Is There A Way I Can Reinvest Money From The Sale Of Property?

May 20 2019 - 6:21pm

Is there a way that I can reinvest money from the sale of a property deeded over to me. I receive only $835.00 a month in ssa and ssi. I am selling the house because I cannot afford the expenses. I already owe my sister several thousand dollars for mortgage payments, taxes and utilities on this house. I can't afford to lose my minimal income.

Hi,

Sale of a home or any other type of property wouldn't affect your Social Security benefits. However, sale of a home in which you live could make you ineligible for Supplemental Security Income (SSI). That's because a home in which you live is excluded from counting toward the $2000 asset limit for SSI eligibility. So, if you sell your home and the proceeds put you over the asset limit, your SSI benefits will likely stop.

If you sell your home and use the proceeds to buy a new home, it normally wouldn't affect your SSI benefits. Or, you could use the proceeds to purchase another excludable asset such as a car, burial fund or life insurance policy. But, only one vehicle can be excluded from counting toward the resource limit, and only $1500 each in burial funds and life insurance policies can be excluded. For more information on the type of assets that wouldn't count toward the asset limit for SSI, refer to the following Social Security website: https://www.ssa.gov/ssi/spotlights/spot-resources.htm.

Best, Jerry