Selling parents home / life estate

[bostondan2000]

What is the name of your state? Massachusetts

4 years ago my mother set up a life estate. I have power of attorney and my mother sold the house to me for $1.00. She has now entered a nursing home. Is medicaid entitled to any money if the house is sold? What are the
tax ramifications for the sale of the home if I sell it? thank you, Dan

 

[seniorjudge]

What is the name of your state? Massachusetts

4 years ago my mother set up a life estate. I have power of attorney and my mother sold the house to me for $1.00. She has now entered a nursing home. Is medicaid entitled to any money if the house is sold? What are the
tax ramifications for the sale of the home if I sell it? thank you, Dan

Are you saying that mom has a life estate in the land and you get it when she passes?

In other words, the deed now reads something like, "To Mom for her life, and then when she goes, to Don"?

Is that what you mean?

 

[HomeGuru]

Are you saying that mom has a life estate in the land and you get it when she passes?

In other words, the deed now reads something like, "To Mom for her life, and then when she goes, to Don"?

Is that what you mean?

**A: who is Don?

 

[seniorjudge]

**A: who is Don?

Dan's brother.

 

[bostondan2000]

My mother and I went to an attorney 4 years ago. She appointed me
as her power of attorney because of her failing health. She had the attorney set up a life estate with my name on the deed and sold it to me for $1.00. I know there is a 3 year waiting period or (look back period) for medicaid.
She just entered the nursing home yesterday. The house must be sold for
financial reasons. My question is: Because the house is in a life estate,
does she retain a certain percentage of the house if it is sold and does that money go to Medicaid? if not what are the tax ramifications to me if I sell it?

thanks