By John Cossons, Equity Release Adviser
Home care is an attractive alternative to residential care and is often preferred by those who have a lower level of care needs and wish to remain in their own home. Home care is available at varying levels for differing care needs. Yet like any form of care, there are financial implications and although the cost of home care is usually less than residential or nursing care, the money you spend can still mount up over time.
So what is the cost of Home Care?
The average cost of home care is between £18 – £20 per hour.* So, if you require 2 hours of care a day at £18/hour this equates to around £1100 per month or just over £13,000 per year.
Home Care case study
I have recently completed a case for some clients, who act for their parents through a power of attorney, who did not have the available funds to pay for their parents’ home care. They did not want their parents to go into a care home and felt that they would be far better off staying in their own home.
Having exhausted all their options through the local authority and the NHS, I was able to help them raise £70,000 to cover the cost of the immediate care needs by arranging a fixed rate lifetime mortgage against their parents’ home.
How does a Lifetime Mortgage work?
There are no repayments required and their parents still own their own home. They can remain there until the last one can no longer be cared for at home or passes away.
Furthermore, the estate is protected by the “No Negative Equity Guarantee”, so should the value of the property fall below the outstanding loan balance there will be no nasty shocks when the property is sold.
*UK Care guide
How Anstee & Co can help you with later life care.
We are a firm of Independent Financial Advisers. This means that the advice we offer is unbiased. We will look at all the financial option open to you, not just Lifetime Mortgages. We have a dedicated Later Life team who specialise in this area.
The initial fact-finding meeting is free and without obligation. So why not arrange an appointment today.
A meeting can be arranged at a time and location that is convenient for you. This can be at your home, in the evening or at weekends. Involving your family in what you are planning to do is recommended.
- Kettering, Northamptonshire
- Stamford, Lincolnshire
- Towcester, Northamptonshire
- London, Pall Mall
- Birmingham, Snow Hill Queensway
Additionally, our team of equity release advisers live and make use of meeting rooms in-
- Bedford, Bedfordshire
- Droitwich, Worcester
- Market Harborough, Leicestershire
- Northampton, Raunds and Wellingborough in Northamptonshire.