We recently sold mom's house. How will this affect her Medicaid eligibility?

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I was wondering how an if this would affect my mom from getting on medicaid her income was around 1100 to 1200 a month she had a little two bedroom home she deeded it over to me an my brother a year and a half ago she has been living with me ,for the year and a half we sold her house 5 months ago ,the value was only 15000. If anyone has any answers to this I would appreciate it .this is in the state of okla thank you

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Ogburn - you posted onto a really old ?, although it is amusing reading my answer back from 2012! Your best doing this as a totally new ?. Also scan the list of current Q&As in the financial section (go to the bottom of AC webpage and within the botton blue section are the categories). There have been 2 "selling moms mobile homes" threads just this month. Lots of good suggestions in the answers.
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My mother is in a nursing home since June of 2014. After her money was exhausted she went on Medicaid. My question concerns her mobile home. It's paid for but her monthly land rental is over $300 per month. She now has about $200 left after paying the nursing home. What are my options? Should I try to sell now and turn funds over to Medicaid?
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momhouseme: Due to CA's Proposition 13 (late 70s), property taxes for the then-current homeowners were "frozen" at the tax rates in effect at that time. When the property sold, the new owners paid the prevailing tax rate. So some seniors got a real break in their taxes, but the next generation of homeowners did not. The laws may have changed a lot more as I left in the 90s. My husband and I paid 90's taxes for our small place in Southern CA. My parents taxes were "frozen" so they paid considerably less in taxes for a much bigger, nicer property.
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question I am selling my home my mom left my and want to by a smaller one in a different town.i get only $805 per month will that mess up my Medicaid I am on disability too thanks laura
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The transfer penalty regulations can make you dizzy as it makes IRS regulations look like a cakewalk. Every state has a different rate as each state has it's own adminstration for Medicaid under a general Federal guideline.

Reindeer - my mom is TX too. $ 142.93 a day penalty rate. Which is low but that's TX. Years ago we did all the legal for my mom, used a estate attorney who was elder savvy. Ran about 2,500. One document he did was a "Guardianship in Case of Incapacity" which can be done in TX and most don't have. He suggested it as what it does is protect the DPOA from being cancelled or changed by the elder on a whim in a fit of pique or dementia. Attorney said that so often the elder, will start to view whomever is the DPOA as the source of their problems rather than accepting their aging or senility. When they do this (usually prompted by competing family) they go and change the DPOA. At which time you whip out this document and then you have this legal to trump any changes or challenges.

The most common transfer penalty is for auto transfer. All recorded by state and state uses Kelly Blue Book to set value. What seems to happen most often is that you have mom & dad still at home and each has a car. Well mom goes into NH and so doesn't need her car anymore, so they give it to family member (and the family member is likely a grandchild in college so no $ there or the errant always at need worthless SIL or DIL, so again no $ there or worse...they give it to a charity which does it at the highest value as most people want that for taxes). Car is paid for so they don't view it as having value as there is no debt on it. Do the transfer title at the local grocery store around the corner place - this all seems so easy and one less thing to worry about. Happiness all around. Then a few month later get a transfer penalty on the car and have to come up with private pay asap to keep mom in the NH for however many days the supposed BB value is. So you - the responsible sibling - get stuck with coming up with the transfer penalty $$. So that 2001 Oldsmobile becomes a 10K debt that either you need to pay to the NH or have a specific plan on approved spending (buying a irrevocable funeral or burial policy) by Medicaid. Yes, Value can be challenged but requires mechanic or dealership documentation.

For couples, one of the best things to do IF the nonNH spouse anticipates being at home for a good while, is to sell both cars and get 1 dependable but lower value car and pay for it from what the others sell for (so no new debt).

Suz - most of my mom's taxes are frozen or exempt as she files an annual homestead exemption and qualfies for over 65 stuff. These sort of things are based on the individual state and also the local tax assessor. Very often a bond or millage tax increase has exemptions for elderly property owners but you have to file for the exemption. If their property tax is high and you think it should be lower, ask for a hearing on the assessor value of the property. Most places have it so that you have like 90 days from when you get the tax bill to file for a hearing. I did this for my mom years ago and took in photos and other documentation (like from 3 different contractors) of the cost of repairs and got my mom's house reduced in value. Now her taxes are frozen so it didn't matter much in that way but now that she is in a NH and on Medicaid and still has her home, it will make the value of the property lower on what MERP could possibly get in recovery too.

Happy Holidays & Hugs to all!!
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Frozen taxes:::: on one's home at ae 65? Tell me more please, here in CA
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For those of you that have a loved one in nursing or dementia care, take advantage of the social worker there. They are trained to help answer such questions. Also, BEFORE we got caregivers for my husband or put him in nursing care, we gave our son Power of Attorney. He contacted an Elder Lawyer here in PA. and got all the questions answers and planned for the future. That took a huge burden off of me. Be certain you can trust your Power of Attorney person! Hugs, Corinne
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One of the Medicaid examples that I have seen might excuse half or part of the penalty since mom lived with one of the kids for a period of time .(in reference to original $15,000. house question
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The truck was my dad's I think that is why we can transfer it back. Also, mom's car is only worth $1500. and the spouse in the community is allowed to keep a certain amount of assets.
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That is what the attorney told us in the case of the car. My understanding is that for every $144 app. of a gift of value (car, house) they will be penalized for amount.
$144. equals one day of nursing home care that must be paid for privately. My understanding of the car is that she can sell it for fair market value and spend down the money paying for her clothes, burial plot or plan(only up to $2000) each. Anything she has given away in the last five years that was of value that can be
traced by her social security number can be a penalty for her. If she has a husband, than you could transfer it back to her husband. I would consult an elder care attorney because each state is different and what our attorney said is only really based in our case. It is a case of total assets and income, and I am not qualified. We are not trying to qualify Dad at this time for medicaid which since he is a surviving spouse, this will not be looked at after she qualifies since he is entitled to this. It can be a risky situation to apply for medicaid without the help of
an attorney. If it is all straight forward, no problems but prior transfers need to be
looked at. I am in Texas. My attorney charged me around $3400 to handle everything for me and make sure everything was legal.
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