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Attyadvisor
Attyadvisor, Attorney
Category: Real Estate Law
Satisfied Customers: 6174
Experience:  28 years of experience in General Practice, Real Estate Law and Estate Law.
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i own two houseswith clear title,a third i took a 100,000 loan

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i own two houseswith clear title,a third i took a 100,000 loan to fix them as rentals,so i have three rentals.i live in a house that the wife has a 60,000 loan on.i cant change the ownership of the 100,000 loan house to form an llc. can a will or trust take care of the problem.im tryining to stop the nursing home from taking everything .i would like to leave everything to daughters or grand children. gerald brickner
Welcome and thank you for your question. I will be the professional that will be assisting you.

You can set up an irrevocable trust and place the property in the trust. Trusts are the vehicle used to protect your estate from nursing home charges and still qualify for Medicaid.

There is a look back period on setting up the trusts. Is a nursing home in the near future or are you just taking precautions for the future?
Customer: replied 3 years ago.

i am 66 and have been told you must live 5 years. is there something more

You are correct, the transfer into trust needs to be made 5 years in advance of applying for Medicaid. The assets that you transfer prior to the look-back period will be protected from collection by the nursing home. We actually refer to these as Medicaid Trusts. The key factor is that the trust needs to be irrevocable.

There are also tax advantages to these trusts. This is a link that provides a basic overview of the trust

http://www.ehow.com/info_8735882_wisconsin-irrevocable-trust-issue-rules.html



It would be my pleasure to answer any additional questions that you may have with regard to this matter.
Customer: replied 3 years ago.

i am not on medicade yet untill my wife retires. are you saying if im on medicade i can nolonger form a trust.im not sure i understand what we canform

If you were ever to apply for Medicaid, your assets would be used to determine eligibility, any properties that are contained in an irrevocable trust are not counted as your assets as long as they were placed into trust 5 years prior to application.

Aside from Medicaid, assets placed in an irrevocable trust (such as real property) can provide protection from creditors.

can a will or trust take care of the problem.im tryining to stop the nursing home from taking everything .i would like to leave everything to daughters or grand children. Yes, placing the property in an irrevocable trust can stop the nursing home from taking the property.

Attyadvisor and other Real Estate Law Specialists are ready to help you
Thank you very much!

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