Would we have to sell mother's home before she would be considered for Medicaid? - AgingCare.com

Would we have to sell mother's home before she would be considered for Medicaid?

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bpowers518, your Mom can continue to live in her house and still have Medicaid to help with her paying of medical costs. It depends on Mom's condition, your profile didn't say what were her medical issues. Is Mom still mobile and do things for herself? Does she need help every once in awhile? If yes, then Medicaid could send an Aide over to help her once or twice a week for a couple hours each day.

If Mom needs skilled nursing care, then Medicaid would recommend she move to a nursing home to which Medicaid will pay for her care. But Medicare would want to be reimbursed, thus the lien being placed on her house.

Written earlier by Guestshopadmin has some excellent information. As she mentioned, will you or your family be able to maintain and take care of Mom's house while she is in a nursing home? That means, pay the mortgage if there is still a mortgage, pay the homeowner's insurance [if the house is vacant the insurance will be much higher], pay the utilities, keep the yard cut, etc.

Selling the house now might be a good option, as noted earlier, it will give Mom more choices for nursing home care. But please note, it can be expensive. My Mom's nursing home was $12k per month, it all depends on where your live and the cost of living there. Make sure you choose a nursing facility that will take Medicaid later on.

I know this can be so complex. If within the budget, contact an Elder Law Attorney and get suggestions from him/her.
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As long as the house is in your Mother's name, you will not have to sell it before going on Medicaid. https://www.skillednursingfacilities.org/resources/medicaid-and-nursing-homes/
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You would not have to sell her home - it's an exempt asset for Medicaid during your mother's lifetime. BUT once she is on Medicaid, there will be no money from mother's income to do any repairs on home, any utilities or taxes for home, etc. All of mother's money except a small needs allowance (typically $60-$125) per month will go to the facility and any remaining balance will be paid by Medicaid. That allowance will be enough (maybe) for hair appointments or a cell phone or cable. And a lien will be filed on the home that will need to be satisfied after mother's death for repayment of monies paid by Medicaid on mother's behalf for her care. If an adult child lived with parent for 2 years and cared for parent thus keeping them out of NH, you can make an application to get rid of the lien. But the application is very specific as to care provided and what kind of paperwork you need to get signed in advance of application. If the plan is to keep parent's home for an inheritance, all involved need to be prepared for what may be YEARS of expenses and you really need some legal advice for this. There are several threads with comments by poster igloo572 that explain the process in detail with probate possibility or dealing with independent contractors for your state in MERP (Medicaid Estate Recovery Program). The reality is that most individuals that need Medicaid to cover expenses will not have house or other assets to leave family unless the family is willing to do a lot of work to pay for them. Having the assets to private pay for a facility then transition to Medicaid can give your parent a better choice of nursing homes. Not all facilities accept Medicaid. Not all Medicaid facilities have private rooms. The money from the sale of a home can make a big difference in the quality of life an elder has during the Medicaid transition. The federal and state governments do not simply pick up the tab for Medicaid care of a person at end of life so that assets can be retained by family. No judgement here - if you have big enough assets that this is a question, hire an attorney well-experienced in Medicaid and elder planning to see what your options are. But moving assets usually has to be done before the 5-year look-back on transactions now required by Medicaid - and that's not the kind of planning this question usually involves. Please see a lawyer if you plan to keep house about the ways to best pay for it by family personally.
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