We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Best options for "loan" against house sale for someone in long term care

worldtraveller
worldtraveller Posts: 14,013 Forumite
Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
edited 22 May 2014 at 4:15PM in Mortgages & endowments
Hi guys, I would appreciate any help please on behalf of one of my relatives, who has just gone into a nursing home for long term care and is self-funding.

He is 80 years of age and owns a house, which is currently on sale, but it may not be possible to sell the house before all of his liquid assets (savings, shares, etc.) run out on the (high!) nursing home fees.

I would imagine that equity release is not really an option, since the house is already on the market. Renting would not provide sufficient funds to cover the nursing home fees.

Can anyone suggest the best (cheapest!) way to obtain short/medium term funds (maximum, say, 12 months) against the value of the house. The required funds would be approx. 20-25% of the house value and the house is owned outright.

Thanks for any help!
There is a pleasure in the pathless woods, There is a rapture on the lonely shore, There is society, where none intrudes, By the deep sea, and music in its roar: I love not man the less, but Nature more...

Comments

  • Yorkie1
    Yorkie1 Posts: 12,799 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    It might be worth looking at the Age Concern website to see whether they've got any content on this. I have at the back of my mind the possibility of a charge being placed on the house, to be repaid when the house is sold, but have absolutely no idea whether this would be a) possible or b) suitable for your situation. You'd need to take advice.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.6K Banking & Borrowing
  • 254.5K Reduce Debt & Boost Income
  • 455.5K Spending & Discounts
  • 247.5K Work, Benefits & Business
  • 604.4K Mortgages, Homes & Bills
  • 178.6K Life & Family
  • 261.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.