Usually not, if you're the parent's child. Under New Jersey's inheritance tax rules, spouses, children, stepchildren, grandchildren, parents, and grandparents are Class A beneficiaries and are not subject to state inheritance tax.
Still, selling a parent's home in Hamilton has a few steps families don't always expect:
Who inherits matters. Siblings, nieces, nephews, and friends fall into other beneficiary classes and may owe inheritance tax. If the home goes to more than one person, the answer can be different for each of them.
New Jersey's estate tax is gone. For deaths in 2018 or later, the state estate tax no longer applies. That's separate from the inheritance tax.
A tax waiver may be needed. Real estate generally can't be transferred out of an estate until the state issues a tax waiver. When no tax is due, a Class A beneficiary can file an Affidavit for Real Property Tax Waiver instead of a full return.
The executor signs. Someone needs legal authority to sell. In Mercer County, that process runs through the Surrogate's Court.
Keep the house safe while it's empty. Keep the heat on, have the mail forwarded, check the insurance on a vacant home, and have someone check on the house regularly.
None of this has to happen in a rush. Families often need a few weeks to go through belongings before they can think about listing.
Fred Gomberg works with Berkshire Hathaway HomeServices Fox & Roach in Princeton and helps Hamilton families coordinate estate sales with their attorney, cleanout crews, and contractors, including families who live out of state. This isn't tax or legal advice, so talk with an estate attorney about your situation. When you're ready to talk about the house itself, Fred is easy to reach.
