Staying in the house?

[Goldleaf88]

My aunt (85) widowed and with no children, has severe dementia. Me and my daughter (13) are very close to her. My parents have passed away and we have always had a very supportive relationship. My daughter calls her Nana and attends the local school. We moved in with her last year when she needed more care and I am sole Deputy for property and financial affairs.

I am struggling and I know she will need to go into a home at some point. Her pension will cover her fees. If we don't need help for care fees can my daughter and I stay living in her house. My daughter is happy and settled in her school and I couldn't afford to rent. I am very worried about this.

 

[nitram]

Assume you are worried because your aunt owns house.
If she self funds her care the LA will not be interested.
However as COP deputy you have a duty to manage her finances and must not gain in the process.
You should ask the OPG about how to organise your renting the property at a fair price.

 

[Pete1]

Hi @Goldleaf88 if your aunt isn't a self-funder most local authorities have a deferred charge scheme whereby the care fees can be accrued and charged against the property on sale e.g. on the passing of home owner.

 

[Goldleaf88]

Assume you are worried because your aunt owns house.
If she self funds her care the LA will not be interested.
However as COP deputy you have a duty to manage her finances and must not gain in the process.
You should ask the OPG about how to organise your renting the property at a fair price.

 

[Goldleaf88]

By managing, all monies will go to her care home fees. She lives in an expensive part of London. Fair rent on a house would be out of my reach

 

[Goldleaf88]

By managing, all monies will go to her care home fees. She lives in an expensive part of London. Fair rent on a house would be out of my reach

 

[Goldleaf88]

Hi @Goldleaf88 if your aunt isn't a self-funder most local authorities have a deferred charge scheme whereby the care fees can be accrued and charged against the property on sale e.g. on the passing of home owner.

My aunt would be a self funded

 

[nitram]

She lives in an expensive part of London. Fair rent on a house would be out of my reach

You need to contact the OPG, I think you would be expected to pay a fair rent.

 

[Goldleaf88]

You need to contact the OPG, I think you would be expected to pay a fair rent.

Thank you for your guidance.

 

[Sirena]

Could you use her pension to pay for carers to come into the house, rather than her going into a care home?

 

[Goldleaf88]

Could you use her pension to pay for carers to come into the house, rather than her going into a care home?

definitely possible but my thinking is when she becomes bed bound. there is not enough savings to alter the upstairs for her needs or indeed to move a bathroom downstairs. does it mean that she will have to stay in her bedroom? Gosh

 

[nitram]

You say aunt will be self funding, you also say there are little savings.

This makes little sense as currently savings should be increasing at self funding rate and funding a house conversion should be affordable.

Have you checked the cost of residential and nursing care, depending on care needs and area in London an annual fee of between £50K and £100K is likely.

Don't underestimate the cost of your aunt staying at home especially if 24 hr live in care becomes required.

 

[Goldleaf88]

You say aunt will be self funding, you also say there are little savings.

This makes little sense as currently savings should be increasing at self funding rate and funding a house conversion should be affordable.

Have you checked the cost of residential and nursing care, depending on care needs and area in London an annual fee of between £50K and £100K is likely.

Don't underestimate the cost of your aunt staying at home especially if 24 hr live in care becomes required.

Are you saying that residential care will be between £4.5 - £8.5K per month? My friend's dad was in a home for Alzheimer's and paying £500 per month and in North London. Albeit, the LA were paying. Am I deluding myself?

 

[Pete1]

Hi @Goldleaf88, when Mum was in residential care it was nearly £1000 per week (and that wasn't in London) and that wasn't the most expensive by a long shot.

 

[nitram]

Are you saying that residential care will be between £4.5 - £8.5K per month? My friend's dad was in a home for Alzheimer's and paying £500 per month and in North London. Albeit, the LA were paying. Am I deluding myself?

The friend's payment was most likely a top up on the LA funding.
If your aunt can't afford full self funding the situation changes.

 

[Jamesw46]

definitely possible but my thinking is when she becomes bed bound. there is not enough savings to alter the upstairs for her needs or indeed to move a bathroom downstairs. does it mean that she will have to stay in her bedroom? Gosh

When a hospital bed is provided at home,its usualy situated downstairs so your Aunt would be able to join the family and not be secluded in a bedroom,that seems to be a way of you staying in the home

 

[Goldleaf88]

The friend's payment was most likely a top up on the LA funding.
If your aunt can't afford full self funding the situation changes.

So the remaining amount could be charged against the house? And/or rent received from house?

 

[Goldleaf88]

When a hospital bed is provided at home,its usualy situated downstairs so your Aunt would be able to join the family and not be secluded in a bedroom,that seems to be a way of you staying in the home

I was thinking of that too, but it's the bathing I was thinking of as the issue. I guess, a bed bath would be the way forward.

 

[canary]

You might find this factsheet helpful to explain care home fees
https://www.alzheimers.org.uk/get-support/legal-financial/care-home-fees#content-start

 

[nitram]

So the remaining amount could be charged against the house? And/or rent received from house?

You are probably thinking of a https://www.moneyadviceservice.org.uk/en/articles/deferred-payment-agreements-for-long-term-care once again I think you would be expected to pay a fair rent.

Until your daughter reaches 18 the house would be disregarded in any LA financial assessment.