equity deprivation when living with parent

tir21

I know that giving a house to offspring does not mean that it cannot be meanstested with regards to care home costs

But what if the child lives with the parent. Could they be given ownership since they live there and may have helped pay the mortgage.

What would happen if the child gained ownership while living there but then moved out. Would it be any different from the parent just giving the house a way to a child that doesn't live there

Thanks

Savvy_Sue

How old is the child? It makes a difference ....

retiredlady

Actually I am interested in this too. I have two daughters living with me, one is handicapped. I am contemplating giving them the house so I can be sure they will always have someplace of their own. They are in their late thirties.

Mojisola

retiredlady wrote: »

Actually I am interested in this too. I have two daughters living with me, one is handicapped. I am contemplating giving them the house so I can be sure they will always have someplace of their own. They are in their late thirties.

https://www.ageuk.org.uk/Documents/EN-GB/Factsheets/FS38_Treatment_of_property_in_the_means-test_for_permanent_care_home_provision_fcs.pdf?dtrk=true
The value of your former home will be disregarded (ignored) if it is occupied by:
your partner (husband, wife, civil partner or someone you live with as though you are married or civil partners); or
a relative who is 60 years old or over, or a younger relative who is ‘incapacitated’; or
a former partner who is divorced or estranged from you but who is a lone parent; or
a child under 18 years who you are liable to maintain (local authority assessment only).

tir21

Savvy_Sue wrote: »

How old is the child? It makes a difference ....

32 years old

Savvy_Sue

See Mojisola's comprehensive details above your post.

Mojisola

tir21 wrote: »

But what if the child lives with the parent. Could they be given ownership since they live there and may have helped pay the mortgage.

What would happen if the child gained ownership while living there but then moved out. Would it be any different from the parent just giving the house a way to a child that doesn't live there

If a house is jointly-owned, the council will usually put a charge on the property so that any care home fees are repaid when the house is sold.

If you jointly-own a property but live elsewhere, it could affect your entitlement to means tested benefits and would also be counted as an asset in a divorce or bankruptcy.

bouncydog1

If your daughter is mentally handicapped (apologies if that is the incorrect term to use now) I would suggest you take legal advice before putting a property into her name. I am speaking from experience as a relative had to take advice on the matter, which culminated in family members being appointed guardians by the Court to ensure that the interests of the incapacitated relative were properly looked after. This meant that she could not own property as she was not deemed to have capacity to make such decisions. it also ensured that she could not be taken advantage of by unscrupulous individuals out to deprive her of any assets.