How to Sell an Inherited Home in Washington State: A Comprehensive Guide

Inheriting a home can stir up a complicated mix of emotions. On one hand, it may feel like a gift or a connection to your family’s history. On the other hand, it can quickly become overwhelming. You may already be dealing with grief, and the added stress of managing an unfamiliar property only increases the burden.

For many people, the decision to sell an inherited home comes down to practical realities. You might live too far away to manage the upkeep, or the cost of taxes and repairs may be more than you can take on. Sometimes, the house itself feels emotionally heavy and difficult to keep.

If you find yourself in this situation, you are not alone. Selling an inherited home is a common process in Washington, and with the right guidance it can be handled efficiently step-by-step. This guide will walk you through what you need to know, from probate and taxes to preparing the home and closing the sale.

Step 1: Understand Probate in Washington

The first step in selling an inherited home is to understand whether the property needs to go through probate. Probate is the court process of settling a deceased person’s estate, and in Washington most inherited homes must pass through it unless they qualify for a simplified process.

Some common ways to avoid full probate include:

• Nonprobate transfers: These include transfer-on-death deeds, community property agreements, or joint tenancy with right of survivorship. The property passes directly to the named beneficiaries without court involvement.
  
  
• Small estate affidavit: If the estate’s total value is under $100,000, heirs may be able to use a small estate affidavit to transfer the property without probate.
  
  
• Lack of Probate Affidavit: In certain situations, heirs can use a Lack of Probate Affidavit to sell the property. This affidavit serves as proof that probate is not required, provided there are no disputes among beneficiaries and the estate meets specific criteria. Title companies typically review the affidavit to determine whether they can insure the property’s title. While this process can be more complex than a small estate affidavit, it offers another option for heirs who need to sell without going through full probate. Even with a Lack of Probate Affidavit, consulting a probate attorney or your title company is recommended to ensure the sale can proceed smoothly.

If probate is required, the court will appoint a personal representative (sometimes called an executor), who has legal authority to manage and sell the property. The home’s title must be formally transferred into the heirs’ names before a sale can be completed.

Probate timelines vary, sometimes taking several months depending on the complexity of the estate and whether there are disagreements among heirs. Because of this, it is wise to consult a Washington probate attorney before taking any steps to list or sell the home.

Step 2: Address Taxes, Financial Considerations, and Reverse Mortgages in Washington

Taxes and financial obligations are an important part of any property sale, and inherited homes come with some unique considerations.

• Estate Tax: Washington has its own estate tax, which applies to estates valued at $3 million or more for deaths occurring after July 1, 2025. This threshold will be adjusted for inflation beginning in 2026. The Washington estate tax supports the state’s Education Legacy Trust Fund, which helps fund smaller class sizes, teacher training, and early learning programs (WA DOR Estate Tax).
  
  
• Inheritance Tax: Washington does not impose an inheritance tax, meaning heirs themselves do not pay tax simply for receiving the property.
  
  
• Capital Gains: Heirs benefit from a “stepped-up basis.” This means the property’s value is reset to the fair market value at the time of death, reducing or even eliminating capital gains if the property is sold soon after.
  
  
• Real Estate Excise Tax (REET): Washington requires REET on property sales, usually paid by the seller at closing. While the initial inheritance does not trigger REET, selling the home after you inherit it does. You can use our REET Calculator to estimate this tax.
  
  
• Property taxes, mortgage balances, and liens must also be resolved before or during the sale process.
  
  
• Reverse Mortgages: If the inherited home had a reverse mortgage, it must typically be paid off before the property can be sold. A reverse mortgage allows homeowners to borrow against the equity of their home, but upon death, the loan becomes due. Heirs can repay the loan to keep the home, sell the home to pay off the balance, or allow the lender to take ownership if repayment isn’t feasible. It’s important to contact the reverse mortgage lender promptly to understand your options and avoid potential foreclosure.

Because these rules can be confusing, many families choose to hire a CPA familiar with Washington estate sales. Nine8 Redevelopment is also here to answer questions and connect you with trusted professionals.

Step 3: Coordinate with Co-Heirs

If you are not the only heir, the next step is to coordinate with siblings or other family members who also have a share in the property.

