Meet the Other Phone. Child-safe in minutes.

Meet the Other Phone.
Child-safe in minutes.

Buy now

Please or to access all these features

Elderly parents

McCarthy and Stone

4 replies

alicetrefusis · 30/10/2013 11:16

I read on here somehwere about being careful when considering retirement flats, but I can't find it again.

I've just checked the MCccarthy and Stone development closest to Mum. The service charges and ground rent come to £258 a month! This is in the North as well!

Also there is a 1% 'transfer fee' plus a 1% 'contingency fee' when the property is sold on. Having done a little research, it seems that the developers were taken to tribunal over these, but it seems the fees are still in place on that development.

The woman I spoke to assured me they wouldn't chuck her out if she became ill, which I think was another point raised.

Does anyone have any experiences, good or bad, with this developer?

OP posts:
Needmoresleep · 30/10/2013 14:01

Hi. Part of the problem is that there seems to be very little middle ground. You either have to sink substantial sums into a "retirement" living property, or rent through a Housing Association, with the latter often going to current social housing tenants.

You need to get it right. Property can be a lumpy investment, and unpopular/restrictive retirement properties can be very difficult to sell. The worst of all worlds is to be paying care home fees plus hefty service charges on an empty retirement property.

I ended up having to make a decision quickly and without much knowledge of where my mother stood dementia wise. She had always been fiercely independent, but following a fall, was pretty confused. She had liked the look of a new Churchill Retirement Living Development, but the person marketing the property could not answer my questions with any clarity. They in fact never called back so I was left not knowing whether the age restrictions would preclude a 24 hour carer living there, should one be needed.

In the event various professionals gently steered me away and towards somewhere with a 24 hour warden service, a restaurant, laundry service, reception and more. The service charge is closer to £500pcm but allows for huge savings compared with the cost of an external carer coming in or a care home fees. My choice was confirmed by the priest, who knew the development well, and more randomly by a boiler engineer with several customers in the building. Even so I found it quite scarey making such a big decision for someone else, in an area I did not know and where I knew so little about my mothers needs and how they could be met.

My advice would be to ask everyone you can, and think ahead to what might be needed five years hence. You presumably want a move that will both allow a good level of independent living for as long as possible and thus delay any eventual move to a care home till absolutely necessary.

In terms of saleability one way of checking is to search RightMove for your area, looking for retirement properties only. In my mothers area, some are astonishingly cheap - half the price of standard two bedroom flats. Others sell at a premium. Tellingly I then ranked properties by "most" recent. The four listings that appeared to have been on the market longest all turned out to be McCarthy and Stone.

The link you were looking for was www.mumsnet.com/Talk/elderly_parents/1877450-Retirement-living-Downsizing

I posted on that as well. Do look closely at the management company. A quick Google should show up a poor reputation.

There was a Channel 4 Dispatches programme last year "Undercover Retirement Home" I did not see it and don't know if you still can, but I know someone who worked on it and she said it was pretty shocking.

sussexmum38 · 30/10/2013 14:09

Service charges are horrendous for my dad's flat, can't sell it and worst decision he ever made.

alicetrefusis · 30/10/2013 14:15

Thanks Needmore. You are a mine of useful and sensible advice! I've been doing some googling, and what I've read has given me serious pause for thought.

As has the hair-raising scenario you describe - with a hard to sell flat with service charges mounting, plus care home fees to boot! Shock

OP posts:
Needmoresleep · 30/10/2013 17:19

I do go on a bit...

Happy though to say good things about these people:

www.retirementsecurity.co.uk/

Residents control the management company and so have a significant say in the setting of service charges etc.

I personally think that the service charge represents good value for money. And also sympathise with the "transfer fee" as the settling in process took up a lot of management time.

However there will be others on fixed incomes, particularly with interest rates as low as they are, who are constrained by the fact that significant capital is tied up in property.

Buying and selling can also be tricky. It is a specialist market. My mother's development is popular and at times there can be a waiting list (despite a pretty predictable turnover...) When I bought the local property market was very slow. There was apparently plenty of interest in the flat, but many prospective buyers had family homes to sell so could not move. Because of the high service charge the vendor (probate) was keen to sell so I got away with a low offer. Not that much later and the general property market is booming, so people can downsize and Zoopla suggests that prices reflect this.

The move has been a big success, but if money is tight you need to be very careful. Rightmove had 40 retirement properties for sale in my mothers area - none for rent. Yet none of us can really predict what our parents needs will be next year let alone the year after. Flexibility is key. Worth a look for Abbeyfields, Almshouses and other traditional charitable provision. Again ask as many people as you can.

New posts on this thread. Refresh page