Inheriting a house often means inheriting a bill first. With a deadline.
Inheriting a house often means inheriting a bill first. Inheritance tax falls due within six months, costs keep running, and the draft 2027 budget could change the case for waiting before selling. Here is what is pushing some heirs to speed up today.
Six months, not one more
The estate return (déclaration de succession) must be filed within six months of the death, when it occurred in mainland France. The tax is paid when the return is filed. After that deadline, late-payment interest of 0.20% per month applies, and a surcharge may be added after formal notice from the tax authorities.
The problem is simple: the house does not turn into money in six months. Between sorting through the contents, the diagnostic reports, putting it on the market, the preliminary agreement and the deed of sale, it takes several months, often more if the heirs do not all agree. Many therefore discover that they have to pay before they have sold.
Payment in instalments exists: three instalments over one year, or seven instalments over three years when at least half of the estate consists of non-liquid assets, such as a house. It must be requested in the return, with guarantees, and it has a cost. It buys time; it does not solve the underlying problem.
How much, in practice?
A child benefits from an allowance of €100,000 per parent, then a progressive scale from 5% to 45%. The calculation is quickly done for an ordinary family home.
Example with figures: two children inherit a €400,000 house
A fictitious case, with no other assets in the estate and no prior gifts.
| Each child's share | €200,000 |
| After the €100,000 allowance | €100,000 |
| Tax for each child (direct-line scale) | about €18,200 |
| To be paid by the family within six months | about €36,400 |
Excluding notary fees. On top of this, as long as the house is not sold, come property tax, insurance and minimum upkeep: several thousand euros a year for a property that brings in nothing.
The question is not only what the house is worth, but how quickly it can be sold.
What the 2027 budget could change
The 2027 finance bill touches neither the inheritance tax scale nor the allowances. But two subjects under discussion directly concern heirs who are hesitating to sell.
The capital gain on an inherited property
When an heir sells, their purchase price is the value stated in the estate return. If the property sells for more, the difference is a capital gain, taxed at 36.2% (19% income tax and 17.2% social charges), with allowances that only begin after five years of ownership.
In the finance committee, an amendment proposed reversing this logic from 2027: a 100% allowance in the first year, then decreasing by 10 points a year, and nothing beyond ten years, with a purchase price indexed to inflation. If it were adopted, selling quickly after an inheritance would become the best choice for tax purposes, and waiting would cost more and more.
As of 17 October 2026, this amendment has not been voted. The committee rejected the "revenue" part of the budget and the plenary debate starts again from the government's text: it must be tabled again and adopted, then go through the Senate. Final vote expected in December.
The home you will no longer be able to let
Letting while waiting to sell seems a good idea. But since 2025, a home rated G on the energy performance certificate (DPE) can no longer be offered for a new lease, and homes rated F will follow on 1 January 2028, unless an easing under discussion is adopted. For many family homes, the "let it" option is closing.
The most exposed heirs
An estate made up almost entirely of a house: yet the tax must be paid in money.
Each disagreement adds months, while costs and interest keep running.
Large house, run-down property, land, occupied property: the sale naturally takes longer.
In these situations, the question is not only "what is the house worth?", but "how quickly can it be sold, and to whom?". See also selling or dividing first in an inheritance and, if the family is divided, what to do when an heir refuses to sell.
The most costly mistakes
- Waiting until the fifth month to deal with the house: at that stage, the sale can no longer fund the tax in time.
- Undervaluing the property in the return to pay less tax: the difference reappears as a capital gain on resale, and exposes you to a tax reassessment.
- Letting an energy-inefficient home to "wait and see": a sitting tenant complicates the sale, and the lease may become impossible to renew.
Our approach
We work on properties that the conventional market struggles to absorb, in liaison with the family's notary. Our role: to say quickly what the property is worth in its current condition, which buyers may be interested, and within what timeframe. Every inheritance is different: tell us about yours.
Frequently asked questions
Can inheritance tax be paid after selling the house?
Not automatically: the tax is due when the return is filed, within six months. Payment in instalments or late-payment interest make it possible to wait for the sale, but they have a cost.
Can the notary pay the tax out of the sale price?
Yes, if the sale takes place before the deadline. Otherwise, another source of funding must be found or payment in instalments requested.
Does selling quickly trigger capital gains tax?
Only if the price exceeds the value declared in the estate, including costs. A realistic declared value limits this risk.
Does the 2027 budget increase inheritance tax?
No: the bill changes neither the scale nor the allowances for inheritances. The changes under discussion concern capital gains and cash gifts.
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