As parents get older, their adult children will sometimes have to step in to help them handle significant life changes. One of these is when the aging parent needs to sell their home. This is a major decision that should be carefully planned and executed.
Families may need to address ownership, mortgage balances, taxes, disclosures, repairs and moving plans. These details can become more challenging when the parent has health concerns or memory challenges. It may also be difficult if they have to move quickly.
Consider the parent’s legal capacity
If the parent has the legal authority to sell the home and the capacity to make their own decisions, they’re legally allowed to control the process for selling their home. This includes determining the list price, whether to accept a specific offer and handling the closing process.
If the parent doesn’t have the legal capacity to make their own decisions, the person who has a power of attorney designation, trustee or conservator will be the one who makes the decisions. The title company and buyer might ask for proof that this individual has the legal right to handle the sale
Ensure compliance with applicable laws
Home sales require that the seller provide accurate disclosures about the property. This includes a list of known defects, such as foundation issues or roof defects. Those defects may affect the pricing and timing of the sale, all of which have to be considered during the process.
Throughout the process of helping an aging parent sell their home, it’s best to be vigilant about watching for signs that anything is amiss. However, the parent’s wishes also have to be considered as long as they’re in the right mind to make those decisions and to make their wishes known.