Can we rent Mom's house while she's in a nursing home without it affecting her Medicaid?

5 answers | Last updated: Oct 19, 2016
Neiseo99 asked...

Is it possible to rent out my mother's home, if she is in a nursing home, receiving Medicaid?

Expert Answers

Steve Weisman hosts the nationally syndicated radio show A Touch of Grey, heard on more than 50 stations, including WABC in New York City and KRLA in Los Angeles. He is a practicing lawyer specializing in estate planning and is admitted to practice before the United States Supreme Court. He's a public speaker and commentator who has appeared on many radio and television shows throughout the country, and he's the legal editor of Talkers magazine, the preeminent trade publication of talk radio. His latest book is The Truth About Avoiding Scams.

Your mother's home can be rented without jeopardizing her Medicaid eligibility, however the net rent will need to be applied toward her nursing home costs and will increase her Patient Pay Amount. Expenses incurred as a part of renting the property including management fees may be deducted from the gross rents to arrive at the amount that will need to be applied toward her care.

Community Answers

Geri hall answered...

Medicaid varies slightly fron state to state. While I agree with Steven, I would make sure to contact the Medicaid administrator for your state -- often the Dept of Human Services, but not always -- and learn the particulars.

Geri Hall, PhD, ARNP, GCNS, FAAN Clinical Nurse Specialist Banner Alzheimer's Institute

Leggslady answered...

My father is in a nursing home with vascular dementia. Been there over a year now. The girlfriend who was allowed to live there rent free moved away in January with no notification. I now have to clean the place up and it is an hour and a half away. My summer is going fast with all these weekend trips. Can I sell the house and personal property? My father has Medicaid, Medicare, and supplemental policy all paid from Social Security. He has no money. I have no Power of Attorney and my brothers are not helping. What can I do?

Joebush answered... need to contact HHS, most of the time the property in side are yours....and the Gov will take most of the money you get from the sale of the house,,, do you have any relatives that can live in careful....know your legal ground... if you wait to long to get the personal property, in some states they will take everything....Montana gave us two weeks to clear everything out of the house, and this was when she was admitted to a nursing home. we Live in Colorado, and her son lives in Montana, it was a hectic two weeks, and they ere not nice about it, they said e had 3 months to sell it or they would put her out of the nursing home, (she sundowned, and the police got involved, and told us, if she went home and anything happened to her, we could go to jail) the SS as nasty...but hat they said is a lie....they can't kick her out, we sold the home....they took all but $1, is not fun.....if SS don't know she owns her home, I think someone, a relative, can live in it....better check though, I am usually wrong

A fellow caregiver answered...

In Florida, you can keep the house and rent it out, but you need to see a lawyer and set up a trust to do so. The trust is easy enough, but there is a lot of oversight from Medicaid that requires a good bit of paperwork every few months. It's a pain, but doable.

If you sell the house, the patient is no longer eligible for medicaid. Then you spent all the money from the house on their nursing home fees until the patient is poor enough to qualify for medicaid again.