Help Transferring a Property - Estate Medicade

[Kevin Cobb]

Hello Bigger Pockets,

I have a dilemma regarding the transfer of a property from an elderly friend of the family to me. This lady is 90 years old and now lives in a nursing home. At present she still has assets and I paying the nursing homes expenses privately. She doesn't have any family (including children) and wishes to give the house to me free and clear. The problem is that soon she will be required to begin applying for Medicade to cover her monthly stay once she runs out of money. The house is an asset and typically needs to be liquidated. I was wondering if anyone has experienced anything like this before and if so what advice you could offer. Medicare has specific rules about property transfers with penalties etc. if violated. I wondered if using a land trust would work or just have her will it to me upon her death (along with the lien Medicade is sure to attach since she never sold it). I could probably still live in the home meanwhile. Any suggestions would be greatly appreciated.