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REAL PROPERTY Definition of Home: A home is defined as any shelter that the individual owns and uses as their principal place of residence. The home includes any land on which the house is located and any related outbuildings necessary to the operation of the home. • If an individual in the Aid to Dependent Children (ADC) unit sells their home, the net proceeds become an available resource unless reinvested immediately in another home. Definition of Real Property: Real property is defined as land, houses, or buildings. LIQUIDATION OF REAL PROPERTY • When an individual in the ADC unit has excess resources because of real property, the unit may receive ADC pending liquidation of the resource(s) if the individual is making a good-faith effort to sell. Note: If the individual does not have the legal authority to liquidate the property, they are allowed 60 days to initiate legal action to obtain authority to liquidate or to remove their name from the title of ownership. o An individual with legal authority to liquidate the property agrees to dispose of the property within six calendar months and reimburse the Department for grants received during the disposal period by signing Form IM-1, Agreement to Sell Real Property. • When the property has been sold, the individual must reimburse the lesser amount of: 1. The proceeds from the sale minus any expenses relating to the sale, such as payment of the mortgage, realtor’s fees, legal fees, etc.; or 2. The amount received in ADC grants minus any child support collected and retained by the Department during the repayment period. a. For initial cases with excess resources due to real property, the repayment period begins with the month of application. b. For ongoing cases, the repayment period begins at the point the real property becomes available or would otherwise cause excess resources. c. If the individual fails to report the existence of real property or its availability or the Department fails to take action, and the property causes excess resources, the repayment period begins with the month the Form IM-1 is signed. The months before the form was signed, when the individual had excess resources are treated as overpayments.