If you should inherit real estate property in Colorado, you will also inherit any ‘baggage’ that may be attached to it. Once you have received any inherited property, it’s always a good idea to seek an experienced attorney who will determine the legal disposition of the property, the status of the mortgage, the title and verify if there are any liens or judgments filed against the property.
Gantenbein Law Firm’s accomplished real estate, tax and estate attorneys all have the expertise to find the best option and solution to property you have inherited. They will confirm the existence or non-existence of any claims on the property and help you make the decision whether to keep or sell the property and to whom. If you decide to satisfy (pay) a lien to sell the property, our attorneys can help by possibly negotiating with the creditor(s) or satisfying the lien through the closing (selling) process.
Inheriting real estate can be a mixed blessing, especially if you discover there are judgments attached to the property. If the property is underwater (more is owed on the property than the property is worth) and/or there are liens and judgments filed against the property, you may decide you don’t want the property. Your attorneys can file the necessary paperwork to disclaim the property.
Homes that need expensive repairs may be better sold to a real estate investor who are more likely to buy a home “as is”. Our experienced Denver, Colorado real estate attorneys can draw up specific contracts if you decide to sell. Typically, if there is a mortgage on the home, once the person is deceased, there’s usually a ‘due-on-sale’ clause in the mortgage contract. We can help you with mortgage transfers and other options that may be available to you.
Under Colorado law, when a spouse dies, the surviving spouse retains ownership of half the marital property and the other half will be distributed according to the will. If there is no will, Colorado intestate succession laws will determine the distribution of the property.
Colorado does not have inheritance taxes, but there are federal estate taxes. Luckily, the basic exemption for federal taxes is high so that most estates won’t have to pay an estate tax. There may be capital gains taxes on the inherited property if you sell. Our tax attorneys can review and advise you regarding the pro’s and con’s of the property tax situation. If there’s a loss from the sale, you may be able to deduct a certain amount of losses to avoid paying capital gains taxes.
If you inherited a property under a will or trust, and you owe creditors, creditors often check probate cases to see if you’re a beneficiary and may take steps to collect on their debt. Proper estate planning by the deceased may protect a beneficiary’s inheritance. Our Denver, Colorado probate attorneys can help you or your family members update estate planning if creditors are or may be a problem and advise of your best options.
In addition to real estate law, tax law, estate planning and probate law, Gantenbein Law Firm also practices Business Law, Wills & Trusts, Elder Law, HOA law involving homeowner disputes, Foreclosure Defense and Credit Repair / Dispute. Gantenbein Law Firm is located in Denver and serves clients throughout all of Colorado. Call 303-618-2122 or visit www.gantenbeinlaw.com to schedule a consult and discuss your best options.