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We are wanting to rent it. She has Medicare but qualifies for Medicaid. Low income. Also has Rheumatoid arthritis and limited mobility and mental decline.

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You cannot rent a property and collect the money while Medicaid pays for the owner of the property to be in a nursing home. It doesn't work like that.
If your name has been on the deed for five years or more Medicaid will not take your half of the value of the property. They will take your mother's half.
You will have to either get a mortgage and pay market-value for your mother's half ownership to Medicaid, or sell the place. The nursing home will insist the house at least be listed.
Medicaid rules for homecare differ from the ones for nursing home care.
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No Medicaid will not take the home. It is considered an exempt asset. The problem is if SS and a pension is the only income Mom has, it needs to go towards her care if on Medicaid. So there will be no money to pay for bills and taxes on the house. Even though the house is exempt they have a lot to say about what happens to it. Renting it without their knowledge is a no no. Not that it can't be rented but you must get what Medicaid requires and that depends on HUD criteria. The only people allowed to stay in the house is the Community Spouse, a disabled child or a family member who had been a Caregiver for 2 years or the person had resides there for years. The last 3 may need to prove they can afford to pay bills and taxes.
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BurntCaregiver Sep 2021
JoAnn29,

They will take her half of the value of the home. Onlychild01mom will get to keep her half of the value of the home if her name has been on the deed for five years or longer for the look-back period.
Medicaid for caregiving services at home has different rules then if Medicaid is being used for a nursing home.
If it's for homecare, they will pay for it. When the person passes away Medicaid recaps what they paid out if an estate is probated.
If the person goes into a nursing home, the home has to be listed for sale and the person's assets have to be spent down paying the nursing home until they're left with I believe $1,600. If a spouse lives in the home, Medicaid lets them stay. after their death they recap as much as they can for what they paid out. They take the spouses half of everything.
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if the house is rented it may raise her income to a point where she would not be eligible for medicaid.
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Who actually holds title to the property?  You state that you're "on the deed" and that your mother owns the home.   That suggests that you don't have vested ownership, but are named as successor.  Is this correct?

If so, a question would be raised whether or not you have interest at this point that would support the actions of selling the home, unless you are also proxy under a DPOA.   I.e., you may not have authority to rent the home. 

You also mention "we" want to rent; who is the other person and what is her/his interest?  If there's no legal authority, this person can't be a part of any rental arrangement or agreement.

These are issues that should be addressed before renting the home.  I have no experience with Medicaid, so I won't address that issue.

Something of which to be cognizant is that rental income, if your mother is sole owner, would affect her income level.
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Time to lawyer up. You have too many balls in the air to navigate this on your own.

A lawyer who specializes in real estate may be your best bet.
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