Maximum Home Equity Threshold Announced

Situation Report | August 2, 2021

The New York City Human Resources Administration has posted an alert on New York State’s increase in the maximum allowable Home Equity threshold value.

As of January 2021, the new Home Equity value limit was increased from its 2020 level of $893,000 to $906,000.

The Home Equity value is calculated by subtracting all legal encumbrances (such as liens, mortgages etc.) from the fair-market value of the home.

Generally, individuals are not eligible for the following Medicaid services if the equity interest in their homes exceeds the home equity limit (after legal encumbrances have been subtracted):

  • Nursing Facility.
  • Community-based Long-Term Care (LTC).
  • An increase in coverage for LTC.

Consumers whose equity interest in their home exceeds $906,000 will be evaluated for Community Coverage without LTC.

The home equity limit does not apply if one or more of the following individuals lawfully resides in the home: spouse, minor child under 21, or a certified blind or disabled child of any age. The limit also does not apply to individuals who were in receipt of LTC services before January 1, 2006 and have not experienced a break in eligibility for such services thereafter.

This provision is not to be applied if it creates an “undue hardship” that would deprive the consumer of:  medical care such that the individual’s health or life would be endangered; or food, clothing, shelter or other necessities of life, and there is a legal impediment that prevents him or her from being able to access his or her equity interest in the property.

More information is at