Inherited House in Sacramento: What to Do Before You Sell (2026)
When a parent or relative dies and leaves a house, the sale is rarely the first problem. The house has to be protected, someone has to get the legal right to sign, and the county wants to hear about the death within 150 days.
Below are the steps that come before a sale in Sacramento, roughly in the order you'll run into them. We're a local cash buyer, so at the end we'll also explain how an as-is sale works for an estate.
The first week: protect the house
An empty house goes downhill faster than people expect, and nobody else is watching it now. Before anything about a sale, do these:
- Change the locks or at least collect every key you can find. Write down who has one.
- Call the homeowner's insurance company. Tell them the owner died and whether anyone is living there. Many policies cut back coverage once a house has sat empty for a while, so ask exactly what's covered and whether you need a vacancy policy.
- Keep the power, water and gas on. Sacramento summers are hard on an empty house, and buyers and inspectors need working utilities anyway.
- Have the mail forwarded so bills and tax notices don't pile up on the porch.
- Don't throw away paperwork. You're looking for the will or trust, the deed, mortgage and tax statements, and the insurance policy.
Figure out who can sign
Who has the right to sell depends on how the house was owned:
| How the house was held | Who can sell | Court involved? |
|---|---|---|
| Living trust | The successor trustee named in the trust | Usually no |
| Joint tenancy or community property with right of survivorship | The surviving owner, after recording an affidavit of death | No |
| In the owner's name alone, with or without a will | The executor or administrator appointed by the probate court | Yes, letters from the court first |
With full authority under the probate rules, an executor can often sell without a court hearing by giving the heirs a notice of proposed action. Our probate timeline walks through those steps and how long each takes.
Tell the county assessor within 150 days
This one is easy to miss because nothing reminds you. California treats a death as a change in ownership, and the heirs or the executor have to file a Change in Ownership Statement, form BOE-502-D, with the county assessor no later than 150 days after the death. If the estate goes through probate, the form is due before or along with the inventory and appraisal. The state's guide to reporting a death explains it, and the Sacramento County Assessor has a page on what to send.
After that, expect the house to be reassessed at its market value as of the date of death, which usually means a higher tax bill. There are exceptions. A transfer to a surviving spouse isn't reassessed, and under Proposition 19 a child who inherits the family home can keep the old tax base, but only if they move in and make it their main home within a year, and only up to a value limit. If the plan is to sell, that exclusion won't apply.
The mortgage doesn't have to be paid off right away
A loan on the house doesn't come due just because the owner died. Federal law generally stops a lender from calling the loan when a home passes to a relative at death. Keep making the payments if you can, because missed payments are what start a foreclosure.
Call the servicer, tell them about the death, and ask them to confirm you as a successor in interest. Once they do, federal servicing rules (Regulation X §1024.31) mean they have to treat you much like the borrower, including giving you information about the loan. If payments have already fallen behind, read our guide to stopping a foreclosure in California before the notices go further.
Belongings and the cleanout
Sorting a parent's things is usually the hardest part, and it's the part people want to rush. Don't give away or sell anything of value before the executor has authority and the heirs agree on it. Photograph the rooms first; it heads off arguments later.
Pull out the papers, the photos and whatever family members want. The rest can go to an estate sale company or a charity, or simply stay in the house if you sell it as-is.
Taxes when you sell
- Heirs usually get a stepped-up basis, so the gain is measured from the value at the date of death, not what the owner paid decades ago. Selling soon after often means little or no capital gains tax. Our article on capital gains tax on inherited property has worked examples.
- Any gain is taxed as ordinary income on the California return (Franchise Tax Board).
Your checklist
- Week 1. Secure the house, call the insurer, keep the utilities on, forward the mail, gather the papers.
- Weeks 2 to 4. Find out how the house was held, and start probate or the trust steps if needed. Call the mortgage servicer.
- Within 150 days. File form BOE-502-D with the county assessor.
- Before you sell. Agree with the other heirs on the plan, deal with the belongings, and get an idea of the house's value.
How it works with Pacific Home Buyers
We make one cash offer that every heir can review, and the executor or the heirs sign. You don't have to fly in: documents can be signed with a mobile notary. We buy the house as-is, handle the cleanout, and close on the schedule the estate needs. The title company splits the money the way the executor tells it to.
How we buy inherited housesIf you're still deciding whether to sell, keep it or rent it out, our guide to selling an inherited house in California covers those choices.
None of this is legal or tax advice for your situation. A probate attorney and a CPA can tell you what applies to this estate.
Frequently asked questions
What should I do first when I inherit a house in Sacramento?
Secure the house, call the homeowner's insurance company to report the death and whether the house is empty, and keep the utilities on. Then find the will or trust, the deed and the latest mortgage and tax statements.
Do I have to tell the county that the owner died?
Yes. California requires a Change in Ownership Statement, form BOE-502-D, filed with the county assessor within 150 days of the death. If the estate is in probate, it has to be filed before or with the inventory and appraisal.
Will the property taxes go up after the owner dies?
Usually, yes. A death counts as a change in ownership, so the house is reassessed at market value unless an exclusion applies, such as a transfer to a surviving spouse or the parent-to-child exclusion under Proposition 19, which requires the child to move in as their main home.
Do I have to pay off the mortgage right away?
No. Federal law generally stops the lender from calling the loan just because the house passed to a relative at death. Keep making the payments if you can, and ask the servicer to confirm you as a successor in interest.
Can I sell an inherited house before probate is finished?
A house held in a living trust can normally be sold by the successor trustee, with no probate. Otherwise the court has to issue letters to an executor or administrator first. With full authority, the executor can often sell without a court hearing.
Do I have to clean out the house before selling?
Not if you sell to a cash buyer who takes it as-is. Keep the paperwork and anything family members want, and the rest can stay. If you list with an agent, expect to empty and clean the house before showings.
Next step
When you're ready to see what the house would sell for as-is, send us the address or call (916) 885-0510. It costs nothing, and you can say no.