• You may decide to sell the home and split the proceeds.
• One heir may wish to keep the property by buying out the others.
• Agreements should always be put in writing to avoid misunderstandings later.

Sometimes emotions and family history make these conversations difficult. In Washington, mediation services are available to help families work through disagreements respectfully.

Step 4: Prepare the Home for Sale in Washington

Before the home can be sold, it needs to be prepared. This stage can feel overwhelming, especially when personal belongings and memories are involved.

• Remove personal property and decide whether to repair or sell the home as-is.
• Many estate sales in Washington are sold as-is, meaning no repairs are made before selling.
• Sellers are usually required to complete a Form 17 Disclosure Statement, but estates often qualify for an exemption. The law recognizes that you may not have firsthand knowledge of the home’s condition (RCW 64.06.010). Buyers may hesitate at first without disclosures, but the exemption simplifies the process for you as the seller.

Key documents to gather include the death certificate, will or probate documents, the deed and title, and tax or insurance records.

At Nine8 Redevelopment, we understand this process is not just paperwork. We allow families to sell homes as-is, without showings, inspections, or even cleaning. In some cases, closing can happen in as few as seven days, which takes much of the weight off your shoulders.

Step 5: Choose How to Sell in Washington

There are three main ways to sell an inherited home in Washington:

Traditional Listing with a Realtor

• Many realtors specialize in probate sales.
• This approach can bring in higher offers but often takes months.
• Homes may require updates, staging, and multiple showings.

Cash Buyer

• Provides a faster sale with fewer contingencies.
• No repairs, inspections, or showings are required.
• The purchase price may be lower than a traditional listing, but when you factor in repairs, realtor commissions, and closing costs, the net difference can be much smaller. You can explore this with our Free Home Sale Calculator.

Auction or Estate Sale Company

• Quick turnaround with less control over the final price.
• Auctioneers usually charge a 5% to 10% commission, which reduces net proceeds.

When deciding how to sell, think about your priorities: time, effort, and net return. If you need to move quickly or prefer not to invest more into the property, a cash buyer like Nine8 Redevelopment may be the best option. Be careful to find reputable buyers if you go with a cash buyer as many cash buyers are large companies masquerading as local companies. Nine8 Redevelopment is truly a local, family-owned company.

Step 6: Strategies for Selling in Washington

Selling an inherited home is not only a legal and financial process, but also an emotional one. Some strategies that may help include:

• Hiring third-party professionals to reduce family conflict.
  
  
• Allowing time to sort belongings at your own pace.
  
  
• Working with estate sale companies to handle household items.
  
  
• Partnering with local organizations or charities if you would like to donate items.
  
  

Step 7: Post-Sale Responsibilities

Once an offer is accepted, the sale moves to closing.

• The escrow company handles the transfer of title and collects the Real Estate Excise Tax.
• Proceeds are then distributed to the estate or directly to heirs, depending on whether probate is still open.

After the sale closes, there are a few final steps:

• Pay estate debts before distributing funds to heirs, as required under Washington law (RCW 11.76.110).
• File an estate tax return if the estate is over the threshold (currently $3 million in 2025).
• Cancel utilities, insurance policies, and local accounts tied to the property.
• Update county records to reflect the change of ownership.

Resources & Support in Washington

• Washington Courts Probate Resources
• WA Department of Revenue – Estate & Excise Taxes
• County Assessor’s Office (for property taxes and exemptions)
• Washington State Bar Association (to find probate attorneys)
• Northwest Multiple Listing Service (NWMLS)

The Simple Answer?

Selling an inherited home in Washington can feel like a huge task, especially when it comes on top of grief and family responsibilities. But step by step, the process becomes manageable.

The key things to remember are to verify the probate status, understand Washington’s tax requirements, and choose the sale method that best fits your needs. Whether you decide on a traditional listing, auction, or selling as-is, there are resources available to guide you.

If you decide that selling quickly and as-is is the right choice, Nine8 Redevelopment is here to help. We are a local, family-owned business with experience buying inherited properties. Our goal is to ease the burden for families while repairing and restoring homes for the next generation.

You do not have to go through this process alone. If you want to explore your options, reach out and see how we can support you.

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