[Mortal1]

an equally salient point is that even if you leave the kids the house they will still have to pay the taxes on it's worth. This from a tax expert(cpa). now I hope they are wrong, but it doesn't sound like a good thing.

[Gulfcoast]

Originally Posted by Mortal1

an equally salient point is that even if you leave the kids the house they will still have to pay the taxes on it's worth. This from a tax expert(cpa). now I hope they are wrong, but it doesn't sound like a good thing.

Do you mean property taxes if they choose to keep the property? Or is there some kind of inheritance tax on the property?

Our kids aren't anywhere near 55 so I don't see them wanting to keep a house in an over 55 community if something were to happen to me and their dad. But I also don't see them wanting to deal with the taxes, maintenance and upkeep on the fairly large house that we have now - our current house is in a regular suburban Florida neighborhood and we are seriously thinking of downsizing to TV. Hopefully, my husband and I will be around for a long time but we've seen from friends/family that that is not always a given. Rather than deal with the logistics of it all during a crisis, I'd prefer to simplify things while we're still young, reasonably healthy and can think through it all together. Our kids are still college age and their focus in the coming years will need to be on working hard and getting started out in life. If they want to come live near us or even with us for a time, fine, but they won't have to worry about us in TV.

[MrFlorida]

Your kids can inherit it, but will most likely sell it. Young folks don't want to live with us old timers.

[Tmarkwald]

As I mentioned earlier, the covenants state the rules. Which could be amended.

We purchased our home from a gentleman who inherited it when his dad passed here in TV and he designated as the trustee for the property.

He was not eligible to live in TV because he was only 50. He did not fight it with TV, he just put it on the market.

As far as taxes, he got hammered because homestead exemption went away and he was stuck with the entire tax bill. But it comes out at closing and is paid then, so nothing out of pocket for him.

I don't know the right answer when it comes to preparation. When I lost my parents, we had already moved them into an independent living place and they could do what they wanted. We liquidated all the real estate and I took ownership of the remaining car, so all I had to deal with at the end was working the trust without real property.

From conversations with others, if there is any way to ensure that all your assets are liquid, it is much easier to deal with in estate. Another thing as well is to move liquid assets into accounts that would not be part of the estate.

Sobering stuff, but in short, a good estate attorney can help you protect your beneficiaries from a massive tax hit when you go to enjoy the pleasures of the afterlife

[Gulfcoast]

Originally Posted by Tmarkwald

As I mentioned earlier, the covenants state the rules. Which could be amended.

We purchased our home from a gentleman who inherited it when his dad passed here in TV and he designated as the trustee for the property.

He was not eligible to live in TV because he was only 50. He did not fight it with TV, he just put it on the market.

As far as taxes, he got hammered because homestead exemption went away and he was stuck with the entire tax bill. But it comes out at closing and is paid then, so nothing out of pocket for him.

I don't know the right answer when it comes to preparation. When I lost my parents, we had already moved them into an independent living place and they could do what they wanted. We liquidated all the real estate and I took ownership of the remaining car, so all I had to deal with at the end was working the trust without real property.

From conversations with others, if there is any way to ensure that all your assets are liquid, it is much easier to deal with in estate. Another thing as well is to move liquid assets into accounts that would not be part of the estate.

Sobering stuff, but in short, a good estate attorney can help you protect your beneficiaries from a massive tax hit when you go to enjoy the pleasures of the afterlife

If the adult child(ren) inherit the property and they already live in Florida would they still lose the homestead exemption?

[LuvtheVillages]

Originally Posted by Gulfcoast

If the adult child(ren) inherit the property and they already live in Florida would they still lose the homestead exemption?

Yes.
To get the homestead exemption, you have to actually live in the house on January 1.
So you can only homestead one property.

[Vikingjunior]

I always wondered how this isn't age discrimination which is one of the protected classes. Imagine a community opening up and saying only people under 55 can live here.

[Marathon Man]

Originally Posted by Vikingjunior

I always wondered how this isn't age discrimination which is one of the protected classes. Imagine a community opening up and saying only people under 55 can live here.

Because the Housing for Older Persons Act (HOPA) allows 55+ communities to exist.

[rjm1cc]

Since it is important I think I would write to the HOA and tell them what you want to do and ask for an answer in writing that you can put with your estate papers.
As far as inheriting, the answer is yes.
A number of homes are being rented. I assume not all have a renter over 55. If nothing else they might be able to rent to them selves.

[Tmarkwald]

Originally Posted by Vikingjunior

I always wondered how this isn't age discrimination which is one of the protected classes. Imagine a community opening up and saying only people under 55 can live here.

The establishment of over 55 communities dates back to the Fair Housing Act of 1968 (FHA) which, among other things, sought to prohibit discrimination in housing based on race, gender, religion, or age.

[Bogie Shooter]

Originally Posted by rjm1cc

Since it is important I think I would write to the HOA and tell them what you want to do and ask for an answer in writing that you can put with your estate papers.
As far as inheriting, the answer is yes.
A number of homes are being rented. I assume not all have a renter over 55. If nothing else they might be able to rent to them selves.

What HOA?

[retiredguy123]

Originally Posted by Vikingjunior

I always wondered how this isn't age discrimination which is one of the protected classes. Imagine a community opening up and saying only people under 55 can live here.

The Federal law prohibiting age discrimination only covers people over 40.

[rustyp]

The rule in Florida is an over 55 community must have at least 80% of the "units" (not people) be occupied by at least one person over 55 or older. Thus one spouse being 55 and the other being 50 as example qualifies as part of the 80%. The remaining 20% of "units" can be any age as long as no resident is under 19 years of age in either category. I can't imagine TV is anywhere near close to 80/20. Thus no reason your children can't inherit your house as long as they obey the 19 year old rule.

[petsetc]

At the sake of trying be concise (and not doing too much research), I believe the Federal Standard say that to be a 55+ community, at least 80% of the units must have one resident 55 or older and that requirement is not tied to ownership.

As to over under 19, that is an internal deed restriction imposed by the developer who is responsible for its enforcement and is not a part of Federal or Florida code. Specifically, no one under the age of 19 may spend more than 30 calendar days living in TV. Within the "rules" there are other age related restriction such as no one under 30 at adult pools et al.

FWIW

[JoMar]

In 1999 the United States Department of Urban Development published the FEDERAL Regulations implementing the Housing for Older Persons Act of 1995. HOPA states that the minimum standard to obtain housing for persons who are 55 years of age or older status is that “at least 80%” of the occupied units be occupied by persons 55 years or older. There is no requirement that the remaining 20% of the occupied units be occupied by persons under the age of 55, nor is there a requirement that those units be used only for persons where at least one member of the household is 55 years of age or older. Communities may decline to permit any persons under the age of 55, may require that 100% of the units have at least one occupant who is 55 years of age or older, may permit up to 20% of the occupied units to be occupied by persons who are younger than 55 years of age, or set whatever requirements they wish, as long as “at least 80%” of the occupied units are occupied by one person 55 years of age or older, and so long as such requirements are not inconsistent with the overall intent to be housing for older persons. Started by the Feds, not by The Villages, not by the State of Florida.