Navigating the sale of a deceased estate can be a daunting process. Beyond the emotional and legal aspects, managing an inherited property can be overwhelming.

This blog post is designed to guide both families and legal professionals through the intricate process of selling a deceased estate. With my specialized experience in pre-sale renovations, I aim to make the experience easier.

Emotional & Legal Aspects

After losing a loved one such as a parent, there are a lot of emotions and grief. On top of that, there are many legal steps with probate, the will and executors. Having experienced attorneys will help make this complicated process simpler.

Once you’ve worked out the will, many times you’ll be left with real estate. It may be a childhood home, which will add to your emotions, or a property that may be outdated or in disrepair. If you (and any other stakeholders like siblings) decide to sell, it can then be another daunting process.

Challenges of selling a deceased estate

Selling a home is already a tricky process, but selling a deceased estate adds a lot more elements.

Here’s some common scenarios:

• The home is vacant
• The home was not looked after properly in the last few years and may have needed repairs and deferred maintenance
• The home is likely outdated
• The home may have some modifications to accommodate for an aging or disabled person
• There are multiple stakeholders (such as siblings) who now own the home
• The siblings do not live near the home, perhaps even interstate or overseas
• The siblings may be in disagreement about what to do with the home or how to sell it
• Only one of the siblings may have the funds to update the home before selling

And there are many more possibilities!

As you can see, it’s not straightforward.

I’ll give you my tips below but I also recommend scheduling a free consultation where we can talk about your specific situation and ways that I can alleviate some of the stress and overwhelm.

Preparing a deceased estate for sale

First, you’ll want to assess the property.

In some rare cases where the home would make a great knock down rebuild, you may be able to sell as-is and have a successful sales campaign.

However, in many scenarios, the home will require some work in order to attract a buyer quickly and to sell at an ideal price.

For example, I recently worked with siblings who were selling a deceased estate in Sandringham NSW. The home had been renovated about 15 years ago but also had some quirky elements added to accommodate the aging homeowner.

It would not be a good knock down rebuild and if it had gone to market as-is, it likely would have sat for awhile.

Strategic renovations

In the Sandringham renovation, I was strategic about where to renovate. For example, we had a family bathroom that needed to be re-done. We fixed the quirky layout and unusual features such as a bathtub in a cupboard and turned that into a desirable feature – a walk in pantry.

There were also small repairs that needed to be done – a fixed window pane, broken kitchen joinery – that we addressed. These things are small but if a buyer sees items that have been neglected, they may wonder about what they can’t see.

It’s always important to be strategic with pre-sale renovations but especially in a deceased estate.

By being strategic and picking and choosing which renovations and repairs will have the largest impact, you’ll see the greatest return on investment.

Generally, you’ll want to start with the kitchen and bathrooms, as well as the curb appeal. You also want to address repairs. From there, it is very case specific to the home and suburb. Local market research using realestate.com.au and Domain are great places to start.

Financial Strategies

The next step would be to consider finances. Unfortunately, this can be one of the trickier aspects to an inherited property.

For example, you might not have the funds or may be splitting between siblings. Or perhaps the money is coming from inherited funds.

It’s important to discuss with all stakeholders how the renovations will be funded.

One way to alleviate these issues is through my renovate now, pay at settlement program. I offer the ability to renovate and pay all bills and invoices on your behalf, then the homeowner pays for the cost of renovations when they have the money at settlement.

This program avoids tricky financial conversations while also allowing all stakeholders to be equal.

Get on the same page and pick the main contact

If there are multiple stakeholders, you will need to come to an agreement about any renovations and when/how to sell the property.

Then I recommend choosing one of the stakeholders to become the main point of contact. This makes it easier for professionals to contact one person and then the stakeholder can pass on information to everyone else, discuss and make decisions together.

Getting the right professionals

Next it’s time to bring in professional help.

Wealth House specialises in pre-sale renovations and I do everything – from consulting on what adds the most value, to design and getting trade quotes, to project management (on site every day). For the Sandringham renovation, I also cleared out the home, organised rubbish removal, sold furniture, and dropped off donations.

It’s the only full service company I’ve found. Beyond that you can find specialty companies that do a portion of the service, such as cleaning out the home and selling valuable items, then renovation companies, etc.

