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There is a lot to think about. Freqflyer makes a lot of valid points. If you can talk to your sister about your concerns. Tell your sister you love them both but are concerned about your dad's care living in a house in the country. It won't be easy for you sister.
it's not unusual for a grown child to want to combine households with a parent, it makes it easier being under one roof. But one doesn't think about the future, when Dad may need to go into Memory Care, would Dad be able to pay for his care from his retirement funds, or would the funds be all tied up in the new house?
If for some reason Dad needs to use Medicaid [which is different from Medicare] it would become really complex, as Medicaid looks back 5 years to the paper trail of Dad's finances. Thus, if Dad put a large down payment on the house, then Medicaid would put a lien on that amount.
Once Dad passes, then Medicaid would want that money. Thus your sister would need to refinance the house to pay back Medicaid or sell the house. It's something for her to keep back in her mind if she and Dad does decided to move ahead with buying a house together.
Does your sister already live in the country or is she in the suburbs or inside the city? Another thing to think about, even as wonderful as it sounds to move to the peace and quiet of the country, how quickly could 911 get to the house if something happens to Dad, and it will. How far away would Dad's regular doctor be located? Grocery shopping wouldn't be just around the corner, so sister would either have to take Dad, or get a caregiver to help out at home when she wants to run errands.
So much to think about. It's never easy when one gets older.
Do you think she does not have his best interests at heart? Did you contest the guardianship?