Can Medicaid take your home if in assisted living? - AgingCare.com

Can Medicaid take your home if in assisted living?

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My mom is in assisted living in NJ and currently owns a home that is up for sale. The facility she is staying has an agreement with us that upon sale of the house the proceeds go to them to pay for any expenses. They currently aren't receiving any payment and want my mom to apply for Medicaid. My question is, if and when she gets approved for Medicaid does Medicaid take her home as an asset and the lien on the house put on by the facility does not get honored ? Any help appreciated

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Thx for all the feedback much appreciated follow to this is we currently use my moms ss to pay for taxes and mortgage on the house What happens to her ssi if she gets placed on medicaid? Do we have option to use it for her expenses or will the NH take it at the point she goes on medicaid
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Medicaid will disqualify her for the period of time equal to the NH bill that can be covered by the sale of the house. So..the NH gets paid, and when she is below $2,000 in assets...Medicaid will take over again.
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Money from the sale of the house may be held, if she is approved for Medicaid. Otherwise, if/when she passes, how would Medicaid get paid back? NH cares only about getting paid.
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Margaretfrances, New Jersey will have laws about who gets paid first. They call it classification of debts. Outstanding taxes get paid, then the bank if there is a mortgage. You really do need to see a lawyer.
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The proceeds from the sale of the house go to the Nursing Home. Medicaid will not kick in until those proceeds are all used up. If you screw up and they don't get the money, you get sued. Ask the lawyer who is handling the closing. If someone in the family wants the house, they pay fair market value for it.
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but when the house is on the market in unsold status they will make payments to the facility she is staying then what happens once the house sells...who gets their monies first the facility or Medicaid?
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If she applies for Medicaid, her assets are counted, and she will need to spend it down to $2,000. There is no separate agreement here.....sell the house and Medicaid will not pay until the proceeds have been used up. Don't sell the house, and Medicaid will take it to use. Either way, the house is used for her living needs.
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