Protection Property Trusts

[hawk3y3]

Has anyone any advice on protection property trusts? Are they worth taking out to protect one's home should either partner need long term care, to stop charges being made against their property. I cannot believe that the government hasn't tightened up this loophole if the adviser who came to see us is to be believed. He said it was the only way to protect our home from care home fees should either of us need care in the future. He quoted a fee of abou £550 to write up a trust for us. Am I being too sceptical? I would be interested to hear any comments.

[buildersmate]

I'd never heard of such a thing, but you can be sure you are being sold a solution to a problem that doesn't really exist.
It is true that if a householder has to go into a council-run carehome, then their home might have to be sold eventually to pay the fees. But this NEVER happens whilst there is still one partner still needing / wishing to live in the house! It only ever happens when the surviving partner doesn't need the house.
Once there is only one partner left (and he/she needs to be in a council carehome), what does it matter if the house has to be sold? - except perhaps to offspring or others who were anticipating an inheritance.
The way that a local authority assures the reimbursing of their carehome fees is to place a legal charge on the property - but they only take a value to the extent of the fees incurred - not the whole value.

[milliezoe]

I fully intend selling my property to my son in the very near future I would be very wary of PPT sounds like a bit of a scam to me

[Emm_Pet]

Our house was in joint names.
Last year, we had it put so that we owned half of the house each.
We than made new wills. We each left our half share of the house to our daughter.
If one of us had to go into care, then the other would remain in the house.
If that one then died, daughter would inherit that half of house.
So, only half of the value would have to go toward care home fees.

I believe the law has now been changed, and there can be no new applicants for this.

[buildersmate]

All-in-all an interesting read, but of no relevance to this question.
What you refer to is 'tenants in common' as the alternative to 'joint tenants' as a means to beneficial ownership.
And 'tenants in common' was still very much on the statute book the last time that I looked.