Will I have to sell my house to pay for care in Scotland?

In Scotland, a parent will only need to sell their home to pay for care if they move permanently into a care home, nobody protected by the rules still lives there, and they choose not to use a deferred payment agreement. The home is never counted while someone receives care at home, and it is ignored for the first 12 weeks of a permanent care home stay. Even when it counts, free personal and nursing care payments of up to £377.40 a week still reduce the bill.

In short

• The home is never counted for care at home, or while a care home stay is temporary.
• It is ignored for the first 12 weeks of a permanent care home stay.
• It is ignored indefinitely while a spouse or partner, a relative aged 60 or over, or an incapacitated relative lives there.
• If it counts, it usually takes capital over the 2026/27 upper limit of £36,750.
• A deferred payment agreement lets fees be repaid from the sale after death, interest-free until 56 days after death.
• Free personal care (£260.30 a week) and nursing care (£117.10) are paid regardless of the house.

When the house counts and when it does not

Scottish councils follow the Charging for Residential Accommodation Guidance (CRAG), not England’s Care Act 2014. Under CRAG the home is only relevant when someone moves into a care home permanently.

If the stay begins as temporary and becomes permanent, the home stays disregarded throughout the temporary period, and the 12 weeks start from the date the stay is confirmed as permanent.

Care at home: the house is safe

When a parent receives care in their own home, the value of that home is not counted. Personal care, such as help with washing, dressing, eating and medication, is free for anyone the council assesses as needing it. Councils can charge for other services, such as housework, meals or a community alarm, but national COSLA charging guidance prevents them from counting the value of the person’s home. For many families this is the deciding factor in staying at home for longer. Our guides to dementia care at home and live-in care vs a care home help with that comparison.

The 12-week property disregard

When someone moves permanently into a care home and the council takes on the arrangements, the value of their former home is ignored for the first 12 weeks. The rule applies whatever other capital they have, although savings above the lower limit of £22,750 still affect what they pay during those weeks. If the home is sold within the 12 weeks, the disregard ends on the sale date.

If a resident leaves permanent care during the 12 weeks and returns within 52 weeks, they get the rest of the disregard. If they return after more than 52 weeks, they get a fresh 12 weeks. The disregard can be claimed up to 12 weeks after admission, and a council delay in processing it does not take away the entitlement. Use the time to decide on selling, letting or a deferred payment agreement.

Who can live in the home and protect it

The value of the home is ignored indefinitely while it is lived in by:

• the resident’s spouse, civil partner or partner, unless they are estranged or divorced;
• a relative aged 60 or over;
• a relative who is incapacitated;
• a child under 16 the resident is liable to maintain.

“Relative” is widely defined. It covers parents, children and in-laws, step-relations, siblings, grandparents, grandchildren, aunts, uncles, nephews and nieces. A relative counts as incapacitated if they receive a disability benefit such as Adult Disability Payment, Pension Age Disability Payment, PIP or Attendance Allowance, or if their needs are at a similar level.

Worked example (illustrative figures)

Jean, 84, moves permanently into a care home in Fife. Her daughter Alison, 62, has lived with her for six years. Because Alison is over 60 and lives in the home, its value is ignored for as long as she stays. Jean’s £14,000 of savings is below £22,750, so her contribution comes only from her income, less the personal expenses allowance of £37.65 a week. If Alison later moves out, the council can begin counting the home.

The council also has a discretion to ignore the home where someone else lives there, for example a long-term carer who gave up their own home or an elderly companion. Ask in writing and explain the circumstances.

Deferred payment agreements

A deferred payment agreement lets the council pay the part of the fees that would otherwise come from the value of the home, and recover it later. It has been available in Scotland since 1 July 2002 under the Community Care (Deferred Payment of Accommodation Costs) (Scotland) Regulations 2002. To qualify, your parent must:

• be assessed as needing a care home place;
• have £22,750 or less in capital, not counting the home;
• have a home that is not already disregarded;
• not wish to sell, or be unable to sell quickly enough;
• be able to grant the council a standard security over the home.

The debt is interest-free until the agreement ends or 56 days after death, after which interest can be charged at a rate the council sets in line with Scottish Government directions. Councils have discretion over deferred payments, including whether any top-up can be deferred, so ask for their written policy. Rent from letting the home counts as income. The free personal and nursing care payments still apply, which reduces the amount that builds up as a debt.

