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Paying for Nursing Home
Posted: Sat Sep 12, 2009 10:44 pm
wondering if anyone can help with this problem. Hubby and I are soon going to move house from a home we own jointly and I am wondering if I should be the sole owner of the new home just in case hubby has to go into a nursing home in the future. I understand that if he has capital (which includes property) over Ã‚Â£23k he would have to pay for his care, but I also understand they could not force a sale of the property as long as I live there. That being the case how do they think I could pay for the care or does the bill mount up til I fall off my perch!
A charge is placed on
Posted: Sun Sep 13, 2009 4:39 am
A charge is placed on the property so that when it is sold - after you vacate the property for whatever reason - they can claim back the costs.
Of course, the problem with putting the property in one name or the other can backfire: what if something happens to you first and you need to go into a home? Best to get legal advice on this.
Definitely get legal advice, it
Posted: Sun Sep 13, 2009 7:09 am
Definitely get legal advice, it is not unheard of for LAs to take legal action against clients who they believe have arranged their finances in a manner intended to avoid care home costs.
There is something called an
Posted: Sun Sep 13, 2009 8:21 am
There is something called an Immediate Needs Annuity; whereby you can pay over a (large) sum of money in return for a guaranteed monthly amount to pay care home fees.
Currently there are only 2 insurance companies offering this annuity; you can't buy it direct but have to go via a financial advisor because it is fairly complicated. There was a small piece in last Sunday's (6th Sept) Mail on Sunday, I've looked but can't find it on the MOS website.
As an example the article quoted the case of an elderly lady (90ish) who paid Ã‚Â£92,000 and receives Ã‚Â£2500 per month toward her care home fees. Like all annuities, payments vary according to life expectancy.For an additional fee or lower income there is also a way to 'return' the capital invested if the annuity receiver dies within a specified time of setting up the annuity and thereby protecting any 'inheritance'.
When the decision is taken for my Mother to go into a Care Home we will be investigating this route further - using the sale of her flat to fund the annuity.
Change from "joint"ownership to "tenants
Posted: Sun Sep 13, 2009 8:12 pm
Change from "joint"ownership to "tenants in common", you would still own 50% of the house and the council won't be able to "claim their pound of flesh" to pay for care, should it be needed. This is the advise I was given a few months when I had a new will written by my solicitor.
Many thanks to you all
Posted: Sun Sep 13, 2009 9:11 pm
Many thanks to you all for your help and advice. I have decided to go for the Tenacy in Common option. I am hoping that we never need the nursing home of course and It really would be a last resort.