How To Protect your Parents Assets From Nursing Home in Baltimore, MD
Author: Harry Cline
There comes a time in most of our lives when we need a little extra help. For some seniors, that may mean moving into assisted living to get help with daily activities but not receiving full-time care. If you fall into this category, or may soon be part of this category, it’s time to plan what to do with your home. Let’s discuss some of your options and how to prepare.
Here are 3 Things You Can Do with Your Current Home
Option 1: Renting Out Your Home
For many, a sale is not the best option. The real estate market may not be in your favor at the moment, you may want to keep your home a while longer, or you may want to keep your home within the family. Whatever the case may be, if you find that a sale is not the best scenario for you, renting out your home may be just the ticket.
Rental income is a wonderful passive income that you can use to help cover the costs of assisted living. To ensure that you find reliable renters and that you don’t have to work too much to manage the home, you can hire a property manager to do the work for you. While rental income is not always the most reliable and renting comes at a cost with taxes, insurance, maintenance, and management, it can be a steady source of funds if you set the price right.
Option 2: Giving Your Home to a Loved One
If you’re not in need of the money from a sale or rental, and you want to see your home taken care of, you can do one of two things.
First, leave your home in the care of a loved one. If you do this, the home can be maintained, taxes and insurance will be paid, and you don’t have to worry about damages to the property like you would with renters. However, you won’t receive any monthly income.
Second, gift your home to a loved one. While this is a generous offer, you would not only be losing income, but there may be Medicaid concerns if you should ever need the services. However, depending on your tax situation, you can benefit from an exclusion.
Whatever you decide to do, as long as it’s best for you, it’s a good decision. If you have the time to ponder your choices and seek expert advice, then you should. The priority should be getting the care you need. Whether you sell, rent, or leave your home in the care of a loved one, the path that gets you the care you need is the best path.
Option 3: Selling Your Home
Assisted living costs can vary depending on location, needs, and services. If you choose to sell your home, the proceeds that you get from the sale can go toward the costs of an assisted living facility. Start by getting input from a skilled real estate agent who is familiar with your geographic area, and have them give you an idea of what you could sell your house for.
Once you have an idea of what you can sell your house for, it’s time to consider multiple assisted living facilities, tour each one, and get pricing. Assisted living provides daily living assistance while also allowing you to maintain your independence. Although finding the right one can be tough, companies such as A Place for Mom work with over four dozen facilities in the Baltimore area, and their advisors can help you find the best place.
If you need to get into an assisted living home quickly, consider looking at websites like Charm City Property Solutions, where you can easily plug in your information. The site will generate a cash offer that can quickly give you the money you need to pay for assisted living. Selling your home fast may not leave you well off financially, especially if you have a mortgage, and you may have to use other sources of income to pay for assisted living (like retirement income or social security), but it can get you the care you need quickly.