Will anyone buy this house in return for a guaranteed income

TOPSie1972

My mother-in-law recently died. My father-in-law is now 88 with advancing dementia. His house is worth about £250,000 - owned outright - but he can no longer live there and needs to go into a car home. Looking around we are getting prices in the region of £800-£900 per week for this care. His pension(s) and attendance allowance etc should cover about £250 of this.
We will sell the house and use this to fund the care - but this money will run out eventually (5-6 years). Given his age and health then he could well die before the money runs out - however his mother reached 100 (admittedly without demntia) so there is a significant risk of being faced with some hard decisions in a few years time when the money has all gone.
Are there any commercial organizations (insurance companies) prepared to offer a lifetime return to cover care costs in return for the house - i.e. they take the risk (and pocket the profit if he only lasts a few years)

noh

Have a look at immediate care annuities .
You will need to sell the house first but the proceeds can be used to buy an annuity that pays income directly to the care provider.

Annisele

Noh is right; immediate care annuities are designed for exactly the situation you're in. You might well find that you benefit from advice from an IFA though - just because a product is designed for your circumstances doesn't necessarily mean it is suitable for you.

I assume you've already got the power of attorney sorted out? If not, you need to look at doing that first.

kidmugsy

Added advantage of immediate needs annuity direct to the care home - they're tax-free.

property.advert

The other maths is to rent the house out and have one or more of the kids supplement the combined income to meet the fees if required, such payments being calculated as a percentage of the house valuation (to be paid back later) unless all beneficiaries contribute equally. Perhaps that is too much of an undertaking but it would preserve some inheritance and leave other options open.