Camden Delaware Real Estate Law Blog

Many people enjoy the process of planning. The comfort that can come from having a plan for various scenarios can seem appealing. As a result, some Delaware residents may have plans for a number of occasions. However, they may want to ensure that they have a long-term-care plan in place specifically.

According to reports, 70 percent of older individuals, typically those of retirement age, will need some sort of long-term care. Therefore, it makes sense to plan ahead for this possible event. Some individuals may be even more likely to need this type of care, such as those who participate in risky behaviors or have a family history of illness or other health conditions. While long-term care insurance could be one option to consider, not everyone qualifies for coverage.

No matter the climate of the housing market in Delaware, there may always be those who desire to be homeowners but are not ready for one reason or another. Perhaps their credit has taken a hit or they do not have enough down payment. One option for such buyers is renting to own. While this real estate transaction may seem attractive to both sellers and buyers, there are pitfalls that both sides should be aware of.

The principle of renting to own is that the tenant pays the owner rent plus a little extra that the owner applies toward the purchase of the property. The renter has the option to buy at a later date when his or her finances may be more secure. The renter benefits by locking in a price on the property and buying time to build credit and equity. The seller benefits from having a steady income, a motivated buyer and a renter who is invested in taking care of the property.

It's nothing new to say that kids are expensive, but what happens when paying expenses for adult children cuts into retirement savings? Recent research shows that many near-retirees in the United States do not have adequate savings -- an issue that can be compounded when tuition, wedding expenses and even caring for adult children gets added to the mix. Understanding how to protect their own retirement funds while managing expectations from kids is an Elder Law issue that faces many in Delaware, particularly those with adult children who are not financially independent.

One of the biggest costs where aging parents are pitching in more than ever before is housing. This can include helping a child with his or her first down payment or covering his or her rent during school. While this can be helpful when parents or grandparents can afford to help, those who have limited retirement savings may find themselves strained financially after making that decision. This can lead to feelings of regret and tension down the line.

Most parents hope to split their assets equitably between children when they pass away. But if one child has an addiction to opiates, alcohol or another substance, parents can become concerned that leaving assets to that child is not a responsible decision. There are a few things Delaware parents can do when estate planning with an addiction in the family.

One common way to address this is to put the money intended for the person with substance abuse issues into a trust. This is also a good option for children who have disabilities that may impact their handling money, such as down syndrome or autism. A trust allows parents to appoint a trustee to safeguard the assets, only allowing the child access if he or she meets certain criteria.