Her husband is already in a facility. Medicaid plus $350 monthly covers his cost. Can she enter the home while house is in foreclosure? If it is forclosed, will she qualify for medicaid? When her husband dies, will the state try to recover their cost prior to the foreclosure?

Does she own the house with her husband? If she is a joint owner, then until the foreclosure process is over, she can access the house. Once she is no longer an owner she may qualify.

Also just merely owning a home does not mean you can't get medicaid, the amount of equity in the home makes the big difference.

The nursing home will ( or should) have a person or department that handles medicaid and other money aid.