Where to go for nursing?

Can someone gift a house to their children in Minnesota and is there a time period where a nursing home could go back and take the house for payment?

• Answer:

  In Medicaid, any change in the way an asset is held is a "transfer" of assets. The nursing home resident may transfer approximately $100,000 to the spouse living in the community without penalty. Otherwise, in general, if the State determines that the applicant or recipient did not receive "fair market value" for the transfer, it will likely decline to pay nursing home costs for the time that the transferred assets would have paid for that care - i.e., gift was made in May, gift = $10,000, private pay rate = $2,500; patient is ineligible for payment for nursing home care for four months, May, June, July and August. Other medical assistance can be approved if the person is otherwise eligible.) It seems unlikely that the nursing home would be interested in the house. If the person is not going to return to the community, the State will expect the house to be sold and the net proceeds used to pay for medical care and other necessities.