# Dolly Parton Cottage Sells for $1.94m

> Retirees selling homes face higher Medicare premiums years after moving out.
- Title: Dolly Parton Cottage Sells for $1.94m · 24/7 Wall St.
- Summary: Retirees selling homes face higher Medicare premiums years after moving out. Retirees who sell homes can see Medicare premiums rise two years later due to…
- Keywords: dolly parton, solvang, california, medicare, part b, part d, taxable gain, irmaa, social security, home sale, Dolly, Parton
- Source: 24/7 Wall St. — https://247wallst.com/personal-finance/2026/10/18/dolly-partons-former-cottage-fetches-nearly-2-million-but-retirees-selling-their-own-property-can-face-higher-medicare-premiums-long-after-moving-out
- Author: Gerelyn Terzo
- Published: 2026-10-18T23:00:40+00:00
- Read time: 1 min
- Topics: dolly parton, solvang, california, medicare, part b, part d, taxable gain, irmaa, social security, home sale
## Dolly Parton Cottage Sells for $1.94m
Dolly Parton’s former cottage in Solvang, California sold for $1,945,150.
## Five Offers for Cottage
The cottage drew five offers and interest from 10 serious buyers before closing.
## Medicare Premiums Rise Two Years Later
Retirees selling homes can face higher Medicare premiums two years after moving out.
## Taxable Gain Drives Medicare Bill
Medicare calculates premiums based on taxable capital gains from home sales.
## Home-Sale Exclusion Limits Taxable Gain
Homeowners can exclude up to $250,000 of gain on a main home sale.
## Widows Face Sharper Rules
Widows can still qualify for joint exclusion if the sale happens within two years of a spouse’s death.
## Medicare Bill Arrives Two Years Later
Social Security uses tax returns from two years prior to set Medicare premiums.
## Taxable Gain Example
A seller paid $300,000 decades ago, improved the home to $450,000, and cleared $800,000 after expenses.
## Taxable Gain After Exclusion
After excluding $250,000, $100,000 of the $800,000 gain becomes taxable for Medicare.
## Key takeaway

Retirees who sell homes can see Medicare premiums rise two years later due to taxable gains from the sale.