Selling Inherited Property in Maine

In Maine, real estate passes to the heirs or devisees the moment the owner dies, but the title stays subject to probate, creditor claims, and the estate's allowances. You can usually sell once the personal representative has authority to act, or after the estate deeds the property to you. How the deceased held title decides which path you take.

This guide walks through each part: whether you need probate to sell, who signs the deed, the 10-day notice Maine requires before a sale, the real estate transfer tax, and the capital gains math after a stepped-up basis. For the wider process of opening and closing an estate, read the Maine probate guide.

Do You Need Probate to Sell?

Under 18-C M.R.S. §3-101, a person's real and personal property passes to the devisees named in a will, or to the heirs if there is no will, right at death. That transfer is still subject to homestead allowance, exempt property, family allowance, creditor rights, the surviving spouse's elective share, and to administration. So the heirs hold the house, but the estate can reach it to pay what the estate owes.

The answer depends on how title was held:

How the deceased held title	Probate needed to sell?	Who signs the deed
In their name alone (will or no will)	Yes	Personal representative, or heirs after distribution
Under a recorded transfer on death deed	No	The named beneficiary
Joint tenancy with right of survivorship	No	The surviving co-owner
In a revocable living trust	No	The successor trustee

If the deceased used a Maine transfer on death deed, a survivorship deed, or a living trust, the property skips probate and the beneficiary or surviving owner can sell without court involvement. For the full menu of ways title moves without court, see how to avoid probate in Maine.

Who Has the Power to Sell

When the house was titled in the deceased person's name alone, the estate goes through probate and the personal representative holds the power to sell.

The Personal Representative's Authority

18-C M.R.S. §3-711 gives the personal representative the same power over the title to estate property that an absolute owner would have, held in trust for creditors and everyone interested in the estate. 18-C M.R.S. §3-715 then spells out the transactions the representative may carry out, including the power to acquire or dispose of an asset such as land (subsection 6) and to sell, mortgage, or lease real property or any interest in it (subsection 23).

So the representative can list and sell the house once the court issues letters. The sale proceeds stay part of the estate and pay debts, taxes, and expenses before anything reaches the heirs.

Maine's 10-Day Notice Rule

Maine adds a step that many states do not. Under §3-711, the personal representative may not sell or transfer any interest in the estate's real property without giving at least 10 days' notice before the sale to any person who succeeds to an interest in that property, unless the will authorizes the representative to sell real estate without that notice.

Here is what that means for you:

If the will grants a clear power of sale, the representative can move straight to a listing and closing.
If the will is silent, or there is no will, the representative must give the heirs and devisees at least 10 days' written notice before the deed is signed.
That notice window gives interested people a chance to object before the property leaves the estate.

Because a power of sale in the will removes the notice requirement, many Maine estates move faster when the will was drafted to include one. For the wider duties that come with the role, read the Maine executor duties guide, and see the will requirements guide for how a valid Maine will can grant that power.

Selling as the Heir After Distribution

You have a second path. Instead of the representative selling directly, the estate can deed the property to the heirs, and the heirs then sell it in their own names.

Let's compare the two:

Approach	How it works	When it helps
Representative sells during probate	The representative signs the deed to the buyer; proceeds return to the estate	Debts still need paying; heirs disagree; one heir cannot be reached
Estate distributes, then heirs sell	The estate records a deed of distribution to the heirs, who then sell as owners	Debts are already covered; heirs agree and want direct control

The second path adds one step, the deed of distribution, but that deed carries no Maine transfer tax (more on that below). It can be the cleaner route when the estate is otherwise ready to close and the heirs plan to sell right away.

Clearing Title Through the Registry of Deeds

Every Maine deed records at the county Registry of Deeds, which is a separate office from the Registry of Probate that handles the estate file. Do not confuse the two. The probate court issues the letters that prove the representative's authority; the Registry of Deeds records the deed that moves the title.

A title company or buyer's attorney will want to see:

A certified copy of the death certificate
The letters showing the personal representative's authority, or the recorded deed of distribution
The recorded transfer on death deed, survivorship deed, or trust certificate if probate did not apply
A current title search confirming the chain of title and any liens

Buyers almost always purchase title insurance, and the title company sets the documents it needs to insure the sale. Sorting this out early keeps the closing on schedule.

