I expect he will eventually be forced into a medicaid buy down for memory care and want to be able to recover my loan with funds from the sale of his home but worry about Medicaid rules.
One accident (or galloping dementia) might mean he needs nursing home care. This may change his home ownership needs, the timing of his house sale, and the priority of a debt to you rather than to the government funder. It is probably a high risk proposal.
You might make it safer with a written loan agreement and a registered mortgage (tricky in itself if it's for an increasing amount, not a known fixed amount), but the legal costs might eat up some of the advantages you see.
24/7 in-home care is usually more expensive than a facility. It probably makes sense to do some facility tours (and some arithmetic) before risking your money on this.
If he is going to an AL and will be paying privately, then I see no problem loaning him money. Get it in writing that he will owe you the money upon sale of his house. That the check will be written at the time all other checks are written at the time of sale.
If your state pays for AL and he is applying for it, then no do not loan him the money. I was told by the Medicaid caseworker, there was no guarantee I would get out of pocket reimbursed.
Most states' Medicaid programs don't cover AL or MC, only LTC, which is medically assessed by a doctor.
Most states' Medicaid applications have a 5-year "look back" period as well, so his finances need to be managed in such a way as to no disqualify or delay him from this safety net.
This is a global forum of non-financial experts with no accountability. It's best to talk to a certified elder law attorney or Medicaid Planner for his state.
You might make it safer with a written loan agreement and a registered mortgage (tricky in itself if it's for an increasing amount, not a known fixed amount), but the legal costs might eat up some of the advantages you see.
24/7 in-home care is usually more expensive than a facility. It probably makes sense to do some facility tours (and some arithmetic) before risking your money on this.
If your state pays for AL and he is applying for it, then no do not loan him the money. I was told by the Medicaid caseworker, there was no guarantee I would get out of pocket reimbursed.
As far as I what I think of the idea...I do not think it is a good one.
Seek legal council.
Most states' Medicaid applications have a 5-year "look back" period as well, so his finances need to be managed in such a way as to no disqualify or delay him from this safety net.
This is a global forum of non-financial experts with no accountability. It's best to talk to a certified elder law attorney or Medicaid Planner for his state.
You cannot afford to be wrong about legal fiduciary issues and duties that may be conflicting, as it will end in an awful mess.
See an attorney with your question and update us what you learn; it may help others. I wish you both the very best.