• Question
  • What are my mothers options until we sell her house?

    Asked on 7/4/2009

    My mother is in assisted living and is running out of money. Her house has been on the market for about 5 months and when sold will be enough to cover her for a few years. She is 91 years old and I am wondering what I can do to keep her at this assisted living facility until she sells her home. Should I take out some type of loan to insure that she can stay there until the house sells and what type of loan would be the best fit under the circumstances. Thank you for any input. She is in the state of Minnesota.

  • Categories: Assisted Living Facilities, Retirement Planning, Long Term Care Coverage, Health Care and Health Insurance, Out of Money, Relationships, Housing, Estate Planning


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  • Your situation is unfortunately very dependent on the real estate market. It sounds like the ideal scenario would be for the home to sell. You should have a very frank discussion with your real estate agent to determine what could be done to get the house sold and/or what the prospects for it selling actually are.

    And, if and when the home does sell. You may want to consider using the purchase of a lifetime annuity. A lifetime annuity will pay a certain amount every month for the rest of your mother's life -- no matter how long she ultimately lives.

    A few additional ideas off the top of my head, include:
    -- Adding yourself to the title of the home and securing a home equity loan to pay for your mother's care.

    -- Comparing the costs of moving your mother back into her home and securing a Reverse Mortgage to cover the costs of a home health aid. (All title holders must be 62 years of age and be living in the home to qualify for a reverse mortgage. You must also have sufficient equity in the home.)

    Please let us know if any of these suggestions are helpful. More and more families are facing these types of situations and we are very interested in helping people find viable solutions.

  • Login to rate this answer:   Answered on 7/9/2009
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  • One option may be in-home care until her house sells. Depending on how much assistance she needs, an in-home companion may be a great cost effective alternative to keeping her in the nursing home until the house sells. Companies like Pinnacle Services based in Minneapolis offer a wide variety of in-home care options, from full day to part day, with services ranging from everyday tasks like laundry and cooking to more intensive tasks for people with more complicated medical conditions.

    I think you may be surprised at the cost of a in-home assistant when comparing it to the monthly/annual fees of a nursing home.

    Contact me or them with any questions.

    Pinnace Services

    Therese Ettel, the RN on staff can answer any questions you may have

  • Login to rate this answer:   Answered on 7/22/2009
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  • Hi there,

    I am not sure if you have been able to sell your home but an option you may consider as someone already posted would be to use in home care. You could use an FHA reverse mortgage to help with the cost, it would allow you to access about 50% or so of the equity in the home. Then you wouldn't have to sell for a huge price reduction.

    There is no prepayment penalty on a FHA reverse mortgage so you can still sell your home at any time.

    Feel free to contact me with any questions.

    Anthony L
    866-640-5722 ext. 126

  • Login to rate this answer:   Answered on 8/24/2009
**All above answers are provided as general information only. No warranty is made regarding the fitness or accuracy of the information provided in this answer. You should seek advice from a licensed CPA, attorney or CERTIFIED FINANCIAL PLANNER™ as to your unique financial situation.