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UpWoodsNorth Asked July 2015

Can part of assets from parents home be used as a loan to me to construct an accessory dwelling on my property for parents to live-in?

We are looking for a viable way to build my parents a dwelling on our property without penalty to them should they be in need of nursing home or in-home health care in the future. My parents are 81 years old. They own their home free and clear. We have acquired proper permitting. We live in MN. My parents are willing to pay for entire project, but doing so makes their expenses appear as a gift and ties their "estate" money into our property. Is there a way to utilize their money from their house to construct a small home for them on our land while avoiding a penalty from Medicaid should they need outside care within 5 years? Land is not dividable to sell.

freqflyer Jul 2015
My only suggestion would be to talk to an Elder Law attorney as this question is complex.

To find an Elder Law attorney in your area, go to the blue bar near the top of the page, click on MONEY & LEGAL.... now click on ELDER LAW.... in the box put your zip code. That is how I found my Elder Law attorney and was quite pleased with the results.

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