-
Can a person with dementia sell their home?
The bottom line is that only the person who owns the house can transfer the house to a buyer. Even If they are a family member, if the caregiver has no legal authority (POA) Power of Attorney, then the caregiver has absolutely, no right to sell the home. For more, contact an elder law attorney in our network.
-
How can you sell a parent’s house if you already have a POA
The exact legal authorizations set forth in a power of attorney document determine what the agent can and cannot do on behalf of the principal. For example, a general POA for finances gives an agent broad legal power to act in the principal’s stead, usually including the sale of real property. If a power of attorney was recently created, the title company may still require the principal’s signature or request to see or talk to them to confirm the caregiver (agent) has authority to handle the sale.
-
How do you sell a parent’s home with no POA
If there is no durable power of attorney for finances and the parent is incompetent and therefore unable to execute a POA, then the caregiver must petition for guardianship to sell the home. Petitioning for guardianship involves certifying that an individual (known as the ward) is incapacitated and would benefit from the appointment of a legal guardian to manage their personal and property interests.
-
What taxes will be owed when we sell the house?
Selling a house to pay for assisted living doesn’t have to result in a hefty tax bill. In fact, in many cases, the proceeds from a home sale are tax-free. Specifically, an individual can exclude up to $250,000 in profit from the sale of a primary residence, while a married couple filing jointly can exclude up to $500,000, according to the IRS.
-
What is a reverse mortgage?
The reverse mortgage, also known as a HECM loan, can be advantageous for seniors whose spouse is still alive and needs to remain living in the home. To be eligible for a reverse mortgage, you must own a home, be at least 62 years old, and have substantial home equity. The loan amount is determined based on a percentage of this equity. Some of the negatives you may experience are higher fees compared to other financial products and over time, the loan balance and associated interest and fees do increase. For more information about reverse mortgages, schedule your free consultation today.
-
I need money now, should I entertain a cash-offer?
A cash offer is when a home buyer offers a seller the entire cost of the house, with no mortgage or any other type of financing involved. Although it’s not quite as complicated as getting approved for a mortgage, cash buyers still need a financial institution’s help to make their offer stick. Cash buyers must show the seller some kind of proof of funds, like a bank statement or certified financial statement. Then the seller can rest easy knowing the buyer has the necessary cash for the sale. If you’re interested in a cash offer for your home, contact your REnext agent today, they can help broker the sale for you.
-
Who needs to be present at the closing?
Exactly who will be present at a closing (and where it’s held) depends on the state you live in, but there are certain supporting characters you can usually expect to make an appearance. The cast includes the home seller, the seller’s real estate agent and a representative from a title company. However, remote closings are available for your convenience, no matter where you live.
-
How soon are the funds transferred after closing?
Once the title company has received the wire transfer from the buyer and all parties have signed the closing documents, the seller hands over the keys, and the title company transfers the proceeds from the sale into your account. Please be aware that a closing held on a weekend will likely not show in your account until the following Monday. It is also crucial to note the importance of double-checking that the title company has your correct account number for the transfer.
