Selling Inherited Land in Florida

Inherited Land in Florida: What to Know

When a Florida landowner dies, the land does not sell itself. Someone has to show who the new owners are before a buyer or title company will close. In Florida that usually means a probate case in circuit court, either full administration or the shorter summary administration.

This page explains who inherits under Florida law, which court options fit vacant land, what happens when several heirs own the land together, and how taxes work when you sell. This page is general information, not legal or tax advice.

How land passes with a will and without one

If the owner left a valid will, the will names who gets the land. The will still has to go through probate in Florida before it controls a sale.

If there is no will, Florida's intestacy statutes decide. Under section 732.102, a surviving spouse takes everything when the owner had no descendants, or when all descendants are also the spouse's and the spouse has no other descendants. If the owner had children from another relationship, or the spouse has children from another relationship, the spouse takes one half.

Whatever the spouse does not take passes under section 732.103 in this order:

• Descendants (children, and grandchildren in place of a child who died first)
• Parents, equally, or the surviving parent
• Brothers and sisters, and children of a brother or sister who died first
• Grandparents and their descendants, split between the father's side and the mother's side
• Kindred of a deceased spouse, as a last step before the state

Homestead rules and why they usually do not apply to vacant land

Florida has special descent rules for homestead property. Under section 732.401, if a homestead is not left by will and the owner leaves a spouse and descendants, the spouse gets a life estate and the descendants get the remainder. The spouse can instead elect, within 6 months of the death, to take a one-half interest as a tenant in common.

Homestead in this sense is tied to the owner's home under Article X, section 4 of the Florida Constitution. A vacant lot or acreage the owner did not live on is usually not homestead. A lot next to the home, or land the home sits on, can be different. If there is any question, ask the probate attorney before you list or sign.

Probate, summary administration and other options for real estate

Florida's simplest route, disposition without administration under section 735.301, covers only personal property. It does not transfer land.

For land, the usual short route is summary administration. Under section 735.201, it is available when the estate subject to administration in Florida, less property exempt from creditors, is worth $75,000 or less, or when the owner has been dead more than 2 years. If a will exists, it must not direct formal administration. The court enters an order that names who receives the land, and that order is recorded with the deed records.

Larger or contested estates go through formal administration. The court appoints a personal representative. Under section 733.608, the personal representative controls the owner's real property, other than protected homestead, and can sell it to pay debts or to distribute the money.

• Disposition without administration: personal property only
• Summary administration: estate of $75,000 or less, or death more than 2 years ago
• Formal administration: personal representative can sell the land
• Court forms and filing fees vary by county; check with the clerk of court

Heirs property and when the heirs disagree

When land passes to several relatives, they usually own it together as tenants in common. Each owns a share of the whole, not a piece of the ground. Every owner has to sign the deed for a buyer to get the whole parcel.

If the owners cannot agree, any co-owner can ask a court to divide or sell the land under section 64.031. Florida adopted the Uniform Partition of Heirs Property Act in 2020, found in sections 64.201 to 64.214. It applies when the court finds the land is heirs property as defined in section 64.202: no written agreement governs partition, at least one owner got title from a relative, and family members hold a large enough share.

For heirs property, the court sets a value first. Owners who did not ask for a sale then get the chance to buy out those who did. Under section 64.207, they have 45 days after notice to say they want to buy, at the court value times the seller's fraction. If no buyout happens, the court looks at dividing the land before ordering a sale, and a sale is normally on the open market.

Taxes when you sell inherited land

You do not pay federal income tax just because you inherit land. Tax comes up when you sell. Under IRS Publication 551, your starting value, called basis, is generally the land's fair market value on the date of death. The estate's personal representative can choose a later alternate valuation date in some cases.

This is often called a stepped-up basis. Say the land was worth $25,000 when your parent died and you sell it for $26,000. Your gain is about $1,000 before selling costs, not the full price. IRS Publication 559 says a gain on inherited property counts as long term no matter how long you held it, so the lower long-term rates apply.

Florida has no state personal income tax under Article VII, section 5 of the Florida Constitution, so there is no state capital gains tax on the sale.

A written appraisal or a broker opinion of value from around the date of death helps you prove your basis. Talk with a tax professional about your own numbers. This page is general information, not legal or tax advice.

• Basis: usually the land's value on the date of death
• Gain: sale price minus that basis and your selling costs
• Holding period: always long term for inherited property
• Report the sale on your federal return; the closing agent may issue Form 1099-S

Selling before or after probate

Heirs often ask if they can sell before probate. In most Florida cases, a buyer's title insurer wants a court order or letters that show who can sign. Without one, the heirs usually cannot give a clean title, so the sale waits for probate to open.

Once a personal representative is appointed, that person can often sign a contract while the case is open. After a summary administration order, the people named in the order sign the deed. Either way, all owners or the personal representative must agree on the sale.

If the land has back taxes, a lien or an unclear chain of title, the sale can still happen. Those items are paid or fixed at closing from the sale money.

How we buy land from heirs in Florida

EasyLotBuyer buys vacant land for cash, including land held by heirs and estates. We make a cash offer within 24 hours. You pay no fees or commissions, and we pay the closing costs. We can close in as few as 7 days once the people who can sign are in place.

We also buy land with back taxes, liens, title issues or no road access. Back taxes are paid at closing from the sale. See our Florida land page or our guide on how to sell inherited land.