Care Costs: Must You Sell Your Home to Fund Your Care?

A proposal by German politician Albert Stegemann that individuals must sell their homes to finance long-term care costs before public funds are used has sparked debate.

Stegemann, a deputy leader of the Union parliamentary group, argued against a "protection of inheritance program at the expense of the general public." His idea immediately faced criticism from the SPD party and various social welfare associations. Meanwhile, Federal Health Minister Nina Warken (CDU) is currently developing a comprehensive care reform, leaving many citizens anxious about its potential implications for their families and financial security.

Under current German law, if a person's nursing insurance benefits, income, and existing assets are insufficient to cover care costs, they can apply for "assistance with care." This applies to both home care and, more commonly, care provided in nursing homes. The social welfare office assesses available assets that must be used first. This can include requiring the sale of a previously owner-occupied house or apartment. However, exceptions exist, such as when a spouse continues to reside in the property.

The core concern for many is the potential forced sale of their homes, which are often seen as a primary form of retirement savings or an inheritance for the next generation. Questions arise about the feasibility of quick sales when funds are urgently needed and the broader implications for families who view their property as a crucial part of their long-term financial planning. The publication is seeking personal experiences and concerns from individuals facing or fearing this situation.