How to Sell a Cemetery Plot and Transfer Ownership

Selling a cemetery plot and transferring its ownership may become necessary due to evolving life circumstances, such as relocation or changes in family plans. This process requires understanding various administrative, financial, and legal aspects to ensure a smooth transaction.

Understanding Your Plot’s Characteristics

Before selling a cemetery plot, gathering comprehensive information about the interment right is a crucial first step. Your original deed, certificate of ownership, or purchase agreement serves as the primary document detailing your rights. This document typically specifies the exact location within the cemetery, including the section, block, lot, and grave number. If the original document is unavailable, contacting the cemetery directly is necessary, as they usually retain detailed records and may require a signed affidavit to confirm ownership.

Beyond the physical location, the documentation clarifies the specific type of interment rights you possess. This could include a single burial space, a double-depth plot accommodating two interments, a cremation niche, or a mausoleum space. Understanding these details helps in accurately representing the property to potential buyers. Remember that when purchasing a cemetery plot, you are generally acquiring interment rights, not the ownership of the land itself, as the cemetery typically retains land ownership.

Contacting the cemetery office at the outset provides clarity on their specific policies regarding plot resales. Cemeteries often have established procedures, which may include required forms, potential transfer fees, or restrictions on who can purchase a plot. Some cemeteries may have a policy of buying back unused plots.

Valuing and Listing Your Plot

Determining a fair selling price for a cemetery plot involves considering several influencing factors. The plot’s location within the cemetery significantly affects its value; plots situated near prominent features like fountains, trees, or entrances often command higher prices. Local demand for burial spaces also plays a substantial role, with plots in areas experiencing population growth or limited available interment space typically being more valuable.

The original purchase price and any associated perpetual care fees or maintenance status contribute to the plot’s current market assessment. Perpetual care funds are established by cemeteries to ensure long-term maintenance of the grounds, and a portion of the original sale price is typically allocated to this fund, often ranging from 5% to 15% of the total cost. Valuing the plot can involve examining comparable sales within the same cemetery or surrounding area, if such data is accessible. Consulting with the cemetery for their current pricing of similar plots can also provide a realistic benchmark. Some specialized brokers may offer valuation services based on their proprietary data.

When ready to list the plot for sale, several avenues exist. Specialized online marketplaces, such as BurialLink or GraveListing, cater specifically to cemetery property transactions, connecting sellers with a targeted audience of potential buyers. General online platforms, including classifieds websites or social media groups, can also serve as listing venues. Some cemeteries may facilitate resales directly or maintain waiting lists of interested buyers.

Completing the Sale and Transfer of Ownership

Once a buyer is secured and a price agreed upon, the process shifts to the formal completion of the sale and legal transfer of ownership. Negotiating and finalizing the sale terms, including the agreed price and payment method, precedes the official transfer. It is advisable to secure payment from the buyer before the final transfer of interment rights takes place.

The cemetery plays a mandatory role in the ownership transfer, as they are the record-keepers of interment rights. Both the seller and buyer will typically need to complete specific transfer forms provided by the cemetery. The original deed or certificate of ownership must be presented to the cemetery, which will then cancel the old document and issue a new certificate reflecting the new ownership. This ensures the cemetery’s records are updated.

A transfer fee is commonly required by the cemetery to process the change of ownership, covering their administrative costs. These fees can vary significantly depending on the cemetery’s policies. In addition, if any perpetual care fees were not fully paid on the plot, those outstanding amounts may need to be settled before the transfer is approved.

From a financial perspective, the sale of a cemetery plot is generally treated as the sale of a capital asset by the Internal Revenue Service (IRS). Any profit realized from selling the plot for more than its cost basis is considered a capital gain. The cost basis typically includes the original purchase price and may be increased by certain capital improvements, such as contributions to a perpetual care fund made after the initial purchase, but not routine maintenance fees.

If the plot was owned for more than one year, the profit is subject to long-term capital gains tax rates. If owned for one year or less, the gain is short-term and taxed at your regular income tax rate. This capital gain must be reported to the IRS. If the plot is sold at a loss, that capital loss can be used to offset other capital gains, or up to $3,000 in losses can be deducted against other forms of income.