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or will they just take their social security? My parents both have dementia... their house is not worth much ... not up to code ..if i were to put them both in a nursing home would the state take their home ???

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The state won't do any recovery until they are deceased. Their income, all of it, goes to the Nursing Home, leaving nothing to pay for the house taxes or upkeep. BUT if you lived with them and cared for them for two years or more, you can get a waiver that would allow you to continue to live there.
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