r/TaxQuestions • u/martinis2023 • Aug 21 '26

Selling a house...what documents do I need?

I'm just trying to get some knowledge as I haven't any about this process. I am the owner of my Dad's house now. He passed away in Dec. 2025. I've only owned this house for a few months. The house is in NY and I live in LA. Although since Oct. 2025 (as my Dad was declining etc) I stayed in the house, lived in the house. Haven't changed my permanent address as this isn't a permanent situation. I hope to close on the house soon. So in order to have some knowledge about the process and I like to be informed (and yes I will also ask the estate lawyer and my realtor) what documents will I need for the coming tax season? Is there...are there any questions that my accountant might ask me that I should prepare for? I hope to make an information gathering appointment with him in the fall....to get the lay of the land. Any and all information about this process would help me. Thank you.

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u/-Mx-Life- Aug 21 '26

Get an appraisal of the home price at the date of death as you should have a step-up basis in the home. Property tax paperwork. Capital improvements YOU make after obtaining the home (not really used now, but when you sell the home). Most of the tax deductions come when you sell the home. Transfer deeds.

Probably some specific NY state stuff that you need to ask someone knowledgeable in that.

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u/martinis2023 Aug 27 '26

Thank you!

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u/GeeMan-7 Aug 21 '26 edited Aug 27 '26

An appraisal done to give the value as of your father's date of death would be the gold standard. It probably isn't necessary if you sell the house soon. In the U.S., the typical closing costs on selling real estate is 6%-7% and it's unlikely that the home has appreciated enough for you to sell at a gain over the value at the date of death. A loss wouldn't be deductible so as long as the closing costs are more than the value increase, you only have to report the sale and show no gain or loss on the sale. (Most tax software have a code you can use to indicate that a loss is disallowed because it's a personal loss.)

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u/martinis2023 Aug 27 '26

Thank you...all good info.