worrying news this morning

Ark_Welder

wellused wrote: »

A rolled up newspaper? By tho twas lucky, we lived in an old buff envelope, without a window mind!;)

Is that what is known as 'in the buff'?

oldvicar

wellused wrote: »

A rolled up newspaper? By tho twas lucky, we lived in an old buff envelope, without a window mind!;)

Eeee but we laff'd.

We were so much better off wi our big newspaper than the neighbours. All they had was some of them tiny £5 notes to sleep under - not much warmth, and wouldn't buy nowt after all that inflation.

Yorkie1

peanutnboo wrote: »

It would be an investment buy because we would be buying the property with my Fathers money. i am his carer and he lives with us. I have a LPA and manage his property, savings, shares and other investments. It is quite a responsibility I can tell you.

Have you taken professional advice on whether it is in your father's best interests for you to buy a house for yourselves with his money?

When there is an apparent conflict of interest the transaction might be scrutinised more carefully.

londondealer

I have a couple of properties and I am not worried because I am in it for the long haul. No intentions of selling.

BobQ

peanutnboo wrote: »

It would be an investment buy because we would be buying the property with my Fathers money. i am his carer and he lives with us. I have a LPA and manage his property, savings, shares and other investments. It is quite a responsibility I can tell you.
.

PLease do not lake this the wrong way but with a LPA it is your job to invest your father's money wisely, in your father's best interests, not in your own interest, and taking no more risk than he would in his circumstances.

Some would argue that in the present climate your father's best interests would be served by putting the money into long term fixed rate savings that pay a modest but guaranteed rate, if necessary splitting it between different institutions to ensure its all covered by the compensation scheme.

If you did as you propose and buy a house can you really justify it as being in his best interests if say the housing market crashed more? Suppose you could not look after your father for some reason, would he need the money to fund care costs? Suppose this happened while the property was woth 20% of what it cost? If someone challenged what you had done could you justify it to a court? Some would view the arrangement as you providing yourself with rent free accommodation for example?

Obviously the circumstances and the money involved may justify the action you plan but you should be careful of complying with your legal obligations.

aggieboy_2

peanutnboo wrote: »

Moodys have downgraded 12 UK Banks and Building societies credit ratings some by upto 2 points.

What significance does this have to UK savers ?

I am responsible for a large investment which is currently in the NAtionwide My Save account.

Should I be thinking of buying a property to safeguard this money ?

My thinking is I could either have the hassle of opening 4x new accounts and spreading the money over 5x different banks and waiting for one of them to fail or I could invest the money in a property.

At least whatever happened I'd have a roof over my head and a property that I could sell or raise money on.

All my friends are buying investment properties. What is your advice and thinking on this

Hardly a "hassle" to open 5 separate joint accounts to protect all that money is it? I've just opened 5 joint accounts to protect my savings, it was easy tbh.

Biggles

BobQ wrote: »

Some would argue that in the present climate your father's best interests would be served by putting the money into long term fixed rate savings that pay a modest but guaranteed rate, if necessary splitting it between different institutions to ensure its all covered by the compensation scheme. If you did as you propose and buy a house can you really justify it as being in his best interests if the housing market crashed more? Suppose you could not look after your father for some reason, would he need the money to fund care costs? If someone challenged what you had done could you justify it to a court?

In the present climate, owning your own house instead of paying rent is far more sensible than keeping the cash and earning a pittance in interest.

And the future value of the house is irrelevant if it's your home.

There is a further factor here: if he should have to go into residential care at some point in the future, the loal authority wouldn't be able to touch his house if you were living there as joint owners, whereas they would be able to require him to pay from his savings accounts.

BobQ

Biggles wrote: »

In the present climate, owning your own house instead of paying rent is far more sensible than keeping the cash and earning a pittance in interest.

And the future value of the house is irrelevant if it's your home.

There is a further factor here: if he should have to go into residential care at some point in the future, the loal authority wouldn't be able to touch his house if you were living there as joint owners, whereas they would be able to require him to pay from his savings accounts.

Really? Biggles if you have LPA for your father and buy a house with his money using the LPA, you as the Attorney do not own the property your father does and were care needed you would be expected to sell unless you were over 60 in which case they would place a charge on the property. (If you register the house in your name or jointly its an abuse of a LPA and quite illegal).

It would be different if the house were owned by the carer and he allowed his father to live with him, money could be protected by the father funding an extension etc for his needs but he would need to to be capable of making such a decision for himself. If you did this under a LPA you might be able to justify it but its open to question.

peanutnboo

Biggles wrote: »

In the present climate, owning your own house instead of paying rent is far more sensible than keeping the cash and earning a pittance in interest.

And the future value of the house is irrelevant if it's your home.

There is a further factor here: if he should have to go into residential care at some point in the future, the loal authority wouldn't be able to touch his house if you were living there as joint owners, whereas they would be able to require him to pay from his savings accounts.

at last!.... someone who is applying a little thought

peanutnboo

BobQ wrote: »

Really? Biggles if you have LPA for your father and buy a house with his money using the LPA, you as the Attorney do not own the property your father does and were care needed you would be expected to sell unless you were over 60 in which case they would place a charge on the property. (If you register the house in your name or jointly its an abuse of a LPA and quite illegal).

really Bob ?

in the complete absence of any facts about our personal circumstances don't you think your assumptions here about who is buying what with whose money is rather arrogant? perhaps you have overlooked that in your haste to pontificate