What is Heirs Property Network?
“Heirs property” refers to real estate where the legal ownership of the property is unclear due to a previous owner having passed away. This can happen because the original owner died without a will and the Commonwealth of Virginia transferred ownership to all living family members of the deceased: creating multiple owners of a property or “tenants in common.” The surviving owners may not even be named on the deed, live on the property, or be aware they have heirs property. Heirs property can also be created when someone has a will. These wills may name multiple heirs to one property without outlining the specific portions of the land, creating “cloudy title” and a tricky legal situation for heirs to fix.
The Richmond Heirs Property Network is comprised of nonprofit organizations and pro-bono attorneys dedicated to helping low-wealth households experiencing cloudy and tangled title challenges, connecting them to resources including necessary legal assistance to help families work towards a clear title.
ParaResolving heirs property can be confusing, costly, and time consuming. Reach out to RHPN to learn if you qualify for assistance with your heirs property.
RHPN is funded through Wells Fargo Foundation WORTH grant to LISC Virginia. Our team consists of HDAdvisors and LEARN VA, managed by Karla Carter, Esq., with a local network of trained pro-bono attorneys from participating firms.
Who does this affect?
Black households are disproportionately affected by heirs property, further contributing to the increasing wealth gap between Black and non-Black households in the U.S. People of all racial backgrounds can be affected by heirs property, but the historic and systemic barriers to accessing real estate, mortgage lending, and legal assistance for Black households has resulted in Black families experiencing higher rates of land loss due to heirs property. Rural and Appalachian communities face increased heirs property as well, with Black farmers and communicates of color experiencing high rates of land loss throughout the South.
Researchers from Auburn University estimate that there are 55,404 heirs properties in Virginia. That’s almost 514,215 acres at risk of loss and a total of $8,086,128,465 in equity inaccessible to its rightful owners. Rising property values paired with major population movement across the Richmond region leads the Richmond Heirs Property Network to estimate that hundreds of thousands of dollars-worth of property remain at risk of loss to our local community members due to heirs property.
Why is an Unclear title a problem?
Because of the unclear legal ownership of property, it is nearly impossible to sell, take out loans against, or receive building permits for. The murky ownership can make the property difficult to pay taxes or utilities on, or to maintain, renovate, and repair when needed. Heirs property can be vacant or occupied, well-maintained or falling apart, current on taxes or tax delinquent: there is no one way that heirs property real estate looks, but the risks to families are great regardless.
- Title companies will not insure a home with an unclear title.
- Most Lenders will not approve a home equity loan on collateral that has no proof of ownership.
- Clear title is required to access and receive most home repair grants and loans
- Disaster Assistance could be denied due to unclear title
- Unclear ownership of an heirs property prevents the creation and transfer of generational wealth
At worst, it can result in forced sales, land grabs, and tax foreclosure – a complete loss of someone’s family home.
If you live in Virginia in Richmond, Henrico, Chesterfield, Hopewell, Colonial Heights, or Petersburg, and think you could be affected by heirs property, reach out to the RHPN to see if you qualify for assistance.
