Thank you for getting in touch. We are very sorry to learn of your recent loss. Please be aware we cannot give legal or financial or advice, but we can give you a few pointers. For example, some people choose to rent out their property while the DPA is in place, to contribute to their care fees, reducing the deferred amount. We aren’t able to offer financial advice and you may wish to seek independent financial advice to discuss the options available to your mum. Age UK’s guide to Paying for Permanent Residential Care would also be worth reading: https://www.ageuk.org.uk/globalassets/age-uk/documents/factsheets/fs10_… So the big problem comes when a widow or widower needs long term care as they are forced to sell their home to pay for it. There is of course the same problem if a husband and wife both require care.

However, while the local authority isn’t allowed to defer more than this amount, this doesn’t prevent them from recovering the full debt when the property is later sold, so unfortunately you aren’t guaranteed to be left with a certain amount from the sale of the property. For example, interest to the local authority may still accrue even when the maximum deferral amount has been reached. Here main home should be subject to a mandatory disregard if there is a close relative over 60 who is remaining living there or a close relative who is incapacitated. This would mean that it wouldn’t be included in the financial assessment. That sounds incredibly uncomfortable, and I would definitely be upset if my partner’s family expected me to do that,” said one. Do I need to fit winter tyres to my car now it is getting colder? And what are the differences and benefits to summer tyres and all-season tyres?

Where there is no declaration of trust the position can be very unclear as to who owns what once it comes to selling the house. She is self funding. The savings she has will run out in over a years time, at which point her property would have been sold to pay for her continued care. For more information please see Annex E: Deprivation of assets of the Care and Support Statutory Guidance: https://www.gov.uk/government/publications/care-act-statutory-guidance/… While Fred and Hilda are both alive they decide to give their house to their children, but they do it in such a way that the house is held in trust for the children. This means the children have no right to the home until both parents have died. It also avoids any issues with Capital Gains Tax and ensures that Fred and Wilma could sell the house and move to a different one if they chose. Even if one of the children got divorced or died, the assets are protected because they don’t belong to the children. Please call our Dementia Connect support line on 0333 150 3456 if you and your mum would like further dementia information, advice and support. Our advisers are available seven days a week: https://www.alzheimers.org.uk/dementia-connect-support-line

If he does not, you can serve him with a notice telling him that you are severing the tenancy unilaterally. This would need to be registered at the land registry, and you should seek advice on how to do this, from ourselves or others. a) at any time by the person by repaying the outstanding care costs (including any outstanding interest and administrative costs) due in full (this can happen during a person’s lifetime or when the agreement is terminated through the agreement holder’s death); This would mean that the local authority would pay the care charges that she owes and she would repay the debt once her property is later sold, including interest and some charges. This could be just after her death if she prefers. If your mum was to need residential care at some point then, as you’re aware, the value of the home would be subject to a mandatory property disregard as your dad would be remaining living there.However, if you have more than one pension pot, cashing some of your pension in might be an option. Why not call us today for a free, no obligation consultation to find out how we could help you protect your hard earned assets against care home fees and remarriage.

It can, however, be a good idea for attorneys and executors/trustees to liaise with one another because there may be actions taken during the lifetime of the person that impact on what they own after they die, and it can also be useful for financial attorneys to know what the Will says. This is a complex area. Please note that the following information is general guidance, rather than legal or financial advice. Most equity release loans now carry a no negative equity guarantee, meaning the borrower will never owe more than the value of their home. Here we've listed some of the ways to do this. Remember, every situation is different and there will be products out there more suitable to some than others. It's a good idea to take independent financial advice when making such decisions.

Rent or defer 

When they come to sell the house after your death they may have to pay capital gains tax as it is not their primary residence For example, if you have a defined benefit pension that will provide you with sufficient income in retirement, but also a defined contribution pot that you don't need, then there could be an argument to use some of the defined contribution pot. Any decisions you take as your Nan’s attorneys (including selling the house) must be made in her best interests. Under the Mental Capacity Act, that means consulting, if possible, with those close to the person - including anyone “interested in their welfare”- about what their best interests are. As a general rule, the more people who are involved in a best interests decision, the less likelihood of there being any arguments about it later. Only the capital, savings and income that belong to your mum, as the person needing residential care, should be considered in any financial assessment.

However, from what you’ve said, a mandatory property disregard would apply due to your sister being regarded as ‘incapacitated’ (whatever her age). Even if your sister works, she should still be regarded as incapacitated if she receives Disability Living Allowance. Alzheimer’s Society is really conscious of the unfair disadvantage people with dementia face with care costs and we campaign for social care reform. Here is some information on our Fix Dementia Care campaign if you would like to read further: https://www.alzheimers.org.uk/get-involved/our-campaigns/fix-dementia-c… If your dad sadly passed away, then, if either you or your sister are over 60 and remain living in the property, a mandatory property disregard would still apply. You mentioned that you have Power of Attorney already, so assuming this is a Lasting one for Property and Financial Affairs, that should allow you to set up a DPA (or sell the house if you decide to do that anyway) so long as you are acting in your mum’s best interests. My father has been assessed as a risk to himself and others and therefore may be eligible for free care.

Care at home 

For example, advisers for lifetime mortgages need specialist equity release qualifications, while those for various forms of retirement mortgage don't. This is when the local authority pays the care home fees that the person owes (as well as the person often contributing from their income) and puts a legal charge on the property until such a time that the property is sold and the debt repaid, including interest and administration fees. The sale of the property could be delayed until your aunt’s death if you wish.