Legal Question in Real Estate Law in California

Hello,

My husband and I are on my neightbors home loan and deed (4.5 yrs now). She is on Social Security and Medi-Cal. She is now going into a long term care center and will not be able to pay the mortgage, due to Medi-Cal taking her check. Medi-Cal is stating we must sell the home. Is this true? and What are our options???


Asked on 11/30/12, 3:47 pm

1 Answer from Attorneys

Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Medi-Cal can require patients to dispose of real property assets as a condition of payment for care at a long-term facility. In the case of co-owned property, normally Medi-Cal could oblige only the actual beneficiary's interest to be sold, not the co-owner's interest, which is often impractical for market reasons. However, Medi-Cal's attorneys and financial people are likely to investigate the circumstances behind any co-ownership of property for any hint that the co-owner's interest was acquired or arranged to defeat Medi-Cal's claims. If there is any hint that the co-ownership is part of a scheme to shield the property from Medi-Cal's tentacles, it may try to challenge the co-ownership as a fraud under the Uniform Fraudulent Transfer Act, Civil Code sections 3439 - 3439.12, or some similar law. If the co-owners paid fair market value for their interest in the property, however, I don't see how they can be forced to sell that interest.

Read more
Answered on 12/03/12, 10:55 am


Related Questions & Answers

More Real Estate and Real Property questions and answers in California