Have you protected your estate for your blood line?
In a will you can name guardians for your children
Have you made a Lasting Power of Attorney?
Partners living together really do need a will
Why you should make a will.
With a property trust
A concern for many people is that if they become ill and have to go into “care” later in their life then their home will have to be sold to pay for that care.
Although the government is always announcing schemes to alleviate this worry, it may not be all that it seems. I think all the dozens of ideas they have come up with will never materialise. I feel that homes will always have to be sold to pay for care. Currently about 50,000 house are sold per year to pay for care charges.
A property protection trust helps to avoid a lot of this and works in this way. A couple normally own a house as “joint tenants” which means the ownership automatically passes solely to the survivor on the first death which leaves it vulnerable to charges should this survivor become ill.
If the ownership is changed to “tenants in common” it means that they can now own the house 50% each and it can be “willed” separately. Simply put the first person to pass on leaves their 50% into a trust fund which will eventually go to the children or chosen beneficiaries. If the survivor then becomes ill the house cannot be sold because there is a co-owner namely the trust fund.
This makes 50% of the property totally safe from care charges. With a power of attorney for “Property and Affairs” your beneficiaries can rent the house and pay towards some care charges as the local authority will build up care charges against the second 50%. This rental will go part of the way towards these charges and help preserve a proportion of the second 50%. It could be a considerable proportion of it depending on the rental value of the property.
But the first 50% is 100% safe.
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