Higher home prices and mortgage rates – plus the increasing costs for renovations, property taxes and utilities – are making it harder for adult children to hold onto inherited family property.
Plus the cash can be more appealing than the real estate. If inheritors can unload a house in a hot location for a high price, the home sale proceeds can help secure their finances and fund goals such as retirement, financial advisers say.
More than three-quarters of parents plan to leave a home to their children when they die, according to a 2023 Charles Schwab survey – and almost 70% of those who expect to inherit a home from their parents plan to sell it, the survey found.
For some context take a look at the wealth distribution in the United States in this this graphic from the New York Times. Looks like the total wealth of the US is about $158 Trillion. Pretty astonishing.
Mortgage Rates Decline After a Three-Week Ascent
Mortgage rates decreased after a three-week climb. While elevated rates and other affordability challenges remain, inventory continues to be the biggest obstacle for prospective homebuyers.
