Hi, my understanding is that the value of any real estate apart from your own principal home is considered an asset under the assets test.
To be exempt from the assets test, your principal home and adjacent land, up to 2 hectares, must be on a single title block and the land must not be used primarily for commercial purposes.
If you both sell your homes, and move to one together, she should still be able to retain her principal home exemption for the purpose of the assets test.
However, will doing this add cash to your bank accounts? I would need to understand what other assets she has... and you have.. in order to determine the result with regard to the assets test.
The asset thresholds are as follows:
There is also an income test... what income do you have? what income does she have (if any) in addition to her pension?
The income tests are are as follows: