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confusedson · Apr 27, 2009, 04:32 PM

I live in NC. My mother has lived in a nursing home for almost 4 years now. We have been keeping up the payments but had to stop in Jan of this year. Her only income is SS and has to be given to the NH as a liability for medicade. The land was not used as collateral, but it is in hers and my name with a life estate. The Mobile home was recently sold for 7,000, she owed 26,000. So there is a deficientcy of 19,000. I was under the impression that they would put a lien on the land. Now I am concerned about me. I was told that they could come after me and garnish my wages. We are a family of three living on a two person income, we get by, but if these people come after me, we could default on our lease, loose our cars, I am confused, can't afford a lawyer, have no clue what to do next. We along with other relatives stayed in the mobile home on and off, thinking and hoping mom would get better. We have gotten passed that, and with 2 of my sisters losing their jobs, we couldn't keep the thing. Does anybody know if they will come after me? Will I loose the land, we thought the Life estate protected it from that somewhat. Thanks for any response.

ScottGem · Apr 27, 2009, 04:45 PM

A Life Estate occurs when the owner sells the property to someone, usually a relative, but retains the right to live on the property for the balance of their life. So if the land is now solely in your name and the mobile home was solely in mom's name then the land should be safe. You are not responsible for any debt solely in mom's name.

Fr_Chuck · Apr 27, 2009, 05:05 PM

Unless you co-signed for the mobile home or unless you are listed on lien on the mobile home, the land has nothing to do with it.

After they sue your mom and get a judgement, they may put a lien on the land she owns ( if the land is really in her name)

confusedson · Apr 27, 2009, 05:44 PM

Both of our names are on the land. She is listed first with (LE) next to it for the life estate. My name is second. The mobile home was purchased by her, with a down payment and no collateral. I have gotten my mail there and have lived there on and off. They have no information of mine other than asking for directions so they could see it. The life estate portion goes to me when she dies, it was originally set up to prevent a medicaid lien, because she made 12 dollars more than the poverty limit for assistance.

confusedson · Apr 27, 2009, 05:48 PM

To clarify, she had the option of getting no assistance or going to a nursing home. A cancer removal surgery left a football sized crater in her, so the choice was obvious. I was unaware of the terms of her purchase, or I may have been able to keep her from from getting into the contract 7 years earlier. She is the only one listed on the loan agreement, I wasn't even used as a contact.