Retirement housing options?

Procrastination

Hello everyone, I've learnt so much from reading the threads on this forum and I'm hoping you can share some more of your wisdom regarding houses and retirement. 

My mother is mortgage free and is due to retire in two years, she lives in a 2 bed terrace that she paid £74k for in 2015. She will only receive a state pension because she spent most of her life child rearing and working part-time minimum wage retail jobs, she has paid into the government pension scheme since everyone was auto-enrolled but I cant imagine this will be much. She is now struggling with the steep stairs in her house and would ideally like to move to a bungalow for retirement, I think this would be best sooner rather than later whilst she still has disposable income from working rather than waiting until she has retired. She is very frugal she doesn't drink/smoke/gamble or waste money and uses public transport so her outgoings are minimal. 

Looking at sold house prices in our area 2 bed semi detached bungalows go for between 130k-140k, she would only need a 1 bed and a terraced would be fine but there wasn't much to go on for this which I assume means there probably isn't many. A flat would also be suitable but it would need to be ground floor because most of the blocks aren't fitted with lifts. She would have the money from the sale of her house plus a share of the money from the sale of my grandparents house which I think is around 20k, minus the costs associated with moving. It seems to me she is priced out for what she would like given the funds that she had got.

I've looked into council bungalows but she isn't eligible because she is already a homeowner. I've also looked into retirement village type places but at £600 a month plus bills, if she was to sell and move into one of these the funds wouldn't stretch for very long, assuming following the rest of the family she will live to her mid eighties. My grandparents were both able to stay at home until they passed away using aids, stairlift etc, and I would ideally like my mother to be able to as well, but these changes wouldn't be possible in the layout of my mothers current house. Using the bottom of her house like a flat (bedroom in the front room) also wouldn't be possible because unlike most traditional terraces the bathroom is upstairs.

What do other people do in this situation? I've got some ideas floating around my head but I'm not sure if they are even feasible ...

- Sell and buy a bungalow and get a loan/mortgage for the remaining amount, would she even be eligible?
- Shared ownership, buy a % and pay rent on the rest using a housing benefit?
- Sell and go on the council waiting list for a bungalow, not sure if this would make her eligible?
- Sell and buy a town house type property (similar prices to a terrace) where adaptations could be made? Seems a bit pointless just moving the problem?

Google hasn't proved very helpful so I'm open to all advice thanks!

Monsternextdoor

Have you looked into sheltered accomodation in the area ? 

Sheltered is a good idea for those who want to still keep their independence but need a little help from time to time. Yes she would have to pay rent and utilities etc but it would be a lot cheaper than a retirement village. 

elsien

Rather than just looking at bungalows on the council website, have you looked specifically at the complexes for older people - in my area that’s over 55?
They tend to be more flexible with the ownership thing is some areas - I know someone who sold up and moved to one, although different councils have different policies. Your best bet would be for your mother to check directly with housing officer. Also look at whether there are any housing associations that she could contact.

I’d be wary of shared ownership. They can take a long time to shift and if your mother does eventually need to go into care (worst case scenario) she’d still have to pay rent but if the money ran out wouldn’t be eligible for benefits to pay it with. 

ETA - if there is a physical health reason she is struggling with the stairs, can she request an OT assessment? That would also be evidence that could help prioritise her with other housing? 

Monsternextdoor

elsien said:

ETA - would a stair lift not solve the stair problem if everything else in the house is fine for her? 

This, I have been home to my mums this weekend and she is coming up 70 and they will be needing a stair lift in a few years themselves. 

I told her to stay in the house and get the stairlift done as the house is bought and paid, Just get the stair lift and we can pay for it in the the long run.

hazyjo

Are you presuming a stair lift won't be possible or have you had someone round? They can go round corners and odd shapes!

Change areas slightly? Are there cheaper ones nearby where she might find an affordable bungalow?

FreeBear

Third option is to extend out back and install a bathroom on the ground floor. Some terraces have the space for this, but if you have a path with a RoW across the back, that may scupper the thought.

peterhjohnson

Consider Equity Release. The ER most people have heard of is where you raise money against your existing house but it's also possible to get ER on a house you want to move to. This article is a useful read https://www.moneyrelease.co.uk/Equity-Release-To-Purchase-Property/
Essentially, this will increase her budget but the downside is that you will inherit less.

seven-day-weekend

My son's partner's father has a flat in an over-55 complex.  He bought it quite cheaply compared to other similar flats in the area.  It's cheap because of the limited market for resale of these flats.  They are designed for people with less mobility. (although he is only 65 and is fine - he just bought it because he could afford it.

He had previously owned his own house with his ex-partner.

I would have a look round for something like that.

luvchocolate

I live in a housing association flat for over 55s.
Not sheltered but in a lovely courtyard setting of 12 flats. 
Very reasonable rent. 
Check out the ones in your area for ideas 

gettingtheresometime

My advice to you would be to get your mum on the waiting list now as my mum is in a similar position (although she's older than your mum) and has been on the waiting list for literally years - and it is a case of waiting for either a current resident to die or to move to a nursing/care home.

However unlike your mum, mine refuses to see that the house is rapidly becoming unsuitable (steep stairs, bathroom downstairs) so the ability to do something before it becomes a necessity is non existent

Murphybear

We live in over 55s sheltered housing in a very “desirable area”.  We’ve been there for 3 years and its the best thing we ever did.  

There is a massive communal lounge and we have regular get togethers, coffee mornings, afternoon tea (I’m the chief cake maker ) and we’ve made loads of new friends.