The Maine Real Estate Transfer Tax

Maine charges a real estate transfer tax on most sales. Under 36 M.R.S. §4641-A, the tax is $2.20 for each $500 of the sale price, which works out to $4.40 per $1,000, or about 0.44% of the price. Maine splits the tax evenly: the seller pays half and the buyer pays half. For sales above $1,000,000, the statute adds $3.80 for each $500 of the portion over $1,000,000, effective for deeds after November 1, 2025.

Here is how the split lands on a sale:

Sale price	Total transfer tax	Seller's half	Buyer's half
$200,000	$880	$440	$440
$300,000	$1,320	$660	$660
$450,000	$1,980	$990	$990

When the Transfer Is Exempt

36 M.R.S. §4641-C lists the deeds that owe no transfer tax. Two matter for inherited property:

Deeds of distribution made under Title 18-B or Title 18-C (subsection 11). When the estate deeds the house to the heirs, that transfer is exempt.
Deeds between close family such as spouses, a parent and child, or a grandparent and grandchild, when no actual money changes hands (subsection 4). A gift between these relatives is exempt.

The exemption covers the move from the estate to the heirs. Once you sell to an outside buyer for money, that deed is a taxable transfer, and both you and the buyer owe your half.

Capital Gains Tax and the Stepped-Up Basis

The stepped-up basis is the tax rule that saves inheriting families the most money. Under 26 U.S. Code §1014, property you acquire from someone who died takes a new cost basis equal to its fair market value on the date of death. You owe capital gains tax only on the gain above that date-of-death value, not on the growth during the deceased person's lifetime.

Consider a family camp on a Maine lake:

Item	Amount
Bought by the parent (1988)	$60,000
Fair market value at death	$340,000
Your stepped-up basis	$340,000
You sell for	$355,000
Selling costs (commission, transfer tax, fees)	-$25,000
Net sale price	$330,000
Taxable gain	$0 (a small loss)

Without the step-up, the taxable gain would have run near $280,000. A few points to keep in mind:

Inherited property counts as long-term for capital gains, no matter how briefly you held it.
Federal long-term rates run 0%, 15%, or 20% depending on your income.
Maine taxes the gain as part of your regular Maine income.
The home-sale exclusion ($250,000 single, $500,000 married) applies only if you lived in the home as your main residence for two of the five years before selling, so an heir who never lived there usually cannot use it. The step-up often leaves little or no gain anyway.

Get a date-of-death appraisal so you can prove the stepped-up basis. The estate inventory filed with the probate court may already carry that value. Keep your appraisal, improvement receipts, and closing statement so you can support the numbers later.

Does Maine's Estate Tax Affect the Sale?

Maine is one of the few states with its own estate tax, set out in 36 M.R.S. §4102 and the chapter that follows. The statutory base exclusion is $5,600,000 for deaths on or after January 1, 2018, and Maine Revenue Services adjusts it for inflation each year, reaching roughly $7 million for deaths in 2026. Only estates worth more than the year-of-death exclusion file the Maine estate tax return (Form 706ME). Confirm the current figure at Maine Revenue Services before you rely on a number, because it re-indexes every January.

Two things ease the worry for most families:

Maine has no inheritance tax, so you do not owe a tax just for receiving the property.
Selling the house does not create estate tax. The estate's total value on the date of death is what the tax looks at, and the house counts in that total whether you sell it or keep it.

Selling When There Is More Than One Heir

Coordinating a sale among several heirs is often the hardest part. When the property has been distributed and the heirs own it together, every co-owner has to sign the deed, so the sale needs their agreement.

Common situations play out like this:

Everyone agrees to sell. The simplest case. List the property, split the proceeds by each person's share.
Some want to sell, some want to keep. One heir can buy out the others at fair market value, or the group sells and divides the money.
One heir wants to live there. That heir buys out the others or the family sets a written timeline for a later sale.

