of the executors are not comfortable selling for a figure equivalent to the reserve price, then auction is probably not the right route.
Should executors accept offers received via their solicitor?
The vast majority of probate and conveyancing solicitors are quite rightly viewed as trustworthy professionals, and they are regulated for the specific legal work they do. But it's important to know the difference between the work a solicitor is regulated to do, versus any extra help they offer.
In the case of inherited properties, that "extra help" often includes assisting with the sale - or more specifically, introducing a buyer. Even where executors and beneficiaries want to dispose of a property quickly, executors should be careful when it comes to accepting a quick and easy offer. To put it plainly, that offer is more often than not from a close business associate of the solicitor.
To be sure of realising the best sale price, executors are strongly advised not to give solicitors power of attorney for the sale of any high value assets. A solicitor's interests are not always aligned with those of the executor or beneficiaries - and it's not unheard of for a solicitor to introduce an undervalue offer from a developer contact.
Probate guide books and further information
For further information about dealing with the financial affairs of someone who has died, MoneyHelper (moneyhelper.org.uk) and the Citizens Advice Bureau (citizensadvice.org.uk) both have useful guidance. For up-to-date legislation and probate forms, visit the government website at gov.uk/applying-for-probate.
There are a number of books available on the subject of probate with chapters on selling inherited property. Our top picks:
- Wills, Probate and Inheritance Tax For Dummies (UK edition) - Julian Knight (ISBN: 0470756292)
- Probate: The guide to obtaining grant of probate and administering an estate - Gordon Bowley (ISBN: 1845284097)
- Probate: A straightforward guide to obtaining a grant of probate and administering an estate - Regina Meizoso (ISBN: 0995759006)
- Probate and the Law: A Straightforward Guide - Julie Peters (ISBN: 184716563X)
Have you been approached by an heir hunter?
Finding out you've inherited a house through an heir hunter can be both exciting and overwhelming. Read our separate guide: Selling an inherited property when approached by an heir hunter.
FAQs - Selling an inherited property
As soon as a property is identified as part of the estate, the executor should secure it - check it is locked, insured, and that the insurer is aware it is now vacant (standard home insurance usually becomes invalid once a property is unoccupied). It's also worth signing up to HM Land Registry's free Property Alert Service to protect against title fraud, and notifying the local council of the change in circumstances for council tax purposes. Getting a valuation early is also sensible, as this forms the basis for any inheritance tax calculation.
The most common cause of delay is the probate process itself - complex estates, family disputes, difficulty locating paperwork, or a backlog at the Probate Registry can all push timelines out significantly. Beyond probate, inherited properties are often unregistered (particularly older ones that haven't changed hands in decades), which adds time as registration needs to be completed before the sale can proceed. Properties in poor condition or with legal title issues can also slow things down. Getting on top of these issues early - ideally before probate is granted - can make a real difference to how quickly the sale moves once you have the green light.
The court application fee is £300 for estates valued over £5,000 (there is no fee for estates of £5,000 or less). Official copies of the grant cost £16 each as of November 2025.
It depends on the value of the estate. Inheritance tax is charged at 40% on the portion of an estate above £325,000. If the property is being left to direct descendants such as children or grandchildren, an additional Residence Nil-Rate Band of £175,000 may apply, raising the effective threshold to £500,000 for an individual. Married couples and civil partners can potentially pass on up to £1 million free of inheritance tax. Assets passed to a spouse, civil partner, or registered charity are generally exempt.
You don't pay CGT at the point of inheriting - but if the property increases in value between the date of death and the date of sale, CGT may be due on the gain. For 2025/26, the annual CGT allowance is £3,000 per person. Gains above this are taxed at 18% (basic rate taxpayers) or 24% (higher rate taxpayers) for residential property. Importantly, any gain must be reported and paid to HMRC within 60 days of completion.
No - inheriting a property does not trigger a stamp duty liability. The transfer of ownership through inheritance is exempt. However, if a beneficiary later buys out another heir's share for money, stamp duty may be payable on that transaction.
It can. If you still own the inherited property when buying another home, you may be liable for the higher rate of stamp duty - currently a 5% surcharge on top of standard rates. There is an exemption if you inherited 50% or less of the property, or if the inheritance took place more than 36 months before your new purchase. Inheriting a property can also affect first-time buyer stamp duty relief on a future purchase, so it's worth taking advice before buying.
Auction is often the better route for inherited properties, particularly those that are unmodernised or in need of repair. At auction, buyers bid competitively based on the property's potential rather than picking holes in its condition - which means prices can exceed expectations. Sales also exchange on the day, giving executors certainty and speed. Estate agents can work well for well-presented properties, but executors motivated to sell quickly can find prices being chipped away during negotiations.
This is an area where executors should be cautious. Solicitors sometimes introduce buyers - often developers or investors from their professional network - as a way of expediting the sale. Whilst well-intentioned, these offers are rarely in the best interests of the estate. An executor has a legal duty to achieve the best reasonable price for the beneficiaries, and accepting an off-market offer at below market value could expose them to challenge. A transparent sale process - such as auction - is a much safer approach, as the open bidding process demonstrates clearly that the market has set the price.
Generally, no. Unless work can be carried out at trade prices, it's very difficult to recover the cost of improvements on resale. Most inherited properties sell well to buyers looking for a project - particularly at auction, where there is no shortage of investors and developers looking for exactly this type of property. We usually advise limiting any spend to essential repairs only.
Next steps - request an auction sale estimate
Why not request a free pre-auction appraisal for your property? It only takes a few seconds. Or feel free to call us on 0800 862 0206 if you have any questions.
