Inheriting a House: What Americans Really Do With Property

TL;DR

• 38% of Americans report real estate (a home, condo, land, or rental property) as part of their inheritance (past or expected), with 72% of that real estate being a primary residence.

• Future heirs overestimate their rental plans: 36% of those expecting to inherit property say they intend to keep and rent it out, but only 17% of past heirs actually did, representing a 19-point gap between initial intent and final outcome.

• More than 70% of inherited properties become transactions: among past heirs, 73% sold or rented the property; among future heirs, 71% plan to sell or rent.

• 31% of all respondents have neither a will nor a trust, including 30% of people who have already been through inheriting property themselves.

• Unexpected costs were the top friction point (28% overall), and future heirs anticipate costs at nearly double the rate past heirs experienced them (38% vs. 19%).

• Buying a home is the #1 estate planning trigger for Gen Z (23%) and tied for first among Millennials (16%), a key window for housing professionals.

• 37% of Americans would take estate planning advice from a housing professional (real estate agent, loan officer, or title/escrow professional), rising to 57% among Gen Z.

Key Findings

New data from Trust & Will's survey of 1,000 Americans (500 who received an inheritance in the past 20 years and 500 who expect one in the next 20) reveals a significant gap between what future heirs think will happen and what past heirs actually experienced:

• 38% of Americans report real estate as part of their inheritance (past or expected).

• Among those expecting an inheritance, 44% anticipate receiving real estate, compared to 32% of those who already received one. That 12-point gap signals a meaningful shift in how wealth is being transferred.

• 72% of inherited real estate is a primary residence (single-family home, condo, or townhome).

• 56% of past heirs sold inherited property; only 35% of future heirs plan to sell, a divergence driven largely by optimistic rental intentions that often don't survive contact with reality.

• 31% of all respondents have no will or trust, including 30% of people who have already been through the inheritance process.

• 23% of Gen Z say buying a home is their top motivation to create or update an estate plan, making the homebuying transaction a key intervention moment.

• 37% of Americans would take estate planning guidance from a housing professional (real estate agent, loan officer, or title/escrow professional), rising to 57% among Gen Z.

Why Real Estate Inheritance Is Becoming a Bigger Story

Real estate has always shown up in estates, but the data suggests it is playing a larger role than it once did. Among Americans who expect to receive an inheritance in the next 20 years, 44% anticipate real estate will be included. Among those who already received an inheritance in the past 20 years, only 32% reported it included property. That 12-percentage-point gap points to a coming wave of property transfers driven by rising home values and an aging population.

This shift matters for practical reasons. Cash can be divided easily. A house cannot. When a family inherits a property, they face a chain of real and immediate decisions: Who has the authority to act? Is there a mortgage? Are the title documents current? Who pays taxes and insurance while the estate settles? Those decisions rarely wait.

Among inherited properties, 72% include a primary residence, the family home. But the picture is more varied than that single number suggests. Rental and investment properties appear in 22% of cases, commercial properties in 19%, multiple property types in 17%, and land-only parcels in 16%. Because respondents could select more than one property type, these figures reflect how often each type appears across all real estate inheritances, and they illustrate just how often heirs receive more than a single asset. The inherited property landscape often arrives with a set of operational and financial considerations attached.

Related: The Great Wealth Transfer: How Younger Generations Are Changing the Game

What Heirs Do With Inherited Property, and What Future Heirs Think They'll Do

The most striking finding in this survey is the gap between what people plan to do with inherited property and what people who actually inherited property did.

What past heirs actually did

Among the 500 respondents who received an inheritance that included real estate:

• 33% kept it as their primary residence

• 30% sold after 12+ months

• 26% sold within 12 months

• 17% kept it and rented it out

• 6% transferred to another family member

• 6% haven't done anything yet

Taken together, 56% sold the property, either quickly or over time. Only 17% became landlords.

What future heirs plan to do

Among the 500 respondents expecting an inheritance that may include real estate:

• 36% plan to keep and rent it out

• 35% plan to keep it as their primary residence

• 24% plan to sell within 12 months

• 11% plan to sell after 12+ months

• 8% plan to transfer to a family member

The intention-to-rent gap is the most significant divergence: 36% plan to rent versus 17% who actually did, a 19-point difference. Meanwhile, only 35% of future heirs plan to sell, compared to 56% who actually sold.

This suggests future heirs are underestimating the practical, financial, and emotional pressures that make liquidation more common than holding. Maintenance costs, existing mortgages, property taxes, family disagreements, and urgent financial needs all push families toward a sale they didn't plan for.

The generational dimension

Intended behavior varies sharply by generation. Among those expecting to inherit:

• Boomers (69%) plan to sell within 12 months, by far the highest rate of any generation.

• Millennials (43%) plan to keep and rent, the highest landlord-intention rate.

