How to Sell an Inherited Property When an Inheritor Does Not Want to

Selling an inherited property can be a complicated process, especially when there is no consensus among the heirs. In this article, we explore the legal and practical options available to sell an inherited property even if one heir disagrees.

What is a Property in Proindiviso?

When a property is inherited, it is generally done in a proindiviso regime, which means that all heirs jointly own the entire property, each with a specific percentage. This requires the consent of all for any significant action, including the sale. However, the law offers solutions when there is no agreement among the heirs.

Option 1: Extinction of the Condominium

An option is for one or several heirs to buy the rest of the shares, thus taking full ownership of the property. This process is known as the extinction of the condominium.

Advantages:

• Tax Savings: No municipal capital gains tax or transfer tax is paid, although heirs who sell their share must pay capital gains tax in the IRPF.
• Avoid Conflicts: It is an amicable solution that avoids legal disputes.
• Higher Profit: The sale price is generally higher than in a judicial auction.

Disadvantages:

• Mortgage: If the property has a mortgage, the selling heirs will still be holders unless a loan novation is agreed upon with the bank.

Option 2: Act of Conciliation

If no agreement is reached, an act of conciliation mediated by a professional can be resorted to. This agreement will have legal validity and will avoid judicial procedures.

Advantages:

• Amicable Way: Avoids the costs and duration of a judicial process.
• Legal Validity: The agreement is binding and any breach can be taken to court.

Option 3: Voluntary Auction

Another option is to sell the property through a voluntary auction if the heirs agree to sell but not on the price. This is done through the Court of First Instance.

Advantages:

• Avoid Price Conflicts: The price is determined by the auction, not by the heirs.

Disadvantages:

• Slow Process: Judicial auctions can be slower than a direct sale.
• Lower Profit: The price obtained is usually lower than the free market.

Option 4: Sale of the Proindiviso

An heir can sell their share of the property to a company that buys proindivisos.

Advantages:

• Avoid Judicial Process: It is a quick way to exit the proindiviso without going to court.
• Speed: This process is usually faster than a lawsuit.

Disadvantages:

• Less Money: Purchasing companies offer less money than market value.
• Potential Conflicts: It can generate conflicts with other heirs, especially if someone lives on the property.

Option 5: Division of Common Property

The last option is to file a lawsuit for the division of common property, where a judge will order the sale of the property at public auction and distribute the profits.

Disadvantages:

• High Cost: Judicial proceedings are expensive.
• Long Term: It can take more than a year to resolve.
• Lower Profit: Public auctions usually result in prices below market value.

Key Conclusions

Selling an inherited property without the agreement of all the heirs is complicated but not impossible. The options include the extinction of the condominium, the act of conciliation, the voluntary auction, the sale of the proindiviso, and the division of common property lawsuit. Each has its advantages and disadvantages in terms of cost, time, and potential profit.

Frequently Asked Questions

Can you sell a property if an heir does not want to?

Yes, there are several legal options to do so, such as the extinction of the condominium, the sale of the proindiviso, and the division of common property.

What happens if one of the heirs lives in the property and does not want to leave?

If the majority of the heirs want to sell, they can initiate an eviction procedure. It is advisable to seek legal advice in these cases.

For more information and assistance in selling inherited properties, contact us at Marina Digorn Real Estate in Calpe. We are here to help you!