If a nursing home patient owes welfare recovery and a vehicle worth $5000 is sold does that money need reported to Medicaid?

A car is not "real property", it is "personal property". Real property refers to lend and things attached to it like a house. A mobile home is personal property unless it becomes real property by becoming attached to the land....just sitting on the wheels won't change it. Cars are usually recorded in state records, not county records. Either way you would need to report the sale of the asset. Before you sell anything worth thousands, that is apparently otherwise exempt, get at least a free consultation with an elder care attorney. See if there is a way to preserve that money for her use, such as buying a funeral/burial policy. That way the entire value of the car proceeds wouldn't end up going for her everyday care.

Please don't try to withhold reporting this.

Cars are considered "real property" and they (like land & homes) all have ownership recorded on the local level by the tax assessor, who in turn dovetails their documents to the state. When you transfer the title all this gets done & the sale recorded to the penny.

Also I don't know if other states do this, but for my moms NH Medicaid, she (I get this as I am her contact) gets an annual renewal for Medicaid. Within it I have to once again state all her assets with documentation and IF anything was sold or transferred indicate when & the amount. & I have to sign it with a penalty clearly indicated for both my mom & myself as the signer if I omit items.

My suggestion is set aside all the proceeds from the sale in moms bank account & contact your moms Medicaid caseworker as to how your state deals with excess assets.

Yes. All changes in financial status need to be reported.

YES it does