• Gen Z (48%) plan to keep it as a primary residence, consistent with the pattern that 50% of Gen Z who actually inherited property kept it as their primary home.

For Gen Z, inherited property may be functioning as an unexpected pathway into homeownership, a meaningful dynamic in a housing market with persistent affordability constraints.

The Biggest Challenges People Face, and Underestimate

Overall, 75% of all respondents reported at least one challenge with inheritance (past or anticipated). The most common issues:

Two patterns emerge from this data.

First, future heirs anticipate more friction than past heirs actually experienced. Only 34% of past heirs said nothing in particular went wrong; 16% of future heirs expect a smooth process. Future heirs are, in general, bracing for a harder experience than their predecessors reported.

Second, future heirs underestimate the specific challenges that actually derail property transfers. They expect unexpected costs at nearly double the rate past heirs experienced them (38% vs. 19%). They anticipate title and ownership confusion at a higher rate than those who lived through it (24% vs. 15%). They worry more about missing documents (22% vs. 15%) and authority confusion (27% vs. 18%).

This matters because these specific friction points (title, documents, authority, costs) are largely preventable with proper estate planning before the transfer occurs. A current deed, a clear trust or will, updated beneficiary designations, and a named executor can eliminate several of these challenges before they begin.

The generational friction gap

The generational data on this question tells a particularly striking story. 53% of Boomers who received an inheritance reported that nothing in particular went wrong. That number drops to 28% for Gen X, 17% for Millennials, and 10% for Gen Z, a 43-point gap from oldest to youngest generation.

This likely reflects two converging trends: younger people inheriting from parents with more complex, multi-asset estates (including business ownership, digital assets, and income properties), and younger heirs navigating processes without the same life experience older inheritors bring. Gen Z reported the highest rate of confusion about decision authority (35%), compared to just 7% of Boomers.

Related: What Is Probate, And How To Avoid It? 

The Estate Planning Gap, and Why It Matters for Families

31% of all survey respondents have neither a will nor a trust. That number holds nearly steady across past heirs (30%) and future heirs (31%), which means going through the inheritance experience does not reliably prompt people to get their own affairs in order.

Current estate planning status across all respondents:

• Neither will nor trust: 31%

• Will only: 29%

• Trust only: 11%

• Both will and trust: 22%

• Prefer not to say: 7%

The generational breakdown adds important texture. Gen X has the largest estate planning gap of any generation: 49% report having neither a will nor a trust, despite being in peak inheritance-receiving years. Gen Z (21%) and Millennials (24%) actually show lower rates of having no estate plan, partly because younger generations show higher rates of trust ownership and greater openness to digital estate planning tools.

Among the respondents with no estate plan, the gap is especially concerning when real estate is involved. Without a will or trust, a property will often pass through probate, a court-supervised process that can take months or years and introduce the exact friction points respondents anticipated: authority confusion, title complications, delays, and costs.

Related: Will vs Trust - What’s The Difference & Which Option is Right for You?

The Homebuying Moment: A Key Trigger for Younger Generations

When asked what would most motivate them to create or update an estate plan, the breakdown by generation reveals a clear generational divide in what actually moves people to act.

For Gen Z, buying a home ranks as the #1 estate planning trigger at 23%, ahead of every other life event including health crises, marriage, and having children. Among Millennials, buying a home ties for first at 16%. The full picture by generation:

The generational pattern here is striking. For Gen Z and Millennials, the top triggers cluster around acquisition and life formation moments: buying a home, having a child, getting married, starting a business. These are forward-looking, anticipatory prompts. For Gen X and Boomers, the triggers shift toward reactive and transitional events: a health crisis, approaching retirement, or the death of someone close.

It is also worth noting that refinancing or taking out a HELOC motivates 6–7% of Gen Z and Millennials, a lower but still actionable signal. Combined with home purchase, housing transactions overall represent a meaningful share of estate planning motivation for younger generations.

This is a meaningful window. Home purchase is one of the most significant financial decisions in a person's life. It also involves a team of professionals (a real estate agent, a loan officer, often a title or escrow company) who have the context, timing, and trust relationship to raise estate planning as a natural next step.

Related: Passing Your House to Your Child - How to Do it the Best Way

What This Means for Families

If you have inherited property, or expect to, a few practical takeaways from the data:

The rental plan may not survive reality. The intention-to-reality gap is significant. 36% of future heirs plan to keep and rent inherited property; only 17% of past heirs did. Before committing to a landlord strategy, it is worth honestly assessing whether you have the financial cushion and bandwidth to manage a property while grieving a loss, settling an estate, and potentially coordinating with co-heirs.

