Do you need probate to sell an inherited house in Ontario?

Almost always, when the home was in the deceased’s name alone. A buyer’s lawyer will require the Certificate of Appointment of Estate Trustee before closing, because it proves you can convey clear title. If the home was held in joint tenancy, it usually passes to the survivor without probate.

How is the sale of an inherited house taxed in Ontario?

Your cost base is generally the home’s fair market value at the date of death, so you are taxed only on the gain between the date of death and the date of sale. If the property was the deceased’s principal residence, that exemption may shelter the gain up to the date of death.

What if my siblings and I disagree about selling?

Beneficiaries who cannot agree can be caught between keeping and selling. Options range from one beneficiary buying out the others (often with a mortgage) to a court-supervised sale. Early legal advice usually prevents the dispute from escalating.

Executor Services · Selling the Home

Selling an inherited house in Ontario

Reviewed by Angelos Spingos, Principal Lawyer, Spingos Law · Licensed by the Law Society of Ontario · Last reviewed July 7, 2026

Selling an inherited home is rarely just a real-estate transaction. Probate, an outstanding mortgage, tax, and family dynamics all sit on top of it. Here is the path, in order.

First: do you need probate?

In most cases, yes. When the house was registered in the deceased’s name alone, the buyer’s lawyer will require the Certificate of Appointment of Estate Trustee before closing, because it is what lets you transfer clear title. The main exception is a home held in joint tenancy, which usually passes to the surviving owner by right of survivorship without probate.

Don’t list before you can close. Accepting an offer you cannot complete — because the certificate has not been issued — puts the estate in breach. The safe sequence is to start probate first, then time the listing to the certificate.

The steps, in order

Confirm how title is held and whether probate is required.
Apply for the Certificate of Appointment and deal with any mortgage on the property.
List and sell — through a real-estate brokerage, coordinated with the estate file.
Close, pay estate debts and taxes, and distribute the net proceeds to the beneficiaries.

The tax on the sale

Canada has no separate inheritance tax. Instead, the deceased is treated as having disposed of the property at fair market value on the date of death (a “deemed disposition”). For the beneficiary or the estate, the cost base is that date-of-death value — so you are taxed only on any increase between the date of death and the date of sale. If it was the deceased’s principal residence, that exemption may shelter the earlier gain. The details matter, and are worth confirming with a lawyer and accountant — see our guide to capital gains on inherited property.

Keeping it instead: buying out siblings

Selling is not the only option. If one beneficiary wants the home, they can often buy out the others — funded by a mortgage on the property once the estate is administered and title is transferred. We coordinate the legal transfer and the financing so the buyout closes cleanly. Which path is right depends on the numbers and the family; that is exactly what a consultation is for.

Common questions

Do you need probate to sell an inherited house in Ontario?: Almost always, when the home was in the deceased’s name alone. A buyer’s lawyer will require the Certificate of Appointment of Estate Trustee before closing, because it proves you can convey clear title. If the home was held in joint tenancy, it usually passes to the survivor without probate.
How is the sale of an inherited house taxed in Ontario?: Your cost base is generally the home’s fair market value at the date of death, so you are taxed only on the gain between the date of death and the date of sale. If the property was the deceased’s principal residence, that exemption may shelter the gain up to the date of death.
What if my siblings and I disagree about selling?: Beneficiaries who cannot agree can be caught between keeping and selling. Options range from one beneficiary buying out the others (often with a mortgage) to a court-supervised sale. Early legal advice usually prevents the dispute from escalating.

General information for Ontario, not legal or tax advice. Reviewed by Angelos Spingos, Spingos Law. Last reviewed July 7, 2026.