Renting Out a Property You've Inherited: What Executors Need to Know

It's increasingly common for an estate to include a rental property, whether the deceased was letting it themselves or it becomes an option for beneficiaries once probate is complete. This raises questions that don't always come up in a standard probate matter.

If the property already has a sitting tenant, the tenancy doesn't end simply because the owner has died — as executor, you generally step into the landlord's obligations for the estate, including registering the tenancy with the Residential Tenancies Board (RTB) if that hasn't already been done, and ensuring rent continues to be collected and accounted for as part of the estate.

If beneficiaries decide to let the property out after the estate is finalised, it's worth getting advice before doing so — particularly around Rent Pressure Zone (RPZ) restrictions, minimum letting standards, and the tax treatment of rental income for multiple beneficiaries.

Where a property is going to be sold rather than let, keeping it insured, secure and properly maintained during the probate period is an executor's responsibility too, and worth factoring into the overall timeline of the estate.