When my grandfather had to go into a nursing home back in the early 1980s, there was a requirement that after a year of residence he was required to give one-third of his assets to the home. Fortunately, ownership of his house had been transferred to my mother several years earlier, so this didn't have to be taken into account. The monthly rate (about $3000/month back then) was not affected. He only lived a few months after this point (not to imply care was compromised after the home had banked the check!).
My mother has been in a couple nursing homes (in different states), and neither has had any such requirement, and I haven't seen any mention of it so far on this website. If either had pulled such a stunt with my mother, it would have been much cheaper to have hired full-time at-home care.