What are the tax consequences when you inherit a house in Denver and what should you do first?

When you inherit a property in Denver, you do not pay capital gains tax on what the house was worth when your family member bought it. You pay based on what it was worth when they passed. That distinction alone can save a family tens of thousands of dollars, and most people find this out too late to plan around it. The IRS calls this a stepped-up basis, and it is one of the most practical advantages available to heirs who know about it before they make decisions. The confusion sets in because the urgency of probate, combined with the grief of losing someone, pushes families toward fast choices. Someone shows up with a cash offer. A family member suggests just selling quickly and splitting it. And because nobody stops to get clear on the actual numbers, the family leaves real money on the table. My position is this: the tax question should be answered before the real estate question. Not after you accept an offer, not after you list the property, but before. A clear conversation with a CPA familiar with Colorado estate law, combined with a steady read of what the property is actually worth in today's Denver market, gives you choices. Rushed decisions made without that information are almost never the right ones. Knowing your stepped-up basis is not just a tax detail, it is the foundation of a respectful, practical plan for what to do next. If you are currently in probate on a Denver property and nobody has explained the stepped-up basis to you yet, how are you being advised to price or time the sale? — Kevin Lundy | The HomeBridge Group Brokered by eXp Realty