Some advice needed on renting dilemma

AdrianC

AnotherJoe wrote: »

AIUI these are called an "immediate needs annuity" (they are very different to a standard pension annuity) and can only be bought via a specialist, I dont think they are sold retail. They require a medical assessment of the person for whom its bought. Could be a good option as it removes stress on your part.

...but bear in mind that they're designed to pay out LESS than you pay in, over the expected term.

MonkeyDr

Absolutely. When we took the one out for my gran we knew that the company thought they would make money on it. As they must do in enough cases to be a viable business. We 'got lucky' but also decided as a family that we wouldn't have minded 'losing' potential inheritance if she passed away early, as we wanted her money to pay for the nicest NH she could afford.

phillw

peter7769 wrote: »

Like i said my mortgage advisor has said that we shouldnt sell the house as the money will fritter away to nothing and the value of bricks & mortar is always going up, plus if we have tenants in the property it will be looked after and maintained so when it comes to selling it, it should be easier.

Bricks & mortar don't always go up, selling a property with tenants isn't necessarily easier. A mortgage adviser who is advising you to do something that will benefit him, sounds like a crook.

Your money will fritter away to nothing at this rate. You'll have a short fall of £4833 a month. If you want to keep the property yourself then buy it and rent it out, if at some point in the future you need to get council funding then at least they won't be able to put a charge on the property after you've been pumping money in to subsidise his care. Use the money from the mortgage company to pay for the care, or buy an annuity. Depending on how long he's going to last.

harrys_dad

peter7769 wrote: »

HI
i have spoken to my mortgage advisor who has told me that we should get around £900 per month and that this is the best way forward rather than selling the property right now,

(And from another post) My mortgage advisor actually has a letting agency as well so she would look after everything like that, I know it means we get less money but also less hassle.

This is a clear conflict of interest and their advice should be ignored.

Mojisola

Who has POA for your father? Or is he still capable of making these decisions for himself?

peter7769

Mojisola wrote: »

Who has POA for your father? Or is he still capable of making these decisions for himself?

I have it, both financial and health and welfare.

Mojisola

peter7769 wrote: »

I have it, both financial and health and welfare.

Then the decision is finally yours rather than your sisters - although I think they are taking the sensible route in suggesting selling up.

cinereus

AnotherJoe wrote: »

Other than your sisters being ill-informed about the availability of "high interest" savings accounts as you are most likely going to be looking at 1.5 to 2% tops, they are completely correct, you should be selling this.

Given the predicament, it might be worth risking P2P and getting closer to 3.3%.

Crashy_Time

peter7769 wrote: »

Hi,

Sorry my mistake, yes it's £1300 per week not month, I know it won't cover the costs but just trying to eek out his savings as much as possible

Thanks Pete

Sounds high, why is it that high, specialist care?

AnotherJoe

Crashy_Time wrote: »

Sounds high, why is it that high, specialist care?

Its not especially high for a dementia unit. A friend of mine has just put his mother in one, its £1400 a week :eek: The alternate he looked at was I think around same price as OPs.

Thats just the going rate for this type of care if you pick a good one. Poor ones could still easily run to £1k.