In 2015, over 44,000 Ohio residents were living in a long-term skilled nursing facility, and more than half of those patients were recipients of Medicaid. With skilled nursing care costs increasing, people worry about how to afford a nursing home stay if they need it, and how they can qualify for Medicaid assistance without forfeiting their home equity. The following is some information that can help elders and their family members make important decisions about long-term care.
The Rights Of The Community Spouse
When a nursing home resident has a spouse who is still living in the family home, the spouse is designated as a “community spouse,” and the home is not counted among assets for Medicaid eligibility. This rule applies only to the primary residence as of 2017. Vacation homes or other secondary residences can count against Medicaid eligibility. This is a relatively recent change to the law.
When There Is No Nursing Home Spouse
For people who have no spouse at the time of their Medicaid application, the value of their home can count against their eligibility unless they express an intent to return home after a temporary stay. If that is not a reasonable expectation, then the home owner may need to sell the home and spend down the proceeds in order to qualify for Medicaid. In most cases, the home can only be sold; it cannot be given away as a gift.
Transferring A Home To An Adult Child Or Sibling
In certain circumstances, however, a home can be transferred to an adult child or sibling of the home owner so that the home is exempted as a countable asset. Home owners can transfer their home to a minor child, to a disabled adult child, and to an adult child who has been living in the home for at least two years and provided care giving services that delayed the move into a care facility. A home can also be transferred to a sibling who shares equity in the home.
When a person is unable to qualify for Medicaid due to a high income or high-value assets, home equity can be an option to pay for long-term care. Visit this site to learn more about Cincinnati real estate and to find out where should i live in Cincinnati.