For individuals with disabilities, owning a home that is accessible and comfortable can be essential to maintaining independence and quality of life. However, there may come a time when selling a current home and using the proceeds to purchase another home is necessary or desired. In such cases, it’s natural to have concerns about whether or not the sale of the home will result in a loss of disability benefits. This guide will provide an overview of the potential implications of selling a home and using the proceeds to purchase another home.

NDIS Property Investment 

It’s important to note that the National Disability Insurance Scheme (NDIS) provides support for individuals with disabilities to help them achieve their goals and live more independently. This can include property investment, which can be used to make modifications to an existing home or to purchase a new home that is specifically designed for accessibility. However, it’s important to understand that the NDIS does not provide ongoing funding for property ownership, it’s only intended to assist with property modifications or purchase.

Selling Your Home and Disability Benefits 

When it comes to disability benefits, the sale of a home will typically not affect eligibility for benefits such as Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI). These benefits are based on income and resources, and the proceeds from the sale of a home are not typically considered in determining eligibility.

However, it’s important to consider that if the home being sold is the primary residence and the individual is using the proceeds to purchase another home, it may have an impact on the benefits they receive, particularly if they are receiving rental assistance. In such cases, it’s best to consult with the government agency providing the benefits or with a financial advisor to understand how the sale of the home may impact benefits.

Buying Another House and Disability Benefits 

When it comes to buying another home, it’s important to keep in mind that the NDIS will not provide ongoing funding for property ownership, it’s only intended to assist with property modifications or purchase. Additionally, the individual’s disability benefits may be affected if they are using rental assistance to help pay for the new home.

For example, if the individual is receiving rental assistance and they use the proceeds from the sale of their home to purchase a new home, they may no longer be eligible for rental assistance. However, if they are using the proceeds to make modifications to the new home to make it more accessible, they may be able to continue receiving rental assistance.

Other Considerations 

When considering the sale of a home and the purchase of another, it’s important to keep in mind that the financial implications of the sale and purchase will vary depending on the individual’s specific situation. It’s important to consult with a financial advisor, real estate agent, and NDIS representative to understand the potential financial implications of the sale and purchase.

Additionally, it’s important to consider the accessibility of the new home, as the NDIS may provide funding for modifications to make the new home more accessible. It’s also important to keep in mind that there may be other government programs that can help with the purchase and modification of a new home.

Selling a home and using the proceeds to purchase another home will not typically result in a loss of disability benefits. However, it’s important to consider the potential impact on benefits such as rental assistance, and to consult with the government agency providing the benefits or with a financial advisor to understand how the sale of the home may impact benefits. It’s also important to keep in mind that NDIS Property Investment is available to assist with property modifications or purchase, but it’s not intended to provide ongoing funding for property ownership.