Estate Planning Before Buying a Home in New York: What You Should Know

It’s strange how our favorite trends age as we do. Rock music was once considered the exclusive province of young people, and now familiarity with the music of bands like the Beatles and The Who immediately brands you as old. Even the things we considered a universal hallmark of youth, such as dating, have fallen out of fashion with the younger generations. Don’t let it bother you, though; you are only as old as you feel. Remember in the 80s when you could buy “over the hill” birthday cards for people who were turning 30? Today, we say that 50 is the new 40. Increasingly, activities once associated with prime adulthood are becoming the exclusive province of us old folks, and it is mostly because we were the last generation to have access to the abundant resources necessary to accomplish them. For example, people over 50 are the most likely to get divorced, since young people never had the money to get married in the first place. Likewise, most real estate purchases go to people over 50, or else to young people whose parents co-sign the mortgage loan with them or give them money for a down payment. This means that, if you are old enough to make a real estate purchase, you are old enough to require the services of a Bronx estate planning lawyer.

How Will Aging in Place Work in Your New Place?

If you buy a house after you retire, it means that you plan to age in place for as long as you can; if you were just trying out the prospect of living in a single-family home or condo in your golden years, you would rent instead of buying. Before you buy the house, think about which modifications you will want to make to accommodate your aging body. Furthermore, when one plans to age in place, there is no guarantee that things will go according to plan. If you can afford to buy a house or condo, you can also afford to buy long-term care insurance, hybrid life insurance, or whole life insurance.

About That Reverse Mortgage

Retirees are the most likely age group to buy a house in cash, paying for it with the proceeds of their old house. Before you sell your empty nest, you will need to resolve any financial encumberments attached to it, such as reverse mortgages or home equity loans. If you must repay a lump sum to satisfy one of these obligations, it will leave you with considerably less money to put toward the purchase of your new home. Make sure you calculate everything before you decide which property you want to buy.

Schedule a Confidential Consultation With a Bronx Estate Planning Attorney

An estate planning lawyer can help you figure out how your intended real estate purchase fits into your estate plan.  Contact Cavallo & Cavallo in the Bronx, New York to set up a consultation.

Source:

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