The family home is often the most important asset that a family owns. Not only is it usually the most valuable, but it also can have significant emotional attachment. So, what happens to the house when someone dies? Like many legal questions, it depends! Here are some facts relating to the inheritance of a home.
Who inherits the home depends on the owner’s estate plan. If they have a will or trust, those provisions can dispose of the house. Texas also offers transfer on death deeds, which act to transfer the house when someone dies. If no plan exists, Texas has an automatic descent and distribution scheme, which determines the beneficiaries after an heirship proceeding.
If the family home has a mortgage, property taxes, or code lien, these encumbrances stick with the house. Also, if the deceased person was enrolled in Medicaid, the state can seek repayment for benefits from the house.
In Texas, the surviving spouse has homestead protections.
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, specific tax, legal or accounting advice. We can only give specific advice upon consulting directly with you and reviewing your exact situation.
