May 21, 2015 - 07:34 PM
There is not clear answer without more information. And even with that info I would still suggest you see and estate planning or elder law attorney regarding the best way to handle this. There are implications for taxes and even later on her eligibilty at some point for Medicaid (to consider how you handle the proceeds from a home sale).
The key factors are the home worth and what is the equity. Also your mother's other sources of income vs. medical expenses. Finally potential eligibility for VA benefits aid & attendance benefit (if she or her spouse served during & after certain wartime periods, not just combat). It's complicated you have a lot of homework ahead but seek out a pro. Many assisted living facilities have attorneys or can refer you to a good one to help you navigate this.
In our case I purchased my mother's home and she gifted me a portion of the equity to cover the down payment. This is a rental propety now which produces a monthly income stream to support a a good portion of her needs. We also applied and it took a while but now she gets VA benefits that covers medical and aide. Depending on your state you may be eligible for other aid.