Good to know first: you don't need to do any of this to ask us for a number, and a title company handles the closing paperwork. This page is here if you want the background.
What can the state reach?
More than people expect. "Estate" here is wider than what goes through probate.
- Counts real property held as a life tenant or as a joint tenant with survivorship.
- Also reaches assets passed by survivorship, living trust, or transfer-on-death deed.
- Covers nursing facility, home and community-based, and related hospital and drug costs for people 55 or older. Ask how interest works on an allowed claim that goes unpaid.
- The Department must file a claim against the estate for listed long-term care costs.
- Counts property that passes outside probate, including joint tenancy, life estate, and revocable trust.
Who is protected?
The two states write this differently. Don't merge them into one rule.
When a spouse, or a child under 21, blind, or permanently disabled survives, the statute still says a claim shall be filed against the estate. That isn't the same as collecting now. Federal law says recovery may be made only after the surviving spouse has died, and only when no child is under 21, blind, or disabled. So don't assume it's safe forever, and don't rush to sell out of fear. Have an attorney read how it applies to your family.
A sibling or a child who lived in the home and met the care rules has a different path: the claim is paid first from non-homestead property, with a lien on the house for the rest.
The claim isn't allowable while a spouse or a child under 21 or disabled survives. But if there is a home, the court assigns it subject to a lien for the Department. DHS says that lien doesn't have to be repaid while those survivors are alive.
A caretaker child's or sibling's lien can come due when that person dies or sells or transfers the home.
How would I know if there's a claim?
Start by finding out whether your parent ever got Medical Assistance, especially for long-term care. Their paperwork, the county, or whoever handled their affairs may know.
In Minnesota, the state can record a notice of potential claim before the person dies or within a year after, so the deed records may show it. A title search on the house should bring up anything recorded. We couldn't read the Minnesota agency's own page on how families check, so this is one to ask an attorney or the county.
In Wisconsin, a transfer-by-affidavit has to answer this question in writing. If a house moves by affidavit, DHS may file a lien that is paid when the house is sold. The state's estate recovery handbook lists Member Services at 800-362-3002.
Is there a hardship waiver?
Each state has one, and it is worth asking about.
- Minnesota: anyone entitled to notice of the claim can apply for an undue-hardship waiver. If it is approved and a co-owner other than the spouse lived there at least 180 days before the death, recovery on their homestead waits until they move out, sell, or transfer it, so selling can trigger it.
- Wisconsin: an heir, beneficiary, or co-owner can apply for a hardship waiver on their portion, for listed reasons.
What this means for a sale
A claim or lien doesn't by itself mean you can't sell. It means money may have to be paid out of the sale, and that the net to the family may be far less than the price. If a claim could be bigger than the house is worth, stop and talk to an attorney before you take an offer from anyone, including us.
Sources for this page
Pages we read on 2026-11-05. Laws change, so check the current version or ask an attorney.
- Minn. Stat. 256B.15 subd. 1a
- Minn. Stat. 256B.15 subd. 2
- Wis. Stat. 49.496(3)(a)
- Wis. Stat. 49.496(1)(cm)
- Minn. Stat. 256B.15 subd. 3
- 42 U.S.C. 1396p(b)(2)
- Minn. Stat. 256B.15 subd. 4
- Wis. Stat. 49.496(3)(b)
- Wis. Stat. 49.496(3)(c)
- Wisconsin Estate Recovery Program Handbook (P-13032, 10/2026)
- Minn. Stat. 256B.15 subd. 1c
- Wis. Stat. 867.03(1g)(c)
- Minn. Stat. 256B.15 subd. 5