February 19th, 2013 9:24 PM by Michael and Jill Kohler
If you are an heir to a property and you would like to keep the property, you can refinance into a new mortgage loan as well as take title to the property from the estate at the same time. If there are multiple heirs and you want to refinance the property for yourself, you can use the proceeds of the refinance to pay each heir their value of their share. This transaction is technically a refinance and a purchase. Since you have at least one share of the ownership of the property, you can usually use that share of ownership as your downpayment or equity into the transaction so you won’t need to make a cash deposit at closing. It’s important you consult with a lawyer and loan officer if you inherit property that needs to be refinanced. They will be able to make you aware of any state and federal laws that will be able to guide you on your best course of action.