Jointly owned homes and care home fees: what councils count

When a jointly owned home is assessed for care home fees in England, the council counts only the share the person in care actually owns, valued at what a willing buyer would pay for that share. The whole home is ignored if a partner, or a relative aged 60 or over or incapacitated, has lived there since before the move. Where a co-owner is unwilling to sell, the market value of the share can fall sharply, sometimes close to nil.

In short

• The council counts only the resident’s beneficial share, assumed equal unless there is evidence of unequal shares (Annex B, Care and Support Statutory Guidance).
• That share is valued at market value, less 10% for sale costs and any mortgage. A share a buyer cannot easily sell is worth less than a simple fraction.
• The home is disregarded if a partner, or a relative aged 60+, incapacitated or a child under 18, has lived there as their main home since before the resident moved into care.
• Councils have discretion to disregard it in other cases, such as a carer who gave up their own home.
• If the share still takes capital over £23,250 in 2026/27, the resident pays full fees, but a deferred payment agreement can avoid a forced sale.

Step 1: who owns what?

Legal title (the names on the Land Registry) is not the whole story. The care means test looks at beneficial ownership: who is entitled to the money if the home is sold.

• If two people own beneficially and there is no evidence of unequal shares, each is treated as owning half.
• If a declaration of trust, the Land Registry entry or other evidence shows different shares, such as 70:30, the actual share is used.
• If someone is a legal owner only, holding the house for another person, Annex B says it must not be counted as their capital at all.

This is common where a son or daughter was added to the title for a mortgage, or where a parent contributed to a child’s purchase. Gather evidence of who paid what. For how ownership type affects inheritance, see our guide to tenants in common and care home fees.

Step 2: is the home disregarded completely?

Before valuing anything, check the property disregards. Under Schedule 2 of the Care and Support (Charging and Assessment of Resources) Regulations 2014, the home must be ignored if it is occupied as their main or only home by a qualifying relative who has lived there since before the person first entered a care home. A qualifying relative is:

• the resident’s partner (spouse, civil partner or someone living as a couple), unless estranged;
• another family member or relative aged 60 or over;
• a relative who is incapacitated (for example getting Attendance Allowance, PIP or DLA, or with an equivalent level of disability); or
• the resident’s child under 18.

“Relative” is widely defined in Annex B, including parents, children, siblings, in-laws, step-relatives, grandparents, grandchildren, aunts, uncles, nephews and nieces. The test is whether it is their main home, not just somewhere they visit. Annex B’s own example: a 62-year-old daughter who stays occasionally to help her father does not qualify because her main home is elsewhere.

If the relative dies or moves into a care home themselves, the disregard ends, but the council must then apply a fresh 12-week disregard. See our 12-week property disregard guide.

The discretionary disregard

Councils may also disregard the home in other situations, balanced against not keeping assets at public expense. Annex B gives the example of someone who gave up their own home to care for the person now in care, or an elderly companion. It also covers a qualifying relative who moves in after the resident entered care, for example after losing their own home through job loss or illness. A move made purely to protect an inheritance should not qualify. If you think the discretion should apply, ask in writing and set out the facts.

Step 3: valuing the share

If no disregard applies, the council values the resident’s share. Regulation 20 of the 2014 Regulations sets the value at current market value, less 10% where there would be expenses of sale, and less any debt secured on it. Annex B says market value is what “a willing buyer would pay to a willing seller”.

That matters for joint ownership. Few buyers will pay much for half of a house that someone else lives in, or that a co-owner refuses to sell. They would need to go to court under the Trusts of Land and Appointment of Trustees Act 1996 to force a sale, with uncertain results. A professional valuer will take those factors into account. In some cases, especially where the co-owner is elderly, settled and unwilling to sell, the share has been valued at a fraction of its “on paper” value, or even close to nil.

Annex B says councils should try to get an independent valuation of the beneficial share within the 12-week disregard. If you disagree with the figure, ask for a precise valuation; the guidance says one should be obtained where there is a dispute.

Worked example

June, 84, owns a £280,000 house in Hampshire jointly with her son Rob, 52, who has lived with her for ten years and cared for her. June has £9,000 savings and moves into a care home.