Real estate agents

For the probate, you likely spoke with 3 real estate agents for appraisals. They may have given you recommendations on what to repair and update.

You may have even picked one of those real estate agents to sell your home. It’s great to bring them in early on the process, but don’t let them rush you to list the home, especially if you feel you can get more money with strategic renovations.

Builder and trades

Then you will need trades to do the work. In NSW, you need a builder licence for all building work over $5000 (including GST). The nice thing about having a builder is that they will organise all trades for you. Basically, you hire once and they do all the rest.

Keep in mind that a builder doesn’t need to do all the projects. For example, we hired a glass repair company to replace the broken window pane. For small, specialised projects, you may choose to go this route.

Collaborative efforts

All of these professionals should be working together to create your ideal outcome.

For example, the real estate agent’s advice will influence what projects you choose to do with the builder. The builder can tell you what design trends they’re seeing and can give you cost-saving recommendations.

I started Wealth House because I saw a gap in the market, bringing all these people and knowledge together. I also aim to make everything easier for the homeowner.

My mum had recently passed and I wanted to engage someone who could provide a range of supports to get the house ready for sale. Your willingness and ability to project manage, deliver innovative interior design ideas and work with a range of stakeholders and tradespeople, was both appealing and definitely needed.

Sandringham NSW client

Marketing and selling the deceased estate

After the renovations are complete, you’ll want to get the inherited property on the market.

After you’ve chosen your real estate agent, they will discuss timing. There are many ideas about when the best time to sell a home is, however if the property is vacant, especially if there are some holding costs involved, it may be best to sell rather than later.

Keep in mind that homes sell everyday – all year round. You may hear lots of people say not to list in the winter, or during school holidays, or around Christmas, etc. Sell when it’s right for YOU.

Professional Styling

I highly recommend a full professional styling of the property.

It’s best to remove everything from the property (sell, donate, rubbish or take to your own home) and have a professional styling company come in with a full set of furniture and decor.

Styling companies know how to stage homes to appeal to buyers and maximise the use of space. Styled homes also look better in your real estate photography which is where most buyers will see the home first.

Marketing and Sales Campaign

Your real estate agent will have a marketing plan and will make recommendations on whether it should be a private treaty or auction campaign. These strategies are suburb specific.

Wealth House also runs a marketing campaign, alongside the real estate agent’s. For the Sandringham campaign, I posted 2-3 times daily, was featured on the Interiors Addict blog, as well as featured on our supplier’s Instagram accounts. This extended the home’s reach to about 300,000 additional people.

My strategy is to get the most amount of people seeing your home.

Settlement

Once your home has sold, your conveyancer and real estate agent will walk you through the final steps, including how the money will be split between stakeholders at settlement.

Sandingham NSW Case Study

As I’ve mentioned throughout, my Sandringham project was a deceased estate with multiple stakeholders.

When I came in, the home needed multiple repairs and had some quirky features that would have turned off buyers. With strategic renovations updating the bathroom, reconfiguring the upstairs space to add a study and 5th bedroom, and adding desirable features like a walk in pantry and outdoor kitchen, the home sold at auction in 3 weeks.

Here are the details:

• $3.05 million pre-renovation value
• $92,500 renovation spend
• 4 weeks design phase, 8 week renovation
• 3 week auction campaign
• 8 registered bidders
• $3.42 million sale price
• $277,500 additional profit for the stakeholders

Here’s what my client said:

The biggest stress was project management. I knew there was a lot of work involved in getting the house ready for sale and I was not in the right headspace to manage everything alone. You were an absolute pleasure to work with. You were always accessible, incredibly friendly and there is no job too big or too small that you weren’t willing to help out with.

You can read more about this project here.

Conclusion

Selling a deceased estate or inherited property can feel overwhelming. By assessing the property, working out the finances and bringing on professionals, you can have a successful and profitable sale.

Wealth House aims to take away the stress and overwhelm of pre-sale renovations, offering a full service solution to walk you through every step – from determining where to add value, right through to settlement. I also offer a renovate now, pay at settlement program to alleviate any financial concerns.

To get started, I offer free consultations in the Sydney area. Schedule one today so we can discuss selling how I can help.