Medical Assistance for People Who Are Age 65 or Older and People Who Are Blind or Have a Disability

2.3.3.2.7.4.1 Homestead Real Property

A homestead is any property in which a person or a person’s spouse has an ownership interest and which serves as the person’s principal place of residence. It includes the surrounding land and buildings on that land, provided the land is not separated by any property owned by others. It may be fixed or mobile and located on land or water.

This section provides policy detail regarding homestead real property.

Homestead Real Property Exclusion

The homestead includes a home owned and occupied by a person, a person’s spouse, or a person’s disabled or dependent child, regardless of its value. The following factors must both be met for a person to have the homestead excluded:

The person has an ownership interest in the homestead.
The person, or dependent relative, resides in the homestead and considers it his or her principal home.

The home continues to be excluded if the person is not currently residing in the home, but intends to return to it. An excluded homestead does not need to be verified.

Homestead Real Property Exclusion for Long-Term Care

For people who reside in a Long-Term Care Facility (LTCF), the homestead can be excluded from the asset limit using the method that will extend the exclusion over the longest period of time:

The homestead can be excluded from the asset limit for the first six full calendar months the person resides in the LTCF if the person is expected to remain in the LTCF permanently.
- The homestead exclusion is not applied when a person requests Medical Assistance for Long-Term Care Services (MA-LTC) after residing in a LTCF for six full calendar months or more. The property is evaluated as non-homestead real property.
The homestead can be excluded for as long as the LTCF resident intends to return home and can reasonably be expected to return home if one of the following occurs:
- The person provides a written statement of the his or her intent to return home
- The LTCF resident can reasonably be expected to return home:
  - A doctor’s statement can indicate when the person can reasonably be expected to return home if the person’s stated intent contradicts his or her health or condition or the information about the anticipated length of stay on the Physician's Certification Statement (DHS-1503).
  - MA or other sources will meet the cost of care if the person will require services upon returning home. Eligibility for MA or coverage of the services through Medicare or other private health insurance is acceptable verification.
The homestead is excluded for as long as it is the residence of one or more of the following relatives of the LTCF resident:
- Spouse
- Child under age 21
- Child of any age with a certified disability
- Sibling
  - This exclusion is applied if the sibling lived in the home for at least one year immediately before the date of the person’s admission to the LTCF and the sibling has an equity interest in the home.
- Child or grandchild of any age
  - This exclusion is applied if the child or grandchild meets both of the following:
    - Lived in the home for at least two years immediately before the date of the person’s admission to the LTCF
    - The child or grandchild provided verifiable care that allowed the person to remain at home rather than enter an LTCF. A physician's statement that verifies the care provided by the child or grandchild allowed the person to remain at home is required.

If the property does not meet any of the criteria, the home is reviewed as MA for People Who Are Age 65 or Older and People Who Are Blind or Have a Disability (MA-ABD) Non-Homestead Real Property.

Legal Citations

Minnesota Statutes, section 256B.056, subdivision 1a

Minnesota Statutes, section 256B.056, subdivision 2