Implications of moving in with elderly mother

[Squashpocket]

My elderly mother has a large family home that she is now alone in. We are considering selling up and moving in to her home. What would be the implications?

It would be me, my husband and 2 small children.

We would bring about £150,000 equity with us. There would be no mortgage to pay. We were considering using the money to build an annexe for my mother - attached to the house.

I am an only child. My mother sees this as a way for her to stay in her own home and company for her as she gets older.

I know future care needs are potentially an issue - My mother has £4000/month in pension which could be used, but I don't know whether this would be enough? There's nothing wrong with her now - she's 75 and sprightly. There's no history of great longevity in our family but she could outlive us all.

The benefits to us would be a bigger house than we could afford on our own. Proximity to better schools and possibility of affording private schooling for the kids. Obvious downside would be what happens if we fall out or my husband and I divorce.

Has anyone done this and it not turned out to be a disaster?

You mum may be healthy now but if she becomes frail would you look after her at home. It could be a childhood of
Commodes etc for your children.

This is a major long term commitment. Contact age uk or carers association for advice. Could be seen as deprivation of assets.
Make sure legal stuff is water tight. And read the cockroach cafe thread for life wrangling elderlies… the vets on there will tell you the reality.
Life can turn on a sixpence. A fall, diagnosis is….. happens so fast.
Eyes wide open…….

But she wouldn’t be staying in her home would she?
She would be in an annexe, it would be hard for all of you to adjust to the fact that it’s your home now.
Plus I agree that all the legal need to be watertight

I think there was a post awhile back that said someone had done something like this before . They like you put some money in for extensions / granny annexe .
When the parent died . The new value of the house incurred a higher inheritance tax to be paid . I also think if she gifts you the house she will need to survive 7 years before it is disregarded.
You probably need a solicitor to see if there will be any hidden problems.

OP, read your way through the Elderly Relatives board on here, and make a note of all the advice.
You would do well to consult Age UK, a lawyer, and a financial advisor.