How a Life Estate Preserves a Home for a Surviving Spouse

In this episode of Estate Planning with Fexingo, Lucas and Luna explore the life estate — a legal tool that lets a homeowner give their house to a child or heir while keeping the right to live there until death. They walk through a concrete example: a widowed mother in Florida transfers her $500,000 home to her son via a life estate, avoiding probate but creating a capital gains tax trap when the son sells after her death. The hosts explain the 'step-up'in basis' rule, the risks of Medicaid recovery, and why a life estate is a simple, low-cost alternative to more complex trusts. Perfect for listeners considering how to balance keeping a home in the family with protecting assets from nursing home costs or property taxes. No legacy planning jargon or fluff — just straight talk on when a life estate makes sense and when it doesn't. #LifeEstate #EstatePlanning #ProbateAvoidance #StepUpInBasis #CapitalGains #MedicaidRecovery #FloridaEstatePlanning #HomeTransfer #SurvivingSpouse #GiftTaxExclusion #EstateTax #RealEstateLegacy #Finance #FexingoBusiness #BusinessPodcast #EstatePlanningWithFexingo #WillsAndTrusts #GenerationalWealth Keep every episode free: buymeacoffee.com/fexingo