Grandparents co-signed on a mortgage for me and are listed on both deed and mortgage note. If they go into a NH, how can I protect my home, that I've paid for since day 1 from being considered an asset of theirs?
To be clear, grandfather, grandmother, myself, and my wife are all listed on deed and mortgage, I'm afraid 5 yr look back will see this as an asset of my grands, and want me to pay out half the equity in home. Refinancing isnt really an option for us at this time.
These are the hidden realities that are faced when people help their families.
Hopefully there is some affidavit or something that can help protect your home, if not have you thought about how you will deal with it? I don't believe that your grandparents can "own" 2 houses, so one would have to be sold and the proceeds used for their care, would selling their house provide enough funds to get past the 5 year look back, if you could manage a refi at this time?
Talk to Medicaid, it's not like they don't already know about the house and I think that they are easier to deal with when it looks like everything is on the table and being discussed openly and honestly. They are always being hustled and I am sure they appreciate openness and truth.
You may be able to avoid Medicaid recovery _if_ you can provide absolute proof you have paid every single cent of the down payment, mortgage, taxes and upkeep since the original purchase. There is an appeal process and you may be able to win there. It appears your grandparents might be living with you. If you provide in home care for a period of time (usually 2 years) there's a Medicaid exemption to allow a care giver to receive the home free and clear. You need a doctor's statement your grandparents needed in home care that would have otherwise required LTC.
I strongly recommend you engage an elder law and/or property expert attorney ASAP and start getting your ducks in a row.
But, still won’t help. Medicaid has a 5 year look back. Like I wrote, if they get the mortgage holder to agree to this...AND if they can get past the 5 year look back...then Medicaid won’t see the asset suddenly removed from her parents possession.
medicaid will put a lean on the property to recover from the profit of the sale.
if you transfer the title into your own name only...there is still a 5 year look back, plus the mortgage holder is not likely to release anyone from the obligation to pay.
go talk to a lawyer specializing in elder care law.