Selling an inherited house in Puerto Rico
Short answer
Yes. First come the estate papers: who the heirs are, the estate tax return and the waiver Hacienda (Puerto Rico's Treasury) requires to sell. All the heirs have to consent to the sale, the surviving spouse included, but the estate doesn't have to be divided first. Heirs on the mainland can sign without traveling, with a power of attorney.
Step by step
Each step says when it happens.
Find out whether there is a will
First
Ask Puerto Rico's Registry of Wills for a certificate: you request it with form OAT-1572, paid with stamps (sellos). If there's a will, it says who inherits. If there isn't one, go on to the next step.
Get a declaration of heirs, if there's no will
There's no official timeline; with minor heirs, the notary waits 30 days
If no one disputes it, a notary can do the declaration of heirs (declaratoria de herederos), just as a court can. Any dispute stops the process before the notary.
File the estate tax return
For deaths since January 1, 2018: 12 months from the date of death
In Spanish it's the planilla de caudal relicto. It's Form SC 2800 C, for deaths since January 1, 2018. It's filed online only, through SURI, by the estate's administrator (a forced heir, the spouse or the executor), not by the notary. A forced heir is a close relative the law entitles to a share. SURI is Hacienda's online system.
Ask for Hacienda's waiver
Before the sale
In Spanish it's the relevo. It cancels Hacienda's lien, and Hacienda requires it to record and sell the property. The regular waiver requires certificates from Hacienda and from CRIM (the property-tax agency) that show no debts. If there are debts, there are other paths: see the question about the waiver.
Record the heirs' right in the Property Registry
Before the sale is recorded
To record a sale, the seller's right has to be recorded first. The heirs' right is recorded with the will or the declaration of heirs.
All the heirs sign the sale
We can close in 7 days once the paperwork is ready; our goal is to close in under 30 days
All the heirs together can sell the house without dividing the estate first. An heir who lives on the mainland can sign without traveling: they sign a power of attorney in their state, it's protocolized in Puerto Rico (entered into a notary's official records there), and someone they trust signs for them. Closing takes place before a notary, and payment is made at closing, by cashier's check (cheque de gerente) or wire transfer.
Who pays what at closing
What gets paid in this situation, and where the money comes from.
| Cost | Who pays | Note |
|---|---|---|
| The house's CRIM property tax debt | The heirs, from the sale money | Normally paid at closing from the sale money, with a check made out to CRIM. For the waiver, see the question about it. |
| Mortgage, if the house still has one | The heirs, from the sale money | The bank issues a payoff letter, and the mortgage is paid at closing from the sale money. |
| Deed of sale, stamps and Property Registry fees | Spelled out in the written offer | In Puerto Rico, the sale is settled on a sheet called the hoja de liquidación, which lists each cost and who pays it. |
| Whatever is left in the house | We clear it out | You can leave behind what you don't want; we clear it out. |
| Commission | None | When we buy directly, we don't charge you a commission. |
An example with numbers
Made-up numbers, so you can see how the math works.
Three siblings inherit their mother's house. She died without a will; there's no surviving spouse and no mortgage. They did the declaration of heirs before a notary and filed the estate tax return, but the CRIM certificate shows a debt, so they ask for the Autorización Condicionada (permission to sell and pay the debt with the sale). The numbers are made up.
| Agreed sale price | $120,000 |
|---|---|
| CRIM debt, paid at closingPaid from the sale money. | $2,900 |
| Deed, stamps and Registry feesWho pays each cost is in the offer. | Spelled out in the written offer |
| What the heirs receive, before closing costsSplit according to each heir's share. | $117,100 |
The papers, in order
To sell an inherited house, you'll need, in this order: the certificate from the Registry of Wills; the will or the declaration of heirs; the estate tax return; Hacienda's waiver; and the heirs' right recorded in the Property Registry. The steps in this guide explain each one, and the notary tells you what's missing in your case.
First: who the heirs are
Everything starts with who the heirs are, because they're the ones who sell. The date of death matters. The 2020 Civil Code applies to deaths since November 28, 2020; if the person died before that, the 1930 Civil Code may apply.
If there's a surviving spouse or a minor heir, there are extra signatures and steps. They're in the questions in this guide.
What Hacienda asks for
Hacienda, Puerto Rico's Treasury Department, asks for two things, in this order: the estate tax return and the waiver. Watch for this one: the regular waiver requires Hacienda and CRIM certificates that show no debts.
That's why it pays to find out early whether the house owes property tax to CRIM, the agency that collects it for Puerto Rico's towns. If it does, the question about the waiver explains the two paths.
Looking after the house from far away
While the papers get sorted out, someone has to look after the house. Taking care of the house (keeping it up, watching over it, managing it) and paying the taxes on the estate isn't, by itself, accepting the inheritance, unless the person takes on the title of heir. If you're paying the CRIM on your parents' house, read the question about that in our guide Selling a house that owes CRIM property tax. Before any major repairs on an inherited house, talk to a lawyer.
To sell, you don't have to fix the house up or empty it. We buy as-is: no repairs or cleaning before you sell. Leave behind what you don't want; we clear it out. Power and water don't need to be on. If no one in the family is on the island, tell us who can let us in to see it. And if the house has been empty for a long time or is falling apart, read our guide Selling a run-down or vacant house in Puerto Rico.
Common questions
Can I sell an inherited house without putting it in my name?
