Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Plenty of places without entrance fees. Those places are a rip off.

I’m sure, but getting them to agree to this was a Herculean effort, they have friends at a certain place, very near us, and feel comfortable with the security of their endorsement.

Find another place close to that one. That's not worth it and if they are unhappy they are locked in.

It sounds like the in-laws remain relatively cognitively sound and are using their own funds to pay. Not sure why you think OP has the ability to override their preferences for their own living situation.

Anonymous wrote:

Anonymous wrote:It looks like my in-laws are finally willing to enter assisted living. I will try to get them in with their estate planner but would like to hear from BTDT people about how they got the money for the entrance fee. Does it make the most sense to sell the house first or pull from investments/reserves? I think net worth is between 1.5-2 .5 million including a vacation condo unfortunately purchased this year. I think it will be mentally difficult for them to sell one or both homes so we could potentially look at renting them out if it makes sense.

No one can really answer this. There are just too many unknowns. Rushing into a sale is often a mistake, as the capital gains hit can be substantial. Talking to a professional is the right thing to do and no big financial decisions should be made until you do. Renting isn’t necessarily the answer, but don’t be too freaked about “being a landlord,” if the property is right you can generate significant income and easily pay a property manager. If the vacation condo can be AirBnB’d that can be very lucrative. In any case, just wait until you talk with the estate planner. If the can’t talk to you knowledgeably about income generation now, you need to speak to a fee based CFA as well.

+1. Lawyer here but not estate lawyer. This is a complicated issue on both state (varies) and federal law -it gets especially problematic under Medicare. Please see a elder law or estate law specialist now before doing anything. That's what now deceased friend did when her husband went into care. In her case (cal law), she was advised to go through savings and hold on to the house (owned free and clear). When he went was to exceed federal and hospice care allotments fshe would be responsible gor everthing out of pocket) the instructions were she was to file for divorce to save the house for her own support. He died shortly before she was to do that. Anyhow consult an elder law expert to find out where to start. You need power of attorney of course.

Anonymous wrote:Plenty of places without entrance fees. Those places are a rip off.

+1. There are a number of nice places in Montgomery County; placed my Mom this year so toured a lot homes; with a one-time move-in fee ($4K) and then just monthly rent.

Why can’t they still go to the vacation place? Are they invalids now?

Anonymous wrote:

Anonymous wrote:Plenty of places without entrance fees. Those places are a rip off.

I’m sure, but getting them to agree to this was a Herculean effort, they have friends at a certain place, very near us, and feel comfortable with the security of their endorsement.

Find another place close to that one. That's not worth it and if they are unhappy they are locked in.

Anonymous wrote:

Anonymous wrote:It looks like my in-laws are finally willing to enter assisted living. I will try to get them in with their estate planner but would like to hear from BTDT people about how they got the money for the entrance fee. Does it make the most sense to sell the house first or pull from investments/reserves? I think net worth is between 1.5-2 .5 million including a vacation condo unfortunately purchased this year. I think it will be mentally difficult for them to sell one or both homes so we could potentially look at renting them out if it makes sense.

No one can really answer this. There are just too many unknowns. Rushing into a sale is often a mistake, as the capital gains hit can be substantial. Talking to a professional is the right thing to do and no big financial decisions should be made until you do. Renting isn’t necessarily the answer, but don’t be too freaked about “being a landlord,” if the property is right you can generate significant income and easily pay a property manager. If the vacation condo can be AirBnB’d that can be very lucrative. In any case, just wait until you talk with the estate planner. If the can’t talk to you knowledgeably about income generation now, you need to speak to a fee based CFA as well.

Thank you. I’m not opposed to becoming a landlord for them. I think holding on to the property would probably make them feel better. Luckily they downsized 5 years ago so their primary residence is a paid off condo, new appliances without a ton of crap. After taxes/HOA it could generate about $1000/month.

Anonymous wrote:Will their income pay the fees or will that be drawn down from net worth?

The monthly fees can be paid with SS/pension

Anonymous wrote:It looks like my in-laws are finally willing to enter assisted living. I will try to get them in with their estate planner but would like to hear from BTDT people about how they got the money for the entrance fee. Does it make the most sense to sell the house first or pull from investments/reserves? I think net worth is between 1.5-2 .5 million including a vacation condo unfortunately purchased this year. I think it will be mentally difficult for them to sell one or both homes so we could potentially look at renting them out if it makes sense.

No one can really answer this. There are just too many unknowns. Rushing into a sale is often a mistake, as the capital gains hit can be substantial. Talking to a professional is the right thing to do and no big financial decisions should be made until you do. Renting isn’t necessarily the answer, but don’t be too freaked about “being a landlord,” if the property is right you can generate significant income and easily pay a property manager. If the vacation condo can be AirBnB’d that can be very lucrative. In any case, just wait until you talk with the estate planner. If the can’t talk to you knowledgeably about income generation now, you need to speak to a fee based CFA as well.

Will their income pay the fees or will that be drawn down from net worth?

I would pay with cash before they change their minds. Then offload the vacation place. If you're trying to sell a primary home in a rush, it'll be hard to get best value-- you need time to repair, prep and stage it, plus emptying it of their stuff.

Anonymous wrote:Plenty of places without entrance fees. Those places are a rip off.

This. Just pay by month.

Anonymous wrote:Plenty of places without entrance fees. Those places are a rip off.

I’m sure, but getting them to agree to this was a Herculean effort, they have friends at a certain place, very near us, and feel comfortable with the security of their endorsement.

Keeping the house means taxes and upkeep. I would sell property first unless you want to become a landlord.

Plenty of places without entrance fees. Those places are a rip off.

It looks like my in-laws are finally willing to enter assisted living. I will try to get them in with their estate planner but would like to hear from BTDT people about how they got the money for the entrance fee. Does it make the most sense to sell the house first or pull from investments/reserves? I think net worth is between 1.5-2 .5 million including a vacation condo unfortunately purchased this year. I think it will be mentally difficult for them to sell one or both homes so we could potentially look at renting them out if it makes sense.