When did the presumption of moving into a care home in later life became the accepted path, even if unwillingly? Thanks to enhancements in homecare, financial flexibility and enlightened thinking, this trend is now reversing, offering people more agency, stability and comfort. Experienced Later Life mortgages adviser Rachel Gill explores the full range of options for living your later years in comfort and security.
Up until the twentieth century, it was almost unheard of to spend your later years anywhere but home, often as part of a multi-generational household. Still the norm in many countries and societies, Britain has gradually outsourced later life care to the social sector.
Often coinciding with younger generations moving across the country, or even the world, for work, the care home (once convalescent homes) have increasingly become the accepted destination for one’s later years, with a growing variety of retirement living complexes providing a stepping stone between independent living and 24-hour care.
For many people, it’s the perfect fit. For many others, it is not. Working in the mortgage and estate planning sector for over 30 years, I’ve realised “the right choice” is as unique as the backgrounds, life experiences, character, preferences and idiosyncrasies that make us the complex, interesting individuals we all are.
My increasing passion is ensuring people know the options open to them; going down a path because you feel there are no other options, or without complete information, is to me an unfairness I’m determined to fight! Perhaps also because every year brings greater clarity of the life choices that lie ahead of me, and the decisions I wish to have in making mine (I’m quite looking forward to making my children roll their eyes at my stubbornness!).
I’m fortunate to be working in an age where there are more quality choices and support for later life than ever before, including a mortgage sector which accommodates for our longer lives and preferences. Now there are a wealth of flexible options as we travel through life, and no fewer at the time when comfort and peace of mind should be paramount. Let’s consider a few:
Staying in Your Own Home
For many of us, remaining in our own home, sometimes referred to as “aging in place”, is the preferred option. Benefits include independence and familiarity; the ability to maintain routines, friendships and social connections in a familiar environment. The emotional attachment to one’s home, community, and personal belongings cannot be overestimated as a contributor to our identity and well-being. Advancements in tailored home care services, from occasional visits to comprehensive 24-hour support, make this comfortable solution more cost-effective than the rising costs of residential nursing home care.
Sharing with Family
For millennia the natural choice, living with your family can provide support and daily companionship as well as care. Living expenses can be shared, with family members providing assistance with daily activities, medical needs, and transportation. The dynamics of living multi-generationally need important consideration; from shared bathrooms and those small (at first!) habits, to the emotional strains that can build when providing a level of care and family dynamics overlap, without professional safeguards. Moving out of your home community could lead to feelings of isolation, but living with family can build enriching relationships between generations.
A Family Annexe
The “Granny Flat” can be a good compromise between family proximity and care, with everyone retaining their own personal space. The main obstacle is usually cost; for those of us without the luxury of a spare wing to assign to Grandad, a suitably appointed extension is a significant expenditure, if we have the space (and neighbours who will look kindly on the planning application). Clear communication is also required beforehand to establish the level of contact or over-familiarity versus independence or unintended isolation: open door policy or invitation only? All family meals together, or no noise after 9pm, please?
Social, Community and Care Housing
From community or sheltered accommodation to a full care or nursing home, there is a wide range of choices for living at a variety of levels of oversight, assistance and care. With an abundance of retirement living complexes starting at 55 and over, many find the option of downsizing while still active and mobile appealing; able to build up a network of friendships and participate in many communal activities. Buying your own apartment offers options for lifetime mortgages in later years, ensuring continued living within your community. Care and nursing homes provide comprehensive care when it is needed, however concerns can include a varying range of care, disruption if a home closes or cannot provide the higher level of care later required, as well as removal and isolation from community and friends.
Lifetime Mortgages: Freedom to Stay in Your Own Home
Modern lifetime mortgages (also known as equity release) are enabling increasing numbers of homeowners, typically aged 55 and over, access to all the benefits and wellbeing of staying in their own home and community. Unlocking the value tied up in your property without having to sell it enables the right level of care to be put in place, from daily visits to 24-hour care from dedicated, caring professionals like Promedica24. Most lifetime mortgages do not require interim repayments: the loan is repaid when the home is sold, making it a more manageable option for retirees with limited income. Retaining the right to live in the property for life, or until you decide otherwise, ensures ultimate peace of mind. Some plans allow a portion of the property’s value to be ring-fenced, guaranteeing those I talk to who are understandably concerned about leaving something for their family a guaranteed inheritance for loved ones, in addition to any excess between the loan repayment and increase in property value over time.
Your Choice: Protected
While better for all, I know more freedom and choice can feel a lot to consider, but it’s not one you have to do by guesswork.. A quick and easy check will also confirm your adviser is registered with the Equity Release Council https://www.equityreleasecouncil.com/members-directory/ (you’ll find me there, and my two Later Life qualified Aspect colleagues Richard and Neil).
Feelings and wishes are as important to me as knowledge and qualifications, so any of my chats are conducted in a way that suits my enquirer: in your home, location of choice, over Zoom, or in our friendly local neighbourhood office, and definitely over a cuppa wherever possible! Keeping a keen eye on the best deals and providers, we can talk you through all the options and see which is right for you: now or in years to come, it’s good to know your choices.
Rachel Gill BA (Hons) CeMAP CeRER
Director
Aspect Mortgages
14-16 St Thomas’s Road
Chorley
Lancashire
PR7 1HR
www.aspectmortgages.co.uk
Contact Us: 01257 812345
Email: [email protected]
Aspect Mortgages is authorised and regulated by the Financial Conduct Authority.
A Lifetime Mortgage may reduce the value of your estate and could affect your entitlement to benefits. To understand the features and risks please ask us for a Personalised Illustration.