Yes. All the heirs together can sell the house to someone else without dividing the estate first, so it doesn't have to go into one person's name. What you do need is the heirs' right on record in the Property Registry: it's recorded with the will or the declaration of heirs; a separate filing (instancia) is needed only if those papers don't describe the property.
The house isn't recorded in the Property Registry, or we can't find the deed. Can we still sell?
That has to be sorted out first, because to record a sale, the seller's right has to be recorded first (tracto sucesivo). If the house wasn't recorded in the name of the person who died, or the deed can't be found, take whatever papers you have to the notary: they'll tell you what's missing in your case.
One of my siblings doesn't want to sell. What can we do?
To sell the whole house, all the heirs have to consent. If you can't agree, there are other paths:
- An heir can sell their own share of the inheritance without the others' permission, but not the house itself. If the share goes to an outsider, the other heirs have 30 days to buy it first (derecho de tanteo), in proportion to their shares.
- Any heir can ask for the estate to be divided (partición) at any time, unless the heirs agreed not to divide it; if not everyone agrees, a judge decides the division.
- If an heir won't say whether they accept the inheritance, today only a judge can require them to accept or reject it (interpelación).
Before it comes to that, it helps if everyone sees the same number in writing and talks it over with a lawyer or a notary.
Can a notary do the declaration of heirs?
Yes, when there's no will and no one disputes it: a notary can do the declaration of heirs, just as a court can; any dispute stops the process before the notary. The declaration before a notary follows Rules 97 to 100 of the Supreme Court's rules for the law on non-contentious matters before a notary. As for time, there's no official timeline: ask the notary what it costs and how long they expect it to take in your case.
What is the estate tax return, and when is it due?
It's the return that tells Hacienda what the person who died left behind. In Spanish it's the planilla de caudal relicto. It's Form SC 2800 C for deaths since January 1, 2018, and it's due 12 months from the date of death. The estate's administrator files it, not the notary.
What is Hacienda's waiver (relevo)?
It cancels Hacienda's lien, and Hacienda requires it to record and sell the property. In English it's often called an estate tax waiver or a release of lien. The regular waiver requires Hacienda and CRIM certificates that show no debts. If there are debts, there are two paths: the Relevo Condicionado (for debts under review, with a bond) and the Autorización Condicionada (permission to sell and pay the debt with the sale). Ask the notary or the lawyer handling the estate how they work in practice, and whether the sale can pay those debts.
Does the estate have to be divided before we sell?
No, not if everyone agrees: all the heirs together can sell the house without dividing the estate first. Dividing it is called partición. You can also decide to wait: the heirs can agree not to divide the estate for up to 4 years, and renew that agreement.
Is there inheritance tax in Puerto Rico?
For deaths since January 1, 2018, there's no estate tax in Puerto Rico (Act 76-2017), but the estate tax return is still required. Selling the house is a separate matter: your CPA calculates the basis to see whether there was a gain.
My widowed mother lives in the house. What are her rights?
The surviving spouse inherits in equal parts with the children, is often the owner of half the marital property, and also has to sign. That's the rule under today's code: the 2020 Civil Code applies to deaths since November 28, 2020; if the person died before that, the 1930 Civil Code may apply. In that case, ask the notary what rights the spouse has over the house (for example, a usufruct, the right to use it) and how they affect the sale.
What if some of the heirs are minors?
There are extra steps. In the declaration of heirs, the notary notifies the Ministerio Público and waits 30 days (the Ministerio Público is the prosecutor's office). Before selling, ask the notary what authorization from a judge or the Ministerio Público is needed to sell in your case.
I inherited the house with my siblings, and I live in Florida. How do I sign?
You can sell without flying back: you sign a power of attorney in your state, and someone you trust signs for you in Puerto Rico once the power of attorney has been protocolized there. The whole process for an heir on the mainland (the power of attorney, the taxes and how your share reaches you) is in the guide Selling a Puerto Rico house from the mainland.
Next step
When the family is ready to talk about selling, even if a paper or two is still missing, send us the address of the house. We send a written offer within 48 hours after we see the house, so everyone can read it calmly, wherever they live, before you decide together. We work with lawyers, notaries and CPAs who help with the paperwork.
Sources
Where this guide's facts come from.
- Civil Code of Puerto Rico: when it applies checked on
- Civil Code: consent of all the heirs checked on
- Civil Code: selling an heir's share checked on
- Civil Code: the other heirs' right to buy first checked on
- Civil Code: agreeing not to divide the estate checked on
- Civil Code: dividing the estate checked on
- Civil Code: the surviving spouse checked on
- Non-contentious matters before a notary: minor heirs checked on
- Declaration of heirs before a notary checked on
- Supreme Court rules for the notary's declaration checked on
- Registry of Wills: request form checked on
- Hacienda: estate tax return form checked on
- Hacienda: filing through SURI checked on
- Hacienda: estate tax return deadline checked on
- Hacienda: the waiver (relevo) checked on
- Hacienda: debt-free certificates for the waiver checked on
- Hacienda: the conditional waiver and the conditional authorization checked on
- Property Registry: the seller's right recorded first checked on
- Property Registry: recording the heirs' right checked on
- Property Registry: a sale by all the heirs checked on
- Civil Code: requiring an heir to answer checked on
- Civil Code: acts that are not accepting the inheritance checked on
- Selling without traveling, with a power of attorney checked on
- Settlement sheet (hoja de liquidación) checked on
- Inheritance tax checked on
- Basis of an inherited property checked on
General information; not legal or tax advice. For your situation, talk to a lawyer or a CPA.