Jointly owned property

Where the home is owned jointly, CRAG values only the resident’s beneficial interest, not the whole house. That interest is worth what a willing buyer would pay for it. If the co-owner is a relative who will not buy the share, it is unlikely an outsider would, and the value can be very low or even nil. A professional valuation should be obtained if the figure is disputed. If the co-owner is a spouse or partner who still lives there, the question does not arise because the home is ignored completely.

Giving the house away: deprivation of assets

Transferring the home to children to avoid care charges rarely works. CRAG lets the council treat a resident as still owning an asset they gave away if avoiding care charges was a significant reason, even if not the main one. Examples include transferring title deeds, putting the home into a trust that cannot be revoked, or making large gifts. It is for the resident to show the asset has gone and why.

• No time limit. The seven-year rule applies to Inheritance Tax, not care charges. A gift made at any time can be examined.
• Timing and health matter. A transfer made while your parent was fit and well, with no foreseeable need for care, should not normally be treated as deprivation.
• The six-month rule. If the home was transferred within six months before your parent entered the care home, or while living there, the council can use section 21 of the Health and Social Services and Social Security Adjudications Act 1983 to recover the charges from the person who received it.

Get independent legal advice from a Scottish solicitor before any transfer. Our general guides to deprivation of assets and the 7-year rule explain the principles, but they describe English rules and Scottish councils apply CRAG.

Who decides if your parent cannot

Selling, letting or securing a home needs legal authority if your parent lacks capacity. In Scotland that means a continuing power of attorney registered with the Office of the Public Guardian (Scotland), which costs £99 to register from 1 April 2026, or a guardianship order from the sheriff court under the Adults with Incapacity (Scotland) Act 2000. Put one in place while your parent can still sign it.

For the full picture of capital limits, personal allowances, Self-directed Support and Care Inspectorate grades, read our main guide to paying for care in Scotland. If your parent has dementia, choosing a dementia care home covers what to look for. Families with relatives elsewhere can compare Wales and Northern Ireland.

Frequently asked questions

Will I have to sell my house to pay for care in Scotland?

Not always. The home is ignored if care is at home, during a temporary care home stay, for the first 12 weeks of a permanent stay, or while a spouse, partner, relative aged 60 or over or incapacitated relative lives there. Otherwise its value counts, but a deferred payment agreement can mean it does not have to be sold during your lifetime.

Does the council take your house if you go into a care home in Scotland?

No. The council does not take ownership. If the home is counted, its value is included in the financial assessment and usually takes capital above £36,750, so the resident pays full fees less free personal and nursing care payments. Fees can be paid from a sale, rental income or a deferred payment agreement.

Is the house counted if my mum gets care at home in Scotland?

No. When someone receives care in their own home, the value of that home is never counted in the council’s charging assessment. Personal care at home is free if assessed as needed, and any charge for other services is based on income and savings only.

Can I give my house to my children to avoid care home fees in Scotland?

If the council decides a significant reason for the gift was to reduce care charges, it can treat your parent as still owning the home. There is no time limit on this. If the transfer was within six months before entering care, or while in care, the council can also recover charges from the person who received it.

What happens to a jointly owned house when one person goes into a care home in Scotland?

If the other owner is a spouse or partner who still lives there, the home is ignored. Otherwise only the resident’s share is valued, at what a willing buyer would pay for that share. Where the co-owner is a relative who will not buy it, that value can be very low or even nil.

Is there a deferred payment scheme in Scotland?

Yes. Since 1 July 2002 councils can defer the part of care home fees that comes from the value of the home, if other capital is £22,750 or less. The council takes a standard security over the property. The debt is interest-free until the agreement ends or 56 days after death.

Sources

• Charging for Residential Accommodation Guidance, March 2026 (published by Renfrewshire Council)
• The National Assistance (Assessment of Resources) Amendment (Scotland) Regulations 2026
• The National Assistance (Sums for Personal Requirements) (Scotland) Regulations 2026
• The Community Care (Personal Care and Nursing Care) (Scotland) Amendment Regulations 2026
• The Community Care (Deferred Payment of Accommodation Costs) (Scotland) Regulations 2002
• Health and Social Services and Social Security Adjudications Act 1983, section 21
• Office of the Public Guardian (Scotland): fees

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.