Worrying about the future

JanChris

Please bear with me...this is a future situation which I will be in during the next 10-15 years. I am worrying myself sick about this every day.

The situation will be this: I will be 65-70 and widowed with no savings. I will be living in a council old people's bungalow or suchlike. Then when my parents die I will be left half their house ...around £150,000 in today's money.

The council will no longer let me stay in a council house if I have savings of that much, and my father particularly wants me to buy a property so I can leave to my sons.

If I were to buy a small home in a residential park with the money, then what would I live on as I have no savings? How could I pay council tax, and utility bills etc??

I am turning into a nervous wreck 😰

Dbw1964

Hi Jan Chris,
Don't Panic!. I'm sure there are ways around this.One thought, couldn't your parents transfer half their house into your sons' name. They can do this with you parents retaining the right to live there I believe. When your parents pass away, your sons could buy a house out of the inheritance sale of the house, purchase another to rent out (either for themselves or to a third party) and supply you with an income from the rent. It could be advantageous as your sons will have a low rental outlay, as you will need to have an income just under the threshold to allow you to stay in council accomodation. Probably a few flaws in this 'plan' but a financial advisor should be able to sort this out.

atush

You can stay in your council house after inheriting, what they might do is increase your rent to market rates?

McKneff

Its a bit confusing here, are you already living in council property.
Nothing to stop you living in a council property no matter how much savings you have.


You say your parents own a property so inheriting a council property is not in the equasion.


Even then, if your parents were in council housing, they normally would only allow only 1 inheritance, to the surving parent, when they die, you would have to find your own way in life. ie private renting.


A bit of clarity is required.

McKneff

If you bought a home in a residential park you would feed yourself etc from your state pension.


You really are overthinking and you should be living for now, not spoiling your life now for something that may or may not happen.

JanChris

Thanks folks, some things to think about there.

I'm sorry, but I can't really be any clearer McKneff.
I am 55. We are privately renting at the moment but in 15ish years we will probably be in a small council house as my husband is 22 years older than me. When I am widowed the council will probably let me stay there or somewhere similar.

My parents own their own house and will leave me half and my brother half. I don't really want to stay in a council house as my fathers wants me to promise that I will buy a small house for my boys to share between them when I go, or they will have nothing either.

If I stay in a council house the money would get frittered away I guess. I just wondered if I bought something solid, would my state pension be enough to pay utilities and food?

Annisele

Your posts say a lot about what your father wants - but nothing about what you want, or even about what your sons and your husband want.

There's no guarantee you'll get a council house at all (either now or in a few years).

There's no guarantee your parents will leave you any money at all.

There's no guarantee that you and your family members will all die in the order you're anticipating.

There's no guarantee you'd "fritter away" any money you were given - you don't come across as a fritterer!

If you did live in a council house, you wouldn't have to leave just because you'd inherited money.

You wouldn't have to leave anything to your sons. If your parents really want your sons to have something, they should just leave the money to your sons directly. If they want you to have it, IMO they should give it to you without any conditions.

Plus, your sons may be quite capable of looking after themselves. I'm probably closer to your sons' age than yours, but I'd be horrified if I discovered my Mum was getting stressed over my potential inheritance. I'm all grown up and I can stand on my own two feet, thank you very much.

I really do think that you're overthinking the money side of things horribly. Are you perhaps worried about something else?

JanChris

We are just about to go bankrupt Annisele, all the unknown goes flooding round my head. One of our sons has a great job but the other has learning disabilities and will be lucky to even manage to rent anywhere.

My brother and wife will be leaving his 3 children two houses between them and my dad just looks at my boys and wants them to have something eventually but obviously not to leave me out in between.

He isn't being nasty, he loves his two grandsons and wants to make sure he can do his best for them.

As you say......I am assuming everyone dies in the correct order!!! I could go first!!! But I'm such a worrier I like to have a contingency plan!

kidmugsy

JanChris wrote: »

I will be living in a council old people's bungalow or suchlike. Then when my parents die I will be left half their house ...around £150,000 in today's money.

The council will no longer let me stay in a council house if I have savings of that much

That seems to be a central part of your worry. But everyone has assured you that it's not true. If you find yourself in a council house (if!) then, they say, you won't be expelled for receiving a legacy.

atush

You need to spend more time thinking about your current problems re bankruptcy, and how to build a better tomorrow/retirement than worrying about any possible inheritance?

Id spend some time on the debt free and bankruptcy boards.

Good luck.

Linton

The predicted average age at death for a female aged 55 now is around 90. So I assume that means your boys will be within sight of retirement themselves when you go. Surely at least the one in a good job would have little need for your money and the other would have had other arrangements in place for a long time.

If your father wants to give them money, he could do so directly. But if he leaves you half a house I believe it should be used to support yourself in your old age. You shouldnt be held to conditions that mean you live for another 35 years in poverty.