Unexpected costs are the most common friction point, and they are largely underestimated. Future heirs anticipate costs at 38%; past heirs experienced them at 19%. Common costs include legal fees, property taxes during the estate settlement period, deferred maintenance, insurance, and potential liens. Understanding these costs in advance helps with decision-making.

Missing documents create real delays. 18% overall (and 22% of future heirs) flagged missing or outdated documents as a challenge. The relevant documents for real estate inheritance include a valid will or trust, the property deed (ideally held in a trust or with a recorded beneficiary designation where state law allows), mortgage statements, insurance policies, and any HOA documents. Locating these before they are needed is far easier than locating them under time pressure.

31% of people have no estate plan, including many who have already been through inheritance. The experience of inheriting does not, by itself, prompt people to plan. Creating a will or trust, naming beneficiaries, and keeping documents current is the most direct way to reduce friction for the people who will one day receive what you leave behind.

Related: What to do When Someone Dies - A Step by Step Guide

What This Means for Real Estate, Mortgage, and Title Professionals

The data offers two direct signals for housing professionals: you have more permission than you may realize, and the timing of that permission matters.

The permission gap

When asked who they would most likely listen to for estate planning guidance related to protecting home and real estate assets:

• Attorney: 47%

• Financial advisor: 32%

• Accountant / tax professional (CPA): 16%

• Insurance agent: 14%

• Real estate agent / broker: 14%

• Title / escrow professional: 12%

• Mortgage lender / loan officer: 11%

Combined, 37% of Americans would listen to a housing professional (real estate agent, title/escrow, or loan officer) for estate planning guidance. That is comparable to the proportion who would listen to a financial advisor (32%), and it is not a negligible number.

More importantly, the generational pattern shifts the calculus significantly:

Gen Z and Millennials, the generations most actively buying homes and most likely to expect a real estate inheritance, show the highest openness to guidance from housing professionals. For Boomers, attorneys dominate (62%). For Gen Z, attorneys lead at only 31%, while the 57% who would listen to a housing professional represents a genuine opportunity.

The timing opportunity

Buying a home is the #1 estate planning trigger for Gen Z (23%) and tied for first among Millennials (16%). This means the moment a younger client closes on a home is, statistically, one of the highest-probability moments for that client to act on estate planning, if someone raises it.

Raising it does not require legal expertise. It requires awareness, timing, and a reliable referral. A brief, genuine conversation, such as "A lot of my clients find that buying a home is a good moment to make sure they have a will or trust in place. Have you had a chance to think about that?", is consistent with the kind of trusted professional role these clients say they want.

The same logic applies to refinances and HELOCs, though at a lower intensity: 5% of respondents overall cited refinancing as a trigger, suggesting it is a meaningful but secondary moment compared to purchase.

The property transaction angle

More than 70% of inherited properties result in a real estate transaction (a sale, a rental conversion, or a decision to occupy). Among past heirs, 73% sold or rented the property; among future heirs, 70% plan to do the same. That means every family that receives a home without a proper plan is a potential client navigating title questions, estate sales, probate complications, or landlord decisions without support.

Housing professionals who understand inheritance friction (title and ownership issues experienced by 15% of past heirs, mortgage complications by 16%, missing documents by 15%) are well-positioned to help families avoid or manage those challenges. Normalizing estate planning conversations at acquisition is the point of least friction, not after the transfer has already started.

Methodology

This random double-opt-in online survey of 1,000 U.S. adults was commissioned by Trust & Will and conducted by market research company Talker Research, in accordance with the Market Research Society's (MRS) code of conduct. Data was collected from January 28 to February 4, 2026. The margin of error is ±3.10 percentage points at the 95% confidence level.

Sample: The sample was evenly split between 500 respondents who received an inheritance in the past 20 years ("Received") and 500 respondents who expect to receive an inheritance in the next 20 years ("Expecting"). Both groups are U.S. adults ages 18 and older. The survey consisted of 10 core questions, plus screener and demographic items.

What "Received" means: The respondent reported receiving an inheritance of any type within the past 20 years.

What "Expecting" means: The respondent reported that they expect to receive an inheritance within the next 20 years. These are forward-looking, self-reported expectations.

Additional splits: Results were also analyzed by age (Gen Z: born 1997–2007; Millennials: born 1981–1996; Gen X: born 1965–1980; Boomers: born 1946–1964), gender, and estate plan status. Cells are reported only if they contain a minimum of 80 respondents. Statistical significance is calculated at the 95% level. Data is not weighted, but quotas and sampling controls were in place to achieve the desired sample distribution.

Limitations: This survey relies on self-reported data. Expectations about future inheritances may not match actual outcomes. Results are directional and should not be treated as population-representative estimates. The survey was conducted online in English and may not generalize to individuals without internet access.

Quality controls: Interviews were excluded for speeding (completing in less than one-third of median interview length), irrelevant open-end responses, bot activity (CAPTCHA-enabled), and duplicate responses (digital fingerprinting). This survey is directional and intended to provide consumer insights.

