Can Medicaid take my house?

Can medicaid take my house?

Medicaid is a government program in the United States that provides healthcare coverage for low-income individuals and families. It is jointly funded by federal and state governments, and each state operates its own Medicaid program within federal guidelines. Medicaid eligibility is based on income level and other criteria, and it covers a wide range of medical expenses for those who qualify.

One concern that arises for many Medicaid applicants, especially in Ohio, is the potential impact on their assets, including their home. Medicaid eligibility rules vary by state, but generally, Medicaid does not directly take away a person’s home while they are alive and living in it. However, Medicaid does consider the value of assets, including real estate, when determining eligibility.

When a Medicaid applicant owns a home, its value is considered a countable asset. In some cases, Medicaid may place a lien on the home if the individual applies for long-term care coverage, such as nursing home care, and they have no intention of returning home. This means that upon the individual’s death, Medicaid may seek to recover the costs it paid for their care from the proceeds of the home’s sale. This process is known as estate recovery.

To protect their home from potential Medicaid recovery, individuals may explore estate planning options such as transferring ownership of the home to a spouse, setting up certain types of trusts, or purchasing long-term care insurance. At McCalla Law, we specialize in elder law and Medicaid planning can provide personalized guidance on how to navigate these complexities while preserving assets, including the family home, to the greatest extent possible.