ARSD 67:46:05:15. Home property exclusion

An individual's home property is excluded from assets if the individual's eligibility for long-term care assistance is based on an application that was received by the department before January 1, 2006, and so long as the property continues to be the individual's principal place of residence or continues to be occupied by and is the primary residence of the individual's spouse, child, stepchild, grandchild, parent, stepparent, grandparent, aunt, uncle, niece, nephew, brother, sister, stepbrother, stepsister, half-brother, half-sister, cousin, or in-law, who is dependent on the individual. The value of the individual's ownership interest in a jointly owned home is excluded from assets for as long as a sale of the property would cause undue hardship to a co-owner, due to loss of housing. To show an undue hardship, the individual must provide clear and convincing evidence that the co-owner uses the property as the co-owner's principal place of residence, would have to move if the property were sold, and has no other readily available housing. If an individual's eligibility for long-term care assistance is based on an application that was received by the department after December 31, 2023, the individual's home property interest, up to an equity value of seven hundred fifty-two thousand dollars, is excluded from the individual's assets if it continues to be the individual's principal place of residence. If the equity interest in the home is greater than the amount specified, the individual is ineligible for long-term care medical assistance, regardless of whether the individual is anticipated to return to the home to live. The equity limit contained in this section does not apply if the individual's spouse, or child who is under age twenty-one, is blind or permanently and totally disabled and is lawfully residing in the home. Nothing in this rule prevents the individual from using a reverse mortgage or home equity loan to reduce the total equity interest in the home.