Life Estate investment

odqlesz · #1 (**permalink**) 10-25-2009, 09:31 PM

Here is my situation, older couple next door and no kids.
They would like to stay there until they pass. They are
in their early 80's decent health. No mortage, they say money
wise, they will probably run out of money in 3 to 5 years and
are worried about not being able to stay in the house.
I would like to purchase the house from them giving them
life estate but not sure of the best way to do this.
Or should I tell them to do a reverse mortgage or get a
home equity loan.
What is the best way for me to aquire the house and give
them life estate without hurting my pocket too much.

jacobbon · #2 (**permalink**) 09-11-2010, 04:28 AM

Yes, the holder of the life estate has the right to lease—or even sell—the property subject to the life estate. In other words, the tenant or buyer gets the rights to the property only for the lifetime of the person to whom the life estate has been granted. And yes, the owner of record (you) has the right to enter the property for the purpose of inspection with notice and at reasonable intervals.

saramartin · #3 (**permalink**) 09-24-2010, 08:47 AM

Yes, that's it- a life estate. Thank you! In my family, we had a relative take early retirement to move up and care for her mom. All the other were doing well, had families and active lives. When the mom died, the estate went to all the but the daughter who cared for the mom had a life estate, entitling her to remain in the house for her lifetime.bayut.com

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