Family home dilemma

It’s likely I fear but getting legal advice is your best option.

I don’t think you can just ‘legally’ sign over a home like that. If it was possible everyone would have done it to avoid paying for social care. Tanith is correct you need to talk to a solicitor.

Why should the state pay for your father’s care anyway when he was the wherewithall to pay for care through his assets?

Oh dear what a horrible situation I think your house may well have to be sold to care for Dad but Tanith is right get legal help
As your brother was hoping to move in could he move in and care for Dad ? Just a thought

Just to add dementia can take years to manifest itself to a care home stage especially if Dad is taking one of the medications that slows it all down and you do say Early stages so he may not need to go into a care home for some time talk to a solicitor and a doctor to get more information on his situation

Yes I think the 7 year rule could apply. The council will not pay for care if they know the house was gifted fairly recently. They will argue that you knew he had the early stage of dementia at the time. If it were possible we would all have done it to avoid care home costs. If your brother wants to live in it maybe he can use the proceeds of his home to pay for care.

I would consult a solicitor for clarity.

Ah - this is a grey area. But if the LA deem that he got rid of an asset for the purpose of avoiding care home fees, they will put a legal charge on the property and recoup their money when he dies.

It is called "deprivation of assets" - here is a useful link: www.ageuk.org.uk/information-advice/care/paying-for-care/paying-for-a-care-home/deprivation-of-assets/

You definitely need a legal bod to advise you, but I fear you may not have a leg to stand on.

I don’t think you can be forced to sell the house.
But you, or your father, will have to pay for his care as he will be judged by the council to have deliberately deprived himself of assets.
You need to see a solicitor.
I’m surprised that the solicitor who handled the transfer of the property to you and your brother didn’t warn you of this.
But as bluebelle says, the need for a care home may not arise.

What lucky said. And the 7 year rule doesn't necessarily apply in all cases.

Please contact Ageuk for initial advice - they are brilliant. And the Alzheimer's Society for advice on looking after your dad.

Crossed posts luckygirl

Thank you everyone. That’s what we thought. Dad didn’t sign it over to avoid any costs, he just wanted to make a kind gesture.
I have emailed the solicitor who dealt with the transfer but am waiting to hear back from her.
One of the reasons I am asking is that Dad’s recently acquired social worker has suggested we may not be liable as the house was handed over whilst Dad was in good health, which had made me query the process.

I agree with Anja. It would not be morally right for the state to pay for your father's care if he has given his money ( effectively) away.

Has your dad been paying rent to you and your brother for effectively living in your house? This is also looked into too.

For those saying it’s unfair to not pay for Dads care....and expect the government to pay.
I have stated that there is enough cash to pay for 18 months plus care initially. It’s in the original post. Nor have I said we are not willing to pay. We absolutely are.
No, Dad hasn’t been paying us rent as we didn’t want him to. He did say he would.

If your father has monetary assets you could always rent the house out and top up what you get in rental income with your father's savings.
That way his money will last much longer.
Beware of top up fees on top of fees, I am being asked for £100 per week in top up fees.
I am waiting for an explanation from someone as to what this is and what it covers.

ann my mum has to pay extra because they have assessed how much extra care she needs. I think this is arbitrary but there is no disputing this. She is now paying over £1000 a week and all self funding as I had to sell her house.

Plumcushion if you and your brother are willing to pay for your dad's care when his money runs out there isn't an issue. Why would they make you sell the house?
As someone else has said if he has early dementia he could well live at home with carers for a long time to come. However, councils are so stretched at the moment they will look into everything before paying out.

Plumcushion Make sure you and you brother are claiming all benefits for your dad from DLA towards his care at home,we where not told we could claim this benefit for my mum when she showed signs of early dementia it helped towards daily care from carers who went in and made her lunch etc on the days my sister and I where working and could not manage to visit.It was not means tested I don't know if it is still available but I think it is worth chatting to Age UK.

A good solicitor I think.

Certainly you can apply for attendance allowance and if you can prove he cannot be left alone at night you will get the full amount. You can also claim for council tax paid as that is reduced for dementia patients but maybe you and your brother pay that. A lady from AgeUK filled out the forms for us.

The best site for you is Saga (see photo) which guides you through all the pitfalls.
As you father still resides in the property but it is deeded to you and your brother, you are both liable to pay IHT.
To get around this, your father needs to pay you market rent (and have ongoing proof of this) on which you and DB will be liable to pay tax.
There are other pitfalls so please read the whole article thoroughly.

you your

As dragonfly says, if your father pays the council tax he can apply for a reduction by asking for the Living with severe mental impairment' form. He will, though, have to have a formal diagnosis and and be in receipt of Attendance Allowance. Attendance Allowance is not means tested. I don't think DLA applies for people over the age of 65.

Also, asdragonfly says Age uk are best too help you fill in the form's.

DLA has now changed to PIP. Just looked at the age rules and it states if over 65 a new claim would have to be made before the 65th birthday.
I was able to have my husband home with me for 7 years before he had to go to a nursing home but he had a lot of other things wrong as well so may be longer for your dad. Good luck

I think there might be a difference if your brother is living in the house with your Dad and it's your brothers or your only house.

I'd imagine any capital gains tax would have been paid when your Dad gifted the house to you both.

You might get more accurate info from posting or searching for previous threads about this on the mumsnet site.

I'm not sure why people are mentioning inheritance tax and the 7 year rule as none of that has any impact whilst your Dad is still alive.

Additionally - sometimes they may say you have to pay fees but that isn't always the case.