A Last Will and Testament addresses how a person wishes his or her assets to be distributed upon their death. A Will sets forth detailed information regarding the distribution of any real property, vehicles, boats, tangible and intangible belongings, and often life insurance, among others. In addition, it may also designate certain assets to charitable institutions. It is worth noting that a Will can be revoked or replaced at any time and should be reviewed on a regular basis to reflect any life changes. Continue reading “Creating a Trust May be in Your Best Interest”
Tag: irrevocable trust
Selling a Home in an Irrevocable Trust and Purchasing a Different Property
An irrevocable trust can be created to preserve assets in the event that a person requires long-term care through the Medicaid program, which is a primary payer of skilled nursing facility costs. In order to be eligible for the Medicaid program, an applicant must meet specific income and asset requirements. In most instances, individuals will transfer assets into a trust to ensure Medicaid eligibility. Normally, the transfer of assets is completed prior to an individual requiring long-term care assistance, because the assets must remain in the trust for five years in order for the Grantor to not be penalized or be caused ineligibility for Medicaid. Continue reading “Selling a Home in an Irrevocable Trust and Purchasing a Different Property”
Mortgaging A Property In A Trust
Many individuals wonder if they can obtain a mortgage on real property that is owned by a Medicaid trust. Unfortunately, a bank will not likely offer a mortgage or home equity line of credit for property that is in an irrevocable trust. However, in New York State, a Medicaid trust that is irrevocable can be revoked. This means that an individual has the ability to remove the real property from the trust in order to receive a mortgage or home equity line of credit on the property. However, consent must be obtained from the beneficiaries of the trust. Obtain consent from those who are beneficially interested must comply with strict requirements. For this reason, it is important to have an experienced attorney provide assistance. Continue reading “Mortgaging A Property In A Trust”
