Ontario seller guide · Estates

Selling an inherited house in Ontario

Updated July 27, 2026

The short answer: In most cases you can list an inherited Ontario house before probate is granted, but you can't close the sale until the estate trustee has authority — usually a Certificate of Appointment. Budget for Ontario's estate administration tax (roughly 1.5% of estate value over $50,000) and for capital gains on any growth after the date of death.

Step one: who has authority to sell

Only the estate trustee (executor) can sell estate property. If the home was solely in the deceased's name, the land registry will almost always require a Certificate of Appointment of Estate Trustee — probate — before a transfer can register. Probate timelines vary by court and file; a straightforward application often takes a few months. Jointly-owned homes that pass by survivorship are the main exception, along with narrow first-dealings situations your lawyer can identify.

The taxes, plainly

Estate administration tax: Ontario charges about $15 per $1,000 of estate value above $50,000 — roughly 1.5% — with the first $50,000 exempt.

Capital gains: death triggers a deemed disposition at fair market value. If the home was the deceased's principal residence, that gain is usually sheltered. What's taxable is growth after the date of death: if the estate sells later for more than date-of-death value, the estate pays tax on that difference. A date-of-death appraisal is cheap insurance — get one early.

While it sits: vacant inherited homes need vacant-property insurance (standard policies lapse quickly on empty houses), utilities kept live, and — inside the City of Toronto — attention to the vacant home tax declaration, which has estate-related exemptions but not automatic ones.

The practical order of operations

Retain an estate lawyer; confirm whether probate is required and file for it.
Get a date-of-death appraisal and secure/insure the property.
Align the beneficiaries in writing — disagreements later are what actually stall estate sales.
Decide the sale route: clear, renovate and list for maximum price, or sell as-is (contents included) for speed and simplicity.
Close after the Certificate issues; the estate account receives the proceeds and distributes them.

Where a direct sale fits

Estates choose a direct as-is sale for three reasons: nobody has to clear fifty years of contents, the closing date can sit safely after probate's uncertain finish line, and one firm number is easier to get four beneficiaries to agree on than a listing strategy. The trade is the same one we state everywhere on this site — a below-retail price in exchange for certainty and zero preparation. Ontario's estate administration tax page and probate application guide are the official references.

Quick answers

Can I sell an inherited house before probate in Ontario?

You can usually list and even sign a sale conditional on probate, but you generally can't close until the Certificate of Appointment issues — so closing dates should be set with that timeline (and a buffer) in mind.

How much is probate tax on a house in Ontario?

Ontario's estate administration tax is about $15 per $1,000 of estate value over $50,000 — roughly 1.5% — and the first $50,000 is exempt. It's calculated on the estate's value, not just the house.

Do I pay capital gains tax on a house I inherited?

Not on the value up to the date of death if it was the deceased's principal residence. Tax generally applies to appreciation after death, when the estate or beneficiary later sells — which is why a date-of-death appraisal matters.

This guide is general information for Ontario, current as of July 27, 2026 — not legal or tax advice, and not a substitute for it. Rules change and every situation differs; confirm your specifics with an Ontario lawyer (and accountant, where taxes are involved) before acting.