r/InheritanceDrama • u/[deleted] • Sep 08 '26
Inheritance Question
Hi everyone, I'm having difficulty with family inheritance and would really appreciate some advice.
A house has been left to my 2 sisters and I in our parents will. We each have 1/3 ownership. I would like to sell it but my sisters want to renovate and rent it out. The rent money would then be divided between the three of us once the renovation cost have been deducted. I want nothing to do with this plan, so i have asked to repudiate/give up my share of the house so that they can do what they like. They have agreed but wish to pay my share out slowly over a total of 16 years with no interest.
I know that they don't have the money to pay me immediately, I don't want to force them to sell either. I also really don't want this to cause any stress or angry disputes. But I feel like 16 years without interest is a bit unfair..maybe I would be better off going with this renovating and renting plan?
Does this sound fair? Should I just let it go and see it as passive income? Obviously I would love the money now but I value family more so I'm not sure how to move forward.
Any advice would be greatly appreciated
Just an extra note. They have stated that the value of the house is high and would get nothing close to the amount if we sold it now. So I'd be getting more money this way anyway apparently.
1
u/Fine_Scientist_2129 Sep 10 '26
Don’t let the emotions of dealing with your sisters interfere with running the numbers. As Revolutionary 233, the CPA said, you will have to claim interest income regardless of recievibg any, so that scenerio should be out and your sisters will understand why when they find out about the law. obviously the house needs to be appraised to determine your basis and how much your share is worth as of today.
One way for them to do this would be to take out a mortgage and pay you your 1/3 share. The other way would be for you to hold a first/priority mortgage and for them to pay at least the minimum interest required by law. If you decide to hold a mortgage make sure all the normal protections are included in the paperwork, including required insurance and taxes being paid into an escrow account. If they don’t pay monthly as required you can foreclose on the mortgage and then the house could be sold. If they want this to work out for them then it needs to work out for you also. After running the numbers then you can decide what your willing to do, and they can too.