• Mandatory disregard? Rob is under 60 and not incapacitated, so no.
• Discretionary disregard? Rob gave up his rented flat to care for June. The council could use its discretion. If it does, June’s share is ignored and she has £9,000, below £14,250, so she pays from income only, keeping a Personal Expenses Allowance of £31.80 a week.
• If not disregarded: June’s half on paper is £140,000. But a buyer of her share would face Rob living there and refusing to sell. A valuer puts the share at £45,000. Less 10% gives £40,500, plus £9,000 savings, so £49,500. She pays full fees until her capital drops to £23,250. A deferred payment agreement may be possible, although the council must get Rob’s consent to a charge on the property.

Use our funding checker to see where a parent is likely to fall.

When the co-owner is unwilling to sell

A council cannot force a joint owner out of their home simply to pay the resident’s fees. What it can do is value the resident’s share and charge on that basis. If fees go unpaid, it can take court action to recover the debt and may then seek a charging order against the resident’s share, which is usually paid when the property is eventually sold. Families should know:

• The resident remains liable for fees above what the council pays, if their capital is over £23,250.
• Deferred payments on jointly owned homes need every owner with a beneficial interest to agree, and the co-owner must agree not to object to a sale to repay the debt.
• Selling or transferring the resident’s share cheaply to the co-owner can be treated as deprivation of assets. There is no 7-year safe period; see the 7-year rule myth.
• If the resident lacks capacity, any sale of their share needs an attorney or deputy. See LPA or deputyship.

For what happens to the debt later, see unpaid care home fees after death.

Mistakes to avoid

• Accepting a 50% valuation without question when a co-owner lives there.
• Not asking for the discretionary disregard where a relative gave up their home to care.
• Assuming a relative under 60 automatically protects the house.
• Putting the house into a trust to “fix” the problem. See putting a house in trust.

Scotland, Wales and Northern Ireland

All three nations disregard a home occupied by a partner or certain relatives, with broadly similar qualifying rules, and value jointly owned shares at market value. Wales has a higher capital limit of £50,000 for residential care. Scotland contributes towards personal and nursing care costs, with accommodation still means-tested. Ownership law in Scotland is different, so get local advice.

Frequently asked questions

Do councils count a jointly owned house for care home fees?

They count only the resident’s own share, not the whole house, and only if no disregard applies. The home is ignored entirely if a partner, or a relative who is 60 or over, incapacitated or under 18, has lived there as their main home since before the move into care.

How is a half share of a property valued for care fees?

At its market value: what a willing buyer would pay for that share, less 10% for sale costs and any mortgage. Because a buyer would have to share with the other owner, a half share is usually worth much less than half the house, especially if the co-owner lives there and will not sell.

Can the council force the sale of a jointly owned house?

Not simply to pay fees while a co-owner lives there. The council values the resident’s share and charges accordingly. If fees go unpaid it may go to court and seek a charging order against the resident’s share, which is usually repaid when the home is eventually sold, often after the co-owner moves or dies.

Is the house disregarded if my brother lives there?

Yes, if your parent’s home has been your brother’s main home since before your parent went into care and he is 60 or over or incapacitated. If he is younger and not disabled, the council may still use its discretion, for example if he gave up his own home to provide care.

What is the discretionary property disregard?

It lets a council ignore the home in cases outside the mandatory rules. Annex B gives the example of someone who gave up their own home to care for the person now in a care home, or an elderly companion. Ask the council in writing and explain the circumstances.

What if I am on the deeds but my parent paid for the house?

The means test looks at beneficial ownership. If you hold your share only on paper and your parent paid for everything, the whole beneficial interest may be your parent’s. If you contributed, gather evidence; Annex B says shares are assumed equal unless there is evidence of unequal ownership.

Sources

• Care and Support Statutory Guidance (Annex B capital, Annex E deprivation of assets), GOV.UK
• Care and Support (Charging and Assessment of Resources) Regulations 2014, legislation.gov.uk
• Joint property ownership, GOV.UK
• Residential care capital limit in Wales, GOV.WALES

General information, not legal or financial advice. Figures for 2026/27, checked October 2026.

Reviewed by The Care Panel team on 29 October 2026. This guide is general information about care in England, not legal, medical or financial advice. Rules and rates change; check with your council or an adviser before making decisions.