In this article we’ll look at why a home owner may need to consider selling their home due to illness or to help cover care fee’s.
It’s actually a common occurrence for people to sell their house due to poor health and as a company we’ve helped many homeowner’s do just this allowing them to move forwards with their lives.
We never know what life will throw at us. It’s full of ups and downs but even the most health conscience people can be affected by unknown or undetected illnesses which results in them having to pay out huge amounts for medication or carer fees.
The main question here is do you have to sell your house to pay for care or are there ways to get by without having to sell up? A case can be made for both.
As we stated earlier in the article, a case can be made for both selling your house to pay for your care or keeping it and using other means to pay for your care.
Even if your care and medical bills are going cost a considerable amount, the key is to remember you don’t necessarily have to sell your house to raise the funds for the care.
According to AgeUK your ability to pay for care will be worked out through a means test. Your home will not be included if you’re arranging care and support at home and may not be included if you live with a partner, child, or a relative who is disabled or over the age of 60.
Currently, if your capital and income is above £23,250 you’re likely to have to pay your care fees. If your capital and income is under £23,250 you might get some help from the local council, but you may still need to contribute towards the fees.
One common approach people use to avoid selling their home immediately to help pay for their care is the use of differed payments. Differed payments are basically when you delay the paying of your care until a later date.
Another technique that is often used involves a homeowner giving away their property to a family member or relative so it’s not counted in their means test. However, this can be risky as it could be seen as deliberate deprivation of assets which means you’ll still have to pay some fee’s towards your care.
Finally, if you know you’re going to need care for a prolonged amount of time the best thing you can do is to start planning for it as early as possible. Too often people are lazy and never get the right diagnosis for their illness which results in them finding out they need to pay for care far too late. The last thing you want is to leave it late and then fall into financial difficulty and risk having your home repossessed – it’s not very common but is known to happen!
Below we’ve put together 3 warning signs that could help you avoid or at the very least plan earlier for your care so you don’t have to sell your property.
Let’s look at these signs in a little more detail.
Warning Sign 1 – Declining Health: If your health has been steadily declining over time and you notice recurring illnesses then alarm bells should start ringing that something is wrong. Visit the doctors and get the right diagnosis done so if it does turn out to be something serious you have the time on hand to start planning for your care.
Warning Sign 2 – Increased Medical Bills: This point ties in very well with the first one. If you’re paying more and more for your medication then you should really consider that it may be something more sinister.
Warning Sign 3 – Job Loss: If you have had to stop working or have lost your job due to a specific illness then it’s definitely time to start planning your care. Even if the illness or care time is short term, it will cost money and if you’ve got no money coming into your household, you are going to struggle.
When it comes to having to sell your home to pay for care, for the most part you always have a choice. That said, there will always be people out there who are better suited financially to deal with the situation so they would never even have to consider selling their home.
For those families where the breadwinner is the one that’s needing the care – it can become a little more difficult as having to pay for living expenses as well as care will eventually take it’s toll, even if one is receiving benefits. If you’re in this situation and are considering selling up, Housebuyers4u can help.
If you’re looking to sell their house quickly to cover the carer fees, we can help:
If you’re interested in selling your home with us Get your free no obligation cash offer today!