Selling a house for someone who is in care can be a complex process, often intertwined with legal and financial considerations. Understanding the nuances of this situation is crucial for making informed decisions, ensuring that the best interests of the individual are prioritised.
Table of Contents
Selling a House for Someone in Care
These are some key considerations:
- Legal Authority: If the person in care lacks the capacity to make decisions, a deputy may need to be appointed by the Court of Protection (COP) to manage their affairs, including selling property. This requires evidence of incapacity and confirmation that selling the property is in their best interests, which can sometimes be a lengthy legal process.
- Financial Assessments: When a person enters a care home, their financial situation is assessed to determine how much they should contribute towards care fees. If their capital exceeds £23,250, they are usually expected to pay the full cost of care, which can significantly impact their financial planning.
- Property Inclusion: The value of the home may be included in the financial assessment if the individual moves permanently into a care home. However, there are exceptions, such as if a spouse or a dependent still resides in the property, which can provide some financial relief during the transition.
Alternatives to Selling
These are some of alternatives to selling a home:
- Deferred Payment Agreements (DPA): This allows the local authority to pay care fees, which are then repaid when the property is eventually sold. This can be a beneficial option for those who wish to retain ownership of their home while managing care costs.
- Renting Out the Property: Generating rental income can help cover care costs without selling the home, though this involves responsibilities as a landlord, including maintenance and tenant management, which may not be feasible for everyone.
This table summarises key situations where the home may not be considered in the financial assessment, providing clarity on potential options for families:
| Situation | Home Exclusion Criteria |
|---|---|
| Short-term care | Home not included in financial assessment |
| Permanent care with a resident | Spouse, partner, or dependent child remains in the home |
| Resident carer | A carer who has given up their own home to care for the person |
Useful Tips
- Seek Legal Advice: It’s important to consult with a solicitor to navigate the complexities of selling a house for someone in care. Professional guidance can help avoid pitfalls and ensure compliance with legal requirements.
- Understand the 12-Week Property Disregard: For the first 12 weeks in a care home, the property is not included in the financial assessment, providing time to explore options. This period can be crucial for making informed decisions without immediate pressure.
- Check Benefits: Selling a property or entering into financial agreements can affect eligibility for certain benefits, so it’s wise to review these implications. Understanding how these changes impact finances can help in planning for the future.
Do I have to sell my home to pay for care?
Not necessarily. Alternatives like deferred payment agreements or renting out the property can be considered, depending on individual circumstances, allowing for flexibility in managing care costs.
What happens if I own my property with someone else?
Only your share of the property is considered in the financial assessment, and the council must calculate its value based on market conditions, ensuring that joint ownership is taken into account during the assessment.
Selling house to pay for care home fees?
If you’re considering how to manage your assets while planning for potential care needs, it’s worth exploring your options carefully. While seeking professional advice can be helpful, it’s important to be aware that the costs can add up quickly – often running into thousands of pounds – with no guarantee that complex arrangements like trusts will be accepted by the council.
One straightforward option to consider is selling your home to cover care home fees. At Property Saviour, we understand this can be a sensitive situation and aim to make the process as smooth as possible. We can offer a fair cash price for your property and complete the sale on whatever timeline works for you, whether that’s a couple of weeks or several months.
To help ease the transition, we’re able to provide a cash advance to secure a care home place if needed. There are no hidden fees involved, and we’ll contribute £1,500 towards your legal costs.If you’d like to have a confidential chat about your situation and explore whether selling could be the right choice for you, just fill out our enquiry form and we’ll give you a call back. We’re here to listen and provide options, with no pressure or obligation.
Property Saviour Price Promise
- The price we’ll offer is the price that you will receive with no hidden deductions.
- Be careful with ‘cash buyers’ who require a valuation needed for a mortgage or bridging loan.
- These valuations or surveys result in delays and price reductions later on.
- We are cash buyers. There are no surveys.
- We always provide proof of funds with every formal offer issued.
We'll Pay £1,500 Towards Your Legal Fees
- No long exclusivity agreement to sign because we are the buyers.
- You are welcome to use your own solicitor.
- If you don’t have one, we can ask our solicitors for recommendations.
- We share our solicitor’s details and issue a Memorandum of Sale.
Sell With Certainty & Speed
- Our approach is transparent and ethical, which is why sellers trust us.
- 100% Discretion guaranteed.
- If you have another buyer, you can put us in a contracts race to see who completes first.
- Complete in 10 days or at a timescale that works for you. You are in control.
