As a Charlotte homeowner, moving into an assisted living facility means you have to figure out what you’ll do with the home you’re leaving behind. There are usually three routes you can take: leaving the home to a family member, renting it out, or selling it. There are a few aspects to take into consideration with each option, so let’s look at what they are.
Leaving the Home to Family
With this option, you’d need a lawyer so you can either transfer ownership of your home or gift it. When making a transfer, you can usually choose from three different types of deed transfers. The most popular one is a quitclaim deed as it’s faster. However, there is less protection for you from legal claims.
You can also give your home to family, and according to Market Watch, you can give it to someone outright if you plan far enough ahead and calculate your gift tax obligations correctly. Bear in mind that gifting the property can have future capital gains tax implications for your child.
While keeping the home in the family can be attractive, it’s important to note that there can be unpleasant consequences as well; transferring your homeownership may affect your eligibility for Medicaid benefits, so sort your decision carefully.
Turning Your Home into a Rental Property
The good thing about this option is that you can take advantage of Charlotte’s hot rental market to generate some steady income to offset your assisted living costs. However, according to Nationwide, being a landlord is more than just collecting rent. You’ll need to make sure you’re operating in conformance with state laws, and that means you’ll still be responsible for maintaining the property.
To make sure it’s