Selling property to fund care

[hobo1234]

Hi

Just looking for some advice, in process of selling property to pay for care home for someone we've been advised of the 12 week Property Disregard and also read that they don't include 10% of the sale price to cover fees etc. Just wondering how this works? Will a new financial assessment be carried out at the end of the 12 week period do we need receipts for money spent to account for the 10% or is this just deducted during assessment? If the full 10% isn't spent on official fees how does this work?

Hope this makes sense. Thanks for any help you can offer

 

[Jessbow]

If a person has a property on the market, ( example £150K) the financial assesmant will have taken into account that the sale wont actually realise that figure, and base their fiigure on £150K- 10% to allow payment of esate agent fees, disembursements and solicitor costs. ( So availible with be C£135K)


they probably wont bother with another assessment- you'll just pay your fees until you reach the lower figures. Just gives then an idea of your capital

 

[Louise7]

Hi @hobo1234 as per above the 10% figure is only taken into account prior to the sale of the property, when the local authority are conducting their financial assessment, and it is used to calculate the amount of assets - see link to Age UK factsheet below (page 11). I'm not sure whether they will conduct another financial assessment when the property is sold or not, check with the relevant local authority as they do tend to do things differently. Should they require confirmation of the sale price and fees at any point then you will presumably be able to provide them with copies of the relevant paperwork from the solicitor who arranged the sale? I know when mum's house was sold the solicitor provided a full breakdown of costs.


Valuation of property If a property is taken into account in your financial assessment, it is at its present market value, less any mortgage or loan secured on it and less 10 per cent where there would be expenses involved in selling it. The valuation should be undertaken by a professional valuer who must provide a current market valuation. The 10 per cent rule is only for calculating the value of a property before its sale. Once your property is sold, you are treated as having the actual share of the sale proceeds you are entitled to, after any secured debts and the actual expenses of sale have been paid.


https://www.ageuk.org.uk/globalasse...perty_and_paying_for_residential_care_fcs.pdf