This survey was overseen by Talker Research, whose team members are members of the Market Research Society (MRS) and the European Society for Opinion and Marketing Research (ESOMAR).

Key Statistics

• 38% of Americans report real estate as part of their inheritance (past or expected).

• 44% of future heirs expect real estate to be part of their inheritance, vs. 32% of past heirs who received it.

• 72% of inherited real estate is a primary residence (single-family home, condo, or townhome).

• 70%+ of inherited properties become transactions: 73% of past heirs sold or rented the property; 70% of future heirs plan to sell or rent.

• 36% of future heirs plan to keep and rent inherited property; only 17% of past heirs actually did.

• 28% of Americans experienced unexpected costs during inheritance (legal fees, taxes, repairs, liens).

• 31% of Americans have neither a will nor a trust, including 30% of those who already received an inheritance.

• 49% of Gen X respondents have no estate plan, the highest rate of any generation.

• 23% of Gen Z say buying a home is their top motivation to create or update an estate plan.

• 37% of Americans would take estate planning advice from a housing professional (real estate agent, loan officer, or title/escrow professional), rising to 57% among Gen Z.

FAQs

What do most people do when they inherit a house?

Based on this survey, 33% of past heirs kept the inherited home as their primary residence, 30% sold it after 12 months, 26% sold it within 12 months, and 17% kept it as a rental property. Selling at any pace was the most common path overall, with 56% of past heirs eventually selling.

Is it better to sell or keep an inherited house?

There is no universal answer. The right choice depends on the property's condition, existing mortgage, carrying costs (taxes, insurance, maintenance), the heir's financial situation, and whether multiple people share the inheritance. The survey found a significant gap between people who plan to rent inherited property (36% of future heirs) and those who actually do (17% of past heirs), suggesting rental plans often encounter unexpected obstacles.

What challenges do people face when inheriting real estate?

The most commonly reported challenges in this survey were unexpected costs (28% overall, including legal fees, taxes, and repairs), family disagreement (23%), confusion about who has authority to make decisions (23%), probate or court delays (20%), title and ownership questions (19%), missing or outdated documents (18%), and mortgage complications (18%). About 25% of respondents said they experienced no particular problems.

What documents do you need when someone dies and leaves property?

While specific legal requirements vary by state, the documents most commonly relevant to real estate inheritance include: a current will or trust, the property deed, mortgage or lien documents, title insurance information, homeowners insurance policy, property tax records, and any HOA agreements. Missing or outdated documents were cited as a friction point by 18% of respondents overall. This is informational only. Consult an estate attorney for guidance specific to your situation.

How can you avoid probate with a house?

Common approaches to keeping real estate out of probate include holding the property in a living trust, adding a transfer-on-death deed where state law allows, or holding title as joint tenants with right of survivorship. Each approach has different legal and tax implications. This survey does not constitute legal advice. Please consult a licensed estate planning attorney in your state.

What percentage of inheritances include real estate?

In this survey, 38% of Americans reported that real estate was part of their inheritance (past or expected). Among those expecting to inherit, the figure is 44%. Of all inherited real estate, 72% is a primary residence, while 22% is rental or investment property and 19% is commercial real estate.

Does buying a house mean you should create an estate plan?

The data suggests many Americans think so. Buying a home was cited as a motivation to create or update an estate plan by 13% of all respondents and by 23% of Gen Z, making it the top trigger for that generation. Home purchase is a logical moment because the property immediately becomes a significant asset that needs to be addressed in an estate plan. 

Why do so many people lack a will or trust?

This survey did not ask why, but 31% of all respondents have no will or trust, a figure that barely changes between those who have received an inheritance (30%) and those who haven't. Research in this area consistently points to procrastination, uncertainty about where to start, and assumptions that estate planning is only for older or wealthier individuals.

Who do Americans often go to for estate planning advice?

In this survey, 47% of respondents said they would most likely take estate planning guidance from an attorney, followed by financial advisors (32%), real estate agents (14%), title/escrow professionals (12%), and loan officers (11%). Generational differences are significant: Gen Z respondents showed much higher openness to housing professionals (57% combined) than Boomers (9% combined).

What is the most common type of inherited real estate?

A primary residence (a single-family home, condo, or townhome) is by far the most common type of inherited real estate, appearing in 72% of cases in this survey. Rental and investment properties (1 to 4 units) appear in 22% of cases, commercial real estate in 19%, land only in 16%, and second or vacation homes in 15%. Multiple properties appear in 17% of cases.

Disclaimer: This report is for informational purposes only and does not constitute legal, financial, or tax advice. Every family's situation is unique. Please consult a licensed attorney or qualified financial professional regarding your specific circumstances.

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