Home Transfers and Retained Life Estate
Considering transferring your home to your children? It is something to think about. It may be advisable. It might avoid probate of your will, or the need to have a Court administer the Estate if it is coordinated with a plan for your other assets. It may protect your home from a ‘right of recovery’ if you receive Medicaid benefits to pay for home care or nursing home services. (Although you can own your home and still receive Medicaid, Medicaid may recover from your estate after you die.)
If a client has no intention of selling the property during his or her lifetime, then a transfer subject to a retained life estate can protect the residence in the event long term care is required. The retention of a life estate may provide the transferor with an additional level of comfort, knowing that the legal right to remain in the property for life is reserved in the deed, and that the life estate cannot be extinguished by a future sale, unless consented to by the life tenant.
The Law Office of Michael Camporeale, P.C., can advise you of the benefits and warn you of the risks associated with transferring your home. We will look for the best way to structure the transfer of your home so as to protect you and your asset.