Typical care home costs

jockettuk

My dad is in hospital ,had a stroke 6 yrs ago and now they find out his eating and swallowing problems are connected to this? he has been in hospital for 7 months and they now saying he probably wont be able to cope at home(although they willing to see how that will go) if he goes into a home it will be a nursing home and not residential as he has medical problems and his cost will be around £560 per week. This is in glasgow in scotland, i know all areas slighty different..

Savvy_Sue

artha wrote: »

Assuming my FIL goes into care is it possible for the family to let his home to top up funds so that he can get an improved standard of care?

I think I'm right in saying that if your FIL is assessed as needing to contribute to the costs of his care, the local authority won't care where the money comes from!

I believe the assessment of his ability to contribute includes the value of his house, and if the family say "but s/he's got no money!" the LA say "Sell the house, or if it can't be sold because it's part owned by someone else we'll put a charge on it so we get our dosh when it is sold."

Therefore if you raise the money by renting the house, everyone is happy.

Problems can arise if it's going to take a while to get the house into a rentable condition, and becoming a landlord is not for the fainthearted these days. Do get good advice about what your legal responsibilities are (apart from getting the POA mentioned already!)

personally I think it is only something I would do if there was some compelling 'business' reason to keep the house (eg the dire state of the housing market!), rather than the sentimental "it was our family home for so long!" kind. Once someone else moves in, it won't be your family home any more, the bricks and mortar may belong to you but the 'home' will be someone else's.

But then, we've just been through the hassle of negotiating a lease at work for a residential property, and I've seen the amount of work the landlord has had to do just to comply with the law. Wired in smoke alarms, fire extinguishers and blankets, annual gas safety checks ... oh and the new energy ratings too.

EdInvestor

It may be worth investigating the difference between technically self funding (ie paying fees yourself) and having the council pay with the costs accumulating against a charge against the property.

The council pays significantly lower fees to care homes than the ones charged to private residents.

BTWdoes anyone know if interest is added to the debt by the council?

Savvy_Sue

EdInvestor wrote: »

BTWdoes anyone know if interest is added to the debt by the council?

No, but that's a very good question, alongside your suggestion.

I'd be gob-smacked if they DIDN'T charge interest, wouldn't you?

Errata

My council put a charge on my mum's share of property and they didn't charge any interest for two and a half year's funding, so there may be some discretion allowed.

monkeyspanner

EdInvestor wrote: »

It may be worth investigating the difference between technically self funding (ie paying fees yourself) and having the council pay with the costs accumulating against a charge against the property.

The council pays significantly lower fees to care homes than the ones charged to private residents.

BTWdoes anyone know if interest is added to the debt by the council?

There is no interest payable on defered payments until the death of the property owner. I believe the arrangement of defered payments by the council are discretionary.

Savvy_Sue

Interesting. Makes the arguments for deferring a lot stronger, where possible. Although that's presumably ONLY an option where the home is still lived in by a co-owner.

monkeyspanner

Savvy_Sue wrote: »

Interesting. Makes the arguments for deferring a lot stronger, where possible. Although that's presumably ONLY an option where the home is still lived in by a co-owner.

It also applies where the person in care was the single owner and occupier. In the current property market it will be increasingly difficult to sell properties which will more than likely be in need of repair/renovation so councils will be under more pressure to grant defered payment arrangements. The alternative is more concerning if owners and their relatives are forced into property sales at disadvantaged prices in order to fund care. This I believe is a distinct possibility if councils have insufficient funds to allow defered payments arrangements.

artha

Savvy_Sue wrote: »

I think I'm right in saying that if your FIL is assessed as needing to contribute to the costs of his care, the local authority won't care where the money comes from!

I believe the assessment of his ability to contribute includes the value of his house, and if the family say "but s/he's got no money!" the LA say "Sell the house, or if it can't be sold because it's part owned by someone else we'll put a charge on it so we get our dosh when it is sold."

Therefore if you raise the money by renting the house, everyone is happy.

Problems can arise if it's going to take a while to get the house into a rentable condition, and becoming a landlord is not for the fainthearted these days. Do get good advice about what your legal responsibilities are (apart from getting the POA mentioned already!)

personally I think it is only something I would do if there was some compelling 'business' reason to keep the house (eg the dire state of the housing market!), rather than the sentimental "it was our family home for so long!" kind. Once someone else moves in, it won't be your family home any more, the bricks and mortar may belong to you but the 'home' will be someone else's.

But then, we've just been through the hassle of negotiating a lease at work for a residential property, and I've seen the amount of work the landlord has had to do just to comply with the law. Wired in smoke alarms, fire extinguishers and blankets, annual gas safety checks ... oh and the new energy ratings too.

Actually the situation is slightly more complicated than I originally posted but is anything with families ever simple?

First and foremost, getting my FIL the care he needs is the priority as far as I'm concerned but I will not be the one to make that choice as there are 4 siblings involved. There is also the varying stances on self interest amongst the siblings (complicated). The general family view, as far as people are being open, is that from what I've learned on this thread, FIL probably has enough pension and funds + allowances to be get a good standard of care without selling his modern bungalow (built 1994) unless it becomes absolutely necessary. FIL had always said when discussions on pensions were concerned that "why do you need to invest in a pension when you will get my bungalow?" A bit misguided perhaps but that has been his aim.

WRT renting the bungalow I didn't know there was so much to consider. My daughter has just moved into a modern house just purchased by a landlord who I don't think has ever visited the property that doesn't have wired in smoke alarms or fire blankets/extinguishers. He did send in someone to assess the gas fire which was condemned and replaced. Where do we find guides on becoming a landlord?

Errata

Artha, apologies if you've already said so. I note your FIL dementia has recently got worse, does anyone have POA for your FIL? If it's agreed that the best way forward is to rent the bungalow your FIL will be the landlord and have to understand and sign all manner of things.