Mother in home. What to do re house ?

[Grinchly]

Hello

Mother, 88, with lots of chronic health issues ( heart failure, AF diabetes, etc as well as Alzheimer's ) is now in a care home.

This has been coming for some time. Was propped up at home with carer visits but no longer sustainable.

She's self funding. I have EPA and have ensured there's plenty of ready cash so no urgent need to sell the house.

My dilemma is: do I sell the house for her now and invest the proceeds (wibble) or wait perhaps till next Spring when Brexit things may be clearer? Or get tenants in?

It's in a desirable area and well maintained and should sell reasonably quickly. I've had it valued by three agents and also asked advice re letting to at least provide her some extra income.

They all recommend if letting, I replace the bathroom ( it is very bad) and maybe knock down wall between bathroom and separate loo to make it rentable. But that will cost several thousand K.

Solicitors have suggested I may need permission to do this from Court of Protection, and even to let it I should check with them.

My instinct is to leave it till next year, turn off water, arrange vacancy insurance and check every week when I visit.

But by then the economy and the housing market could have gone to hell in a handcart.

What would you do?

Thanks in advance

Ooh yes, have got three agents in already. Consensus was only do the work if thinking of letting.
Valuations varied by almost 10%
Sellers' market for that type of property in that area currently.

I really dont know if you need permission to sell. My solicitor says not (my late dad bought several rental properties which really ought to be sold) but the Land Registry makes the decisions and could require you to have CoP permission.

In our case we bought a flat near my mums and it made sense to borrow money from her rather than take out a mortgage. We deliberately did everything above board. The loan was secured against the property and the interest rate was fixed midway between what she was getting and what we would pay. It was also repayable on demand, so apparently more flexible than a long term bond.

We decided to repay, in part to increase her liquidity but also in case we need to remortgage quickly to pay IHT.

Blow me. The Land Registry want CoP permission to repay the money and lift the charge (all done, like the original loan through a solicitor). The argument is simple. The old lady should have her money in a more liquid form. But the forms and phone guidance were unintelligible. We engaged a trusted and efficient solicitor but despite his regular reminders we are 9 months and counting. And this is just a paper application. I would hate to have to do something more complicated.

Luckily there is no urgency. I don't mind the Land Registry getting more fussy. A house is usually a persons major asset, and I am sure there have been a few instances where a sale was not in a persons best interest. However their tightening up plus the snail like pace of the CoP is a difficult combination.

I don't understand how or why the signature of a person who doesn't have capacity is even deemed useful?

I know.

She is very distrustful so could easily refuse. And no way would she understand the context.

Luckily the solicitor knows her so understood why I got nervous. (I felt like a
criminal telling a solicitor how to manipulate my 90 year old mother.) He felt the requirement was met by him 'explaining' the paperwork to my mother and leaving the carer to decide the best time to grab a signature. (DM hates being asked to sign as she is forgetting how to write. She may not have been willing to do so in front of a stranger.)

If the CoP don't understand how disabling dementia is, what hope have we. Four years ago I had to get their permission to act for her in some property litigation, so they already have GP paperwork etc that confirms she does not have capacity.

I have diverted the thread a bit with my ranting. But CoP are slow. Unfortunately my mums affairs are seriously complicated, and I would love to simplify them, but can't stomach going through CoP again, so may have to wait for probate. She may well live another decade. And will struggle for liquidity if any of the proposed 'mansion' taxes are introduced.

Sell it.

Another voice warning you off letting the house. It's not for the amateur anymore and you probably have enough on your plate managing your mum's affairs as it is.

If it's a nice house in a desirable area what's stopping you from putting it on now to test the market? You aren't in a hurry to sell and you're not in a chain so you have a very favourable position.

Sorry about your mum.

Trivial in the bigger picture, but if it remains empty there may be Council Tax implications. Councils do anything from charge no Council tax on an empty property through to charging double.

Hello again

Council Tax sorted. Much to my surprise it's reduced to virtually nothing!

Am going for a fourth valuation, then it will be on the market