If the co-owners cannot agree, any one of them can ask a court to partition the property, which usually means a court-ordered sale with the proceeds divided. Partition is slow and costly, so a buyout or mediation almost always beats it. A few habits keep multi-heir sales calm:

Share the appraisal and market data with everyone early.
Use one independent agent, not an agent tied to a single heir.
Put the split of proceeds, expenses, and decisions in writing before you list.

How Long Before You Can Sell?

The timeline turns on how you inherited and whether the will grants a power of sale.

Transfer on death deed, survivorship, or trust: you can start almost right away, once you record the death certificate and clear title. Figure one to three months to closing.
Probate with a power of sale in the will: the representative can list as soon as the letters issue, often within a month or two of opening the estate.
Probate without a power of sale: add the 10-day notice to the heirs and any court steps, which can push the first listing out a few months.

For the full estate schedule and the deadlines that run alongside a sale, see the Maine probate timeline. Remember that creditor claims can reach the sale proceeds, so review the Maine creditor claims guide before you distribute any money.

Frequently Asked Questions

Do I need probate to sell an inherited house in Maine?

It depends on how the deceased held title. A house in the deceased person's name alone goes through probate, and the personal representative or the heirs sell it. A house held under a transfer on death deed, in survivorship, or in a living trust skips probate, and the beneficiary or surviving owner can sell without the court.

Can the personal representative sell the house without the heirs agreeing?

Yes, but Maine adds a guardrail. Under 18-C M.R.S. §3-711, the representative must give the heirs and devisees at least 10 days' notice before selling estate real property, unless the will authorizes a sale without notice. The notice gives interested people a chance to object before the deed is signed.

Does Maine charge a transfer tax when I sell an inherited house?

Yes. Maine's real estate transfer tax is $2.20 for each $500 of the sale price, split evenly between seller and buyer, under 36 M.R.S. §4641-A. The deed that moves the property from the estate to the heirs is exempt, but a sale to an outside buyer is taxed.

Will I owe capital gains tax on an inherited Maine house?

Often very little. Your basis steps up to the home's fair market value on the date of death under 26 U.S. Code §1014, so you are taxed only on any gain above that value. If you sell soon after death, the gain is usually small, and inherited property always gets long-term treatment.

Does Maine have an inheritance tax?

No. Maine has an estate tax on large estates, but it has no inheritance tax, so you do not pay a tax simply for inheriting or selling the property.

What if the other heirs will not agree to sell?

When co-owners cannot agree, any one of them can ask a Maine court to partition the property, which usually ends in a court-ordered sale with the proceeds divided by share. Because partition is slow and expensive, a buyout of the holdout or mediation is the better first move.

This guide is general information about selling inherited property in Maine. Real estate sales mix legal, tax, and family decisions that turn on your own facts, so confirm anything that affects your situation with the county Registry of Deeds where the property sits, your Register of Probate, or a licensed Maine attorney and tax professional.

Sources:

Title: 18-C M.R.S. §3-101, Devolution of estate at death; restrictions. Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/18-C/title18-Csec3-101.html
Title: 18-C M.R.S. §3-711, Powers of personal representatives; in general. Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/18-C/title18-Csec3-711.html
Title: 18-C M.R.S. §3-715, Transactions authorized for personal representatives; exceptions. Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/18-C/title18-Csec3-715.html
Title: 36 M.R.S. §4641-A, Rate of tax; liability for tax. Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/36/title36sec4641-A.html
Title: 36 M.R.S. §4641-C, Exemptions. Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/36/title36sec4641-C.html
Title: 36 M.R.S. §4102, Definitions (Maine estate tax). Publisher: Maine Legislature. Publication Date: Not listed. URL: https://legislature.maine.gov/statutes/36/title36sec4102.html
Title: 26 U.S. Code §1014, Basis of property acquired from a decedent. Publisher: Legal Information Institute, Cornell Law School. Publication Date: Not listed. URL: https://www.law.cornell.edu/uscode/text/26/1014
Title: Estate Tax (Form 706ME). Publisher: Maine Revenue Services. Publication Date: Not listed. URL: https://www.maine.gov/revenue/taxes/income-estate-tax/estate-tax-706me

It is not legal advice.