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My father, who is on Medicare/Medicaid and Social Security, will be entering an end of life skilled nursing facility tomorrow. He has no wealth or savings, but does have a home with only 30,000 or so left on the mortgage that could be sold for a modest profit. I've gotten mixed messages about whether or not to expect insurance to demand the house sold to pay for medical debt. I plan to call Medicare to get some official advise, but I would love to hear anyone's experiences on what to expect.


My father fought long and hard to stay home so that he could leave the profit from the house to me as he has nothing else of value to inherit. At the end of the day, I don't mind not getting a cent from it, if it means he finishes his life in a safe and secure way. I've been told they typically give you six months to sell. The house needs major cosmetic work to be truly attractive to the market, but could likely be sold to a fix and flipper in the area relatively easily. What would happen if he were to pass before the six months is over? Is it a guarantee that they will require it sold to pay medical expenses?


Any experience or advise is appreciated.

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Medicaid and Medicare are definitely two different things. That's your first step - clear up what Medicare can and cannot do vs. Medicaid. I also believe there are differences between the states, so be alert to that.

Next, I'm assuming the house is in your dad's name? If it is, then Medicaid will be watching it closely because it's an asset of your father's and they may have a claim on it depending on how much Medicaid pays out for your dad's care.

You mention that he has no wealth. But, if you apply for Medicaid, they will want to know about everything: vehicles, cash value of life insurance (even small policies), small savings balances, etc. I'd also highly recommend checking into pre-paying his funeral, headstone, etc.
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Here are a couple of links to Nebraska Medicaid Eligibility and Estate Recovery that you might find helpful.


http://dhhs.ne.gov/Pages/Medicaid-Eligibility.aspx


http://dhhs.ne.gov/Pages/Medicaid-Estate-Recovery.aspx
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Houses are not included in the assets for Medicaid. He can still own it but none of his income can go for utilities, taxes, mortgage or upkeep. You could sell but Medicaid wants it sold at Market Value. Mortgage will be paid off, proceeds will go towards his care. Which means Medicaid stops until the money is spent down.

You really need to talk to ur Dads Medicaid caseworker. Medicare has nothing to do with ur Dads care other than being his main health insurance.
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ikgbrd, to clarify: your father applied for Medicaid and has qualified? If so, I believe Medicaid puts a lien on the house. But the laws differ from state to state so you should really contact the Dept of Health and Human Services in the county where your father lives with your Medicaid questions.
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JoAnn29 Apr 2020
Leans are not put on the house until death.
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