Can Medicaid Recover Assets Transferred Before the Medicaid Recipient's Death?
May 19th, 2015
Husband was placed in a nursing home and received Medicaid benefits five years ago. When he went into the nursing home, the husband and wife jointly owned a home. Two years ago, while the husband was still alive, they deeded the house into the wife's name only. The husband died six months ago in the nursing home. The wife now wants to sell the house because she is 89, in poor health, and can no longer maintain it. She has no assets other than the house equity. When she sells the house, will Medicaid recoup half of the sales price? She is very concerned about having enough money to live on.
Medicaid has the right to recover against the recipient's estate, but not against the spouse's, and there is no Medicaid restriction on transfers between spouses. Since the house was transferred during the nursing home resident’s life it was in neither his probate nor non-probate estate and not subject to estate recovery.
That said, there could be local exceptions that we're not aware of, so it would be best to consult an elder law attorney in the state in question to be absolutely sure. Here is a directory of attorneys: http://www.elderlawanswers.com/elder-law-attorneys.
In practice since 1987, Fairfax Attorney Evan Farr is widely recognized as one of the leading Elder Law, Estate Planning, and Specials Needs attorneys in Virginia and one of foremost experts in the Country in the field of Medicaid Asset Protection and related Trusts. Evan Farr has been quoted or cited as an expert by n...
Daniel N. Steven is an attorney licensed in Maryland and the District of Columbia. with many years of experience in complex estate planning and Elder Law. He is rated by Martindale-Hubbell as an AV Preeminent 5.0 out of 5 rated attorney.
Mindy Felinton concentrates in the areas of Medicaid planning, Veterans' Benefits, asset protection, nursing home planning, elder law, wills, estate planning, trusts, living wills, powers of attorney, probate administration and trust administration and began her legal career 30 years ago as an Assistant State Attorney...