Mother is suing daughter or gift from father during divorce.

[andrew100]

just trying to get a feel for what is about to happen and what we should expect and do , are will be on the phone with lawyer first thing Tomorrow morning with the fathers divorce attorney that signed the papers for the deed being transferred into our names and see what he thinks we should do.

 

[justalayman]

it was taken over by the grandmothers kids prior to the nursing home, for reasons i'm not sure about. and there wasn't any money spent to acquire the property and really anything spent on it through the years he was parts owner.

there is a look back period to be concerned about. Can't remember for sure but I think it is 5 years. If the transfer was less than that time period, it is still within reach of Medicare.

 

[LdiJ]

just trying to get a feel for what is about to happen and what we should expect and do , are will be on the phone with lawyer first thing Tomorrow morning with the fathers divorce attorney that signed the papers for the deed being transferred into our names and see what he thinks we should do.

I disagree a little with the advice you have received so far.

It appears to me that the house belonged to your paternal grandmother, and that at some point (per your thread) she deeded it to both of her sons. Forgetting the medicaid spend down issue and assuming that she deeded it to them more than 5 years before going into a nursing home, it would be separate property, as gifts and inheritances are separate property.

Now, if your father used any marital funds to maintain or increase the value of the property, your mom could have a claim against some of the equity that accrued during the time between when your grandmother deeded it to your father and his brother, and the time of the divorce. However, due to the nature of home values in the last 4-5 years, not much equity may have accrued during that time frame. In addition, her only claim would be against 1/4 of the accrued equity.

However, your mother would never be entitled to be put on the actual deed. There is only a possible small probability that she is entitled to some equity payout. At the same time, the advice for your father to settle the divorce before gifting his share of the property to you is likely the best advice. The divorce should sort out what, if any equity buyout she is entitled to from the property.