Incidentally, writing your Will in this way also protects your half of the house if your spouse remarries or goes bankrupt after your death – this ensures that your children rather than your spouse’s new step-children inherit your assets.

For example, if you have a defined benefit pension that will provide you with sufficient income in retirement, but also a defined contribution pot that you don't need, then there could be an argument to use some of the defined contribution pot. See what you could borrow with This is Money's carefully selected mortgage partner Lifetime mortgages If your father in law has a partner who would be remaining in the property, then the value of his main home would not be included in the financial assessment for permanent residential care. This is called a Mandatory Property Disregard. This would also apply if there was a family member who is over-60 or assessed as incapacitated who would be remaining living in the property.Key's Dean Mirfin said: 'Collectively the Bank of Mum and Dad is a major UK financial institution but one that needs advice and guidance so that parents feel empowered to make the right financial decisions for themselves and for the next generations. However, if you have more than one pension pot, cashing some of your pension in might be an option. However, from what you’ve said, a mandatory property disregard would apply due to your sister being regarded as ‘incapacitated’ (whatever her age). Even if your sister works, she should still be regarded as incapacitated if she receives Disability Living Allowance.

This is called a ‘mandatory property disregard’ and it applies while a ‘qualifying person’ lives in your aunt’s home. Alzheimer’s Society is really conscious of the unfair disadvantage people with dementia face with care costs and we campaign for social care reform. Here is some information on our Fix Dementia Care campaign if you would like to read further: https://www.alzheimers.org.uk/get-involved/our-campaigns/fix-dementia-c…Age UK has a factsheet on Paying for a Permanent Care Home placement that you may find useful: https://www.ageuk.org.uk/globalassets/age-cymru/documents/information-g… GSK is 'firing on all cylinders' after new vaccine boost: Profits jump seen as proof boss Emma Walmsley's turnaround plan is working Without knowing the full content of the Wills you made it is difficult to be specific and you should not take my views as personal advice.

Earlier this year the Post Office launched its 'family-link' mortgage, which works by giving the first-time buyer a 90 per cent loan-to-value mortgage secured against the property they're buying plus an interest-free five-year loan secured on a close relative or parent's home. If they get divorced or go bankrupt or even die, your house is part of their assets and who knows what might happen However, there are other pitfalls involved in simply gifting your house to your children. These range from the problem of one child dying, divorcing or going bankrupt while still owning a share of your property to the children or ‘throwing out’ the person owns the house. Very importantly, when the children come to sell the house there would be capital gains tax to pay on any rise in the price of the property.If you are extending your borrowing, lenders will often want to know what you are using the money for, and bear in mind that the application process could well be harder than the last time you were looking for a loan, as mortgage lending criteria has been tightened since 2014. Second charge mortgages