Life Event Guide

Inherited a House in Ontario — your mortgage options

Inheriting a property brings financial complexity alongside grief. Whether you want to keep it, sell it, or buy out siblings — we'll explain every mortgage option and find the right path forward.

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Your options

What to do with an inherited home

Most families face one of four scenarios — each has a different mortgage solution.

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Keep it as your home

If you want to live in the inherited property and there's an existing mortgage, you'll need to either assume it (if assumable) or refinance it into your own name. We help navigate both paths.

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Buy out co-heirs

Multiple siblings inheriting together often means one wants to keep the home. A "buy-out refinance" lets you borrow against the property to pay the others their share of the estate.

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Keep it as a rental

Inherited properties with low or no mortgage balance make excellent rental investments. A refinance can pull out equity to fund renovations or buy another property.

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Power of sale threat

If the estate can't make mortgage payments during probate, the lender may initiate power of sale. We can arrange bridge financing to buy time while the estate is settled.

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Probate & title transfer

Before any mortgage can be arranged on an inherited property, title must be transferred through probate. We work alongside your estate lawyer to time the financing correctly.

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Routes to Refinance

Most inherited property situations are resolved through refinancing. We source from 50+ lenders including private options for estates still in probate.

Common questions

Do I inherit the mortgage along with the house?

You inherit the property, not the mortgage — the estate is responsible for paying it off. If there's equity, the mortgage is paid from proceeds. If you want to keep the home, you'll need to refinance into your own name after title transfer.

Can I get a mortgage on an inherited property while it's still in probate?

Standard mortgages require clear title, which you don't have until probate is complete. However, some private lenders can provide bridge financing during probate based on the estate's equity — buying time to complete the legal process.

How do I buy out a sibling's share of an inherited home?

A buy-out refinance uses the property as collateral. You borrow the amount needed to pay your co-heirs their portion (e.g., 50% of appraised value minus any debts) and the mortgage is registered in your name alone. You'll need to qualify based on income and credit.