FIRST THINGS FIRST
Before You Can Sell
You cannot sell a home you've inherited until legal title has been transferred to you — or to the estate with proper authority granted to an executor. On Long Island, this almost always involves working with a surrogate's court and, depending on the estate, a probate proceeding.
This process can take 3 months to over a year depending on the complexity of the estate, whether there is a valid will, and whether there are disputes among heirs. The single most important first step is retaining an estate attorney in Nassau or Suffolk County.
THE LEGAL PATH
How Probate Works in New York
With a Valid Will (Testate)
If the deceased left a will, it must be admitted to probate through the Nassau or Suffolk County Surrogate's Court. The court validates the will and formally appoints the executor named in it. The executor then has authority to manage and sell estate property.
Without a Will (Intestate)
If there is no will, the Surrogate's Court appoints an administrator to manage the estate. New York's intestacy laws determine who inherits — typically a surviving spouse first, then children. This process generally takes longer.
Small Estate Affidavit
For estates under $50,000 in total value (excluding real property), New York allows a simplified affidavit process. If the home is included in the estate, it does not qualify for this shortcut.
Living Trust (Avoiding Probate)
If the deceased had a living trust that held the property, the home passes directly to the trust's beneficiaries outside of probate — often a much faster path to sale. Review the trust documents with an attorney immediately.
TAX IMPLICATIONS
Understanding Stepped-Up Basis
One of the most significant tax advantages of inheriting property is the stepped-up basis. When you inherit a home, your cost basis for capital gains purposes is stepped up to the fair market value at the date of the original owner's death — not what they originally paid for it.
Example
Parent bought home in 1985 for $95,000.
Fair market value at time of death (2024): $650,000.
You sell it six months later for $665,000.
Your taxable gain: $15,000 (not $570,000). The stepped-up basis saved you potentially $85,000+ in capital gains taxes.
Timing matters. If you sell significantly above the stepped-up value, you will owe capital gains taxes on the difference. Consult a CPA or tax attorney before listing to understand your specific exposure. Jeff can connect you with Long Island professionals who handle estate sale transactions regularly.
LONG ISLAND SPECIFICS
Common Issues With Inherited Long Island Homes
Deferred Maintenance
Homes that haven't been actively maintained often have accumulated issues — older roofs, outdated systems, oil tanks, or cosmetic wear. Budget for a pre-listing inspection ($400–$600) to understand what you're working with.
Oil Tank History
Many older Long Island homes have underground tanks — this must be disclosed. If the tank status is unknown, do a tank sweep before listing. An unresolved tank issue can kill a deal at inspection.
Property Tax Grievance
Long Island property taxes are among the highest in the country. Check whether the decedent's taxes were ever grieved — and whether an existing STAR exemption was applied (you may not qualify as an heir if it's not your primary residence).
Multiple Heirs
If you and siblings or other relatives jointly inherit the property, all legal owners must agree to sell and sign the deed. Disagreements between heirs are a major cause of delay — mediation or legal action may be necessary.
Unpermitted Work
It's common to find prior additions or renovations in older Long Island homes that were done without permits. Your attorney will need to address open permits or code violations in the contract.
Estate Liens
Any outstanding debts of the estate — Medicaid liens, unpaid contractors, mortgages — can attach to the property and must be resolved before closing. Your estate attorney handles this.
THE PRACTICAL PATH
Your Step-by-Step Plan
1
Retain an estate attorney in Nassau or Suffolk County immediately
2
File for probate or confirm trust/transfer-on-death deed mechanism
3
Secure the property — change locks, notify homeowners insurance, continue paying taxes and utilities
4
Have the property professionally inspected so you know what you're working with
5
Determine whether any STAR exemption, senior freeze, or other abatement needs to be addressed
6
Get an oil tank sweep if history is unknown
7
Consult a CPA about stepped-up basis and tax exposure before you price the home
8
Interview listing agents once legal authority is confirmed
9
List, disclose all known conditions, and sell
Navigating an Estate Sale on Long Island?
Jeff has experience with inherited property sales across Nassau and Suffolk County and can connect you with estate attorneys, CPAs, and other professionals who specialize in this type of transaction.