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I handle all of Mom's finances and I'm an only child. She saved well and owns her own home, but now with 24/7 care costs her cash finances are down to about 5 months. I do not expect Mom to be with us more than a couple more years. Her home could be worth at least $350,000. In your experience, what are the pros and cons of each of the above methods of getting an influx of cash to pay her living expenses. She gets a good amount of Social Security and should soon also be getting VA Aid and Attendance. Thanks for the help.

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With a second mortgage or home equity line of credit (HELOC), monthly payments are required. With a reverse mortgage, you can take either a lump sum or periodic withdrawals, and no payment is due until the homeowner dies or moves. Reverse mortgage fees and interest rates are usually significantly higher than the other options, and lenders want to make sure that the value of the home will exceed any amounts loaned plus the interest accrued until the home is vacated. Is there a first mortgage already? If so, the amount available for withdrawal under any of the options might be less than you need. If there is a lot of equity in the home, it seems to me that a HELOC might be best for your mom because you can take out enough each month to pay for your mom's needs, and also to make the monthly payments on the loan. This way, you are only paying interest on the amount you have withdrawn. With a second mortgage, you get a lump sum (which you would then need to invest and manage) and you would be paying interest on the entire amount from day one. Regardless of which loan type you choose, shop around because some banks offer "specials". For example, in my town a bank was offering a HELOC with a fixed rate of 1.5% for the first two years.
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To clarify . . . Mom is in her own home with 24/7 care. She is alert and has friends who visit daily. She uses a walker and enjoys going outfoors and sitting in her patio. She wants to stay there and I will do as much as I can to make that happen. She has lived there 60 years
Unless she develops dementia or needs serious medical intervention she will stay in that housr.

I've spoken with our elderlaw attorney. She says there are pros and cons on all fronts regarding taking money out of the house, which might rewrite changes in the family Trust and to look at all options.
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There are pros and cons to each item you mentioned, but I would make an appointment with an Elder Law attorney and have him/her suggest what would be best for your Mom.... including the idea selling the home. It would be nice to have all the equity in the bank/money market for you to use for your Mom's care.

Chicago1954, above, had a good idea of renting out the house.... have someone recommend a Realtor who can set a good monthly rental price and who can find qualified tenants. Renting is good if your Mother doesn't mind being the landlord [with you overseeing everything] or hire a residential property management group where the company collects the rent and deals directly with the tenant.
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Can she sell the house? Then, you would be free and clear of it. But, she would have to pay her tax on it. My SIL had a reverse mortgage and it ended up being OK. She sold the home, for a profit, though and paid off the reverse mortgage.

Can you sell the contents and rent the home?

My mothers own home is sitting full of her stuff, because she won't liquidate.
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Avoid reverse mortgages, they are very predatory. second mortgages are pretty much the same as home equity loans. BUT banks are very cautious, they look at the ability and willingness to make payments. Get her into a facility while you still have enough money for private pay, you will have more choices than Medicaid. A good facility will help you with the financials/loans.
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