The family home is definitely where most people want to remain as long as possible as they age. The memories, familiar surroundings and the fact that it is probably paid for, make it ideal. However, each year brings unsettling decisions closer and closer. Your parents health will probably deteriorate. Hopefully, the decline will be gradual and graceful, because an acute need for admission to a nursing home could mean the loss of their home because of the Federal Medicare spend-down requirements. A discussion of the ins and outs of this dilemma is beyond the scope of this article. If you are facing that situation you should seek a competent elder care attorney immediately. Over time, you will become aware that your parents days in the home are numbered. They may become confused, unable to maintain a large house or become accident prone. Or the reason could be financial. Rising taxes, the costs of maintenance and fuel could make staying in the house economically impossible, especially if they are living on a fixed income. Now you are faced with the problem. What to do with the house? The house may have been lived in continuously for 20, 30, 40 years or more. The roof and major mechanical systems such as the plumbing and electrical may not have been upgraded and may be in need of expensive repairs. The kitchen could be hopelessly out of date and homes of a certain age do not have the number and types of baths that todays buyers demand. It is very likely that extensive and expensive repairs and/or remodeling would be required before the house can be sold for current market value. This may be possible for some families but for others, especially where the younger members are in different cities or even states, it is not practical. You could therefore be faced with the challenge of trying to sell an older, outdated home to todays demanding buyers. My wife is a real estate agent and hates to waste time and money trying to convince todays finicky buyers, who are looking for homes with as many bathrooms as there are occupants in the house; to settle for outdated and possibly rundown homes. Even if a buyer could be found, the lender would insist that code violations and certain mandatory repairs be performed before they would issue a mortgage to a new buyer. Your best bet in this situation is to sell the home to a wholesaler or rehabber, as-is. This person or company is in the business of dealing with older properties in need of renovation and repair. They will buy the property from you, invest the money, time and effort to remodel it and then will sell it for the full market price, hopefully. But that risk is theirs, not yours. You can find these rehabbers easily. They usually advertise in local papers with ads that say something like, We Buy Houses, Anywhere, Any Condition! Check with a couple of them to make sure you will get a fair price and a quick, no hassle sale. We suggest you give preference to those who will buy the house now and will also give you or your parents a percentage of the after sale profit or will pay small monthly payments for some years after the sale in recognition of the wholesale purchase price of the property. I am sure your parents would not object. |
