I did not read all posts in this thread, but this is what we did with my parents.
When it became obvious that they could not live in their home anymore, they moved into an assisted living home.
Before they moved, we asked them to go through their stuff and if there was something that they wanted someone to have, to either put their name on it, or give it to them. After that, each of us (we are 6 in my family) went and took what we wanted of their stuff. There were a few items that more than one of us wanted, but we were able to work it out without any issues.
Once they had moved out of their home, we had someone come in and do an estate sale. They kept about half of the proceeds and we got about half. Our share was about $3500 if I recall.
There were a few items left that did not sell, and I gave that to a local church for their garage sale.
After the house was cleaned out, we put it up for sale. It sold for about $225,000 and that money has been put into an LLC that we formed and that money is to be used for their care if needed.
Dad passed away last August, and mom is still in the assisted living home. The proceeds from the house are now being used for sitters to stay with her, since her dementia is getting worse. Her current income is about $3500 per month with dads pension, social security, and long term insurance. Her expenses are about $10.000 per month for the home, sitters, medications, etc. so that money is getting used up.
Luckily my dad put things in place for their care. I need to get that done for me and my wife, and all of you need to do it for your loved ones too.