When you need to turn to Medicaid for assistance in paying the costs of
your long-term care, one of the things that you need to do is to divide
your assets into Medicaid countable assets and Medicaid non-countable
assets. The amount of your countable assets cannot exceed $2,000. When
it comes to real estate, some real estate assets are countable assets
and some are non-countable assets.
One type of potentially non-countable real estate asset is your homestead
real estate. On the other hand, real estate that you own in your own name
that is not your homestead can be potentially countable. However, this
countable non-homestead real estate could become non-countable for Medicaid
purposes if it is rental real estate. Rental real estate can be non-countable
if it is producing an appropriate amount of rental income.
Non-homestead real estate that you hold in your own name can also be converted
from countable real estate to non-countable real estate if it is put up
for sale for an appropriate sales price.
Finally, if you own real estate with a joint owner who refuses to sell
the real estate, that real estate can potentially be classified as non-countable
real estate. This jointly owned real estate can be non-countable because
the refusal by a joint owner to sell means that the real estate cannot
be converted into cash that can be used to pay your long-term care bills.
These are just a few examples of the many rules that come into play when
classifying real estate as a countable or non-countable asset for Medicaid