The Listen to Lawrence Letter: Medicaid and Jointly Owned Real Estate

CLIENT QUESTION:

If I co-own a home with my adult child and their spouse in New York, but also own a home and have residency in another state, is the New York home at risk for Medicaid? I would be spending time in both homes throughout the year.

MY RESPONSE:

Yes, potentially.

For Medicaid purposes, you have to look at all of the real estate you own, not just the property you call your primary residence.

If your name is on the deed to the New York property, your ownership interest is an asset that must be considered. The fact that you own it jointly with your child and their spouse does not make your share disappear.

Your home can receive special treatment under the Medicaid rules if you or your spouse are living in it. But if you own more than one home, the other property does not automatically receive the same protection simply because you spend part of the year there.

The exact result will depend on where you are applying for Medicaid, how each property is titled, the value of your ownership interest, and who is living in each property.

So, joint ownership with your children is not, by itself, Medicaid protection.

I hope this helps.