Residential care costs and your home
Deferred payment agreement
A deferred payment agreement is a loan to pay for care home fees which is secured against your property. It may be suitable if you can not afford residential care because most of your money is tied up in your home.
You can apply if:
- you are a homeowner with less than £23, 250 in capital (savings and assets), other than the value of your property
- there isn't anyone else living in the property, such as a spouse, partner, child or a relative aged 60 or over
- you have been assessed as needing long-term care in a care home
How it works
The council will pay for your care until you sell your home, or you pass away. You'll pay back the loan at the end of the agreement. Interest is charged on the loan and other charges apply – including set up and administration fees.
Find out more in our factsheet:
Please contact us if you have any questions.
12 week property disregard
We do not include the value of your home for the first 12 weeks you are in residential care. This only applies if you have less than £23, 250 in capital, other than the value of the home you live in.
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