Property and Asset Protection Trusts by Heritage Wills
Helping to safeguard some of your assets from future care fees
Protect Your Beneficiaries with a Home Protection Trust
At Heritage Wills, we do a lot more than write effective wills for our clients across East Anglia and the South East. One of the additional services that we offer covers the drawing up of legally binding property protection trusts. A property protection trust, as mentioned above, is a legal instrument that places your share of the family home into a trust for your children should you pass away before your partner. The reason such trusts are becoming increasingly popular is due to the fact that should the remaining partner require residential care in later life, the government will force them to use any assets they have before they are provided with financial assistance. By setting up an asset protection trust that covers your half of the family home, you can make sure that your children or other beneficiaries will at least still receive the proceeds from 50% of your property, whatever may happen in the future.
Increase your family’s chances of benefitting from your home
Aside from the dangers of dying intestate (see our Will Writing page), it’s increasingly likely that unless you make plans now, your beneficiaries could end up with a reduced payout if you or your partner need residential care later in life.
Currently, anyone with more than £23,250 in assets – which includes the family home – is not eligible for any state help with their care fees. Even if you don’t have the cash readily available the authorities can place a charge against your property, allowing them to recover the monies owing when it’s eventually sold – in some cases they’ve become the sole owner of elderly people’s homes.
The solution – a property trust
A Property Trust from Heritage can only be created whilst both partners are alive and hold property as Tenants in Common. The Trust instrument is then included in both Wills
but does not come into force until after the death of the first party.
At this point their share of the property - typically 50% - is placed into the Trust for the benefit of their chosen beneficiaries, while the surviving partner remains living in the property. On the partner’s death the Trust ends and the property passes to the beneficiaries
It may sound a little complicated but our professional advisers will guide you through the process – all from the comfort of the very home that you want to safeguard, at a time that suits you.
Why You Should Set Up a Property Protection Trust Will Now
Very few people enjoy dwelling on their own mortality, or their spouse’s, but the simple fact of the matter is that property protection trusts can only be set up while both owners of the family home are alive. If you leave it too late, there will be very little that you can do. Contact us today and one of our property trust experts will explain all the details to you and answer any questions you may have. Once the trust has been set up, we will make sure it is referenced in both your will and that of your partner, to ensure it is enforceable in law.
The level of capital you own (including your home), above which your local authority won’t provide care
If you are still not quite sure how property protection trusts work or whether they are the right choice for you and your spouse, please feel free to contact us at any time. We have a great deal of experience with this category of legal instrument and will be more than happy to help you design a family protection trust that meets your needs perfectly. Protect your bequests with expert legal advice from the local specialists.
Shelter your home from care fees for the benefit of your loved ones - contact us