From: JimVVVVV@nospam.com (James V)
Newsgroups: uk.finance
Subject: Which type of income-providing investment?
Date: Tue, 26 Oct 2004 15:02:58 GMT


Here's the score: My 90-year old mother lives in a house left in trust
by my late father. Due to her age she'll soon need to move to
sheltered accommodation. The trustees (family members) want to sell
the existing house and invest the money to provide (hopefully) enough
income to pay for rented sheltered accommodation for my mother. The
house is valued at £300,000. Which type of investment would be
appropriate? How much income can be got from a secure investment of
that size without eating into the capital sum? 

It's possible that my mother might die in the near future, in which
case we'd want to liquidate the investment and divide it up betwen the
beneficiaries of my father's will. The fact that she's likely to die
within the next five or ten years is one reason why I'm inclined to
suggest they rent the sheltered acommodation rather than buy it. The
other reason is that if we rent the sheltered accommodation, it will
be easier for her to move if she finds she's not happy there or needs
to move somwhere with a greater level of care at some stage.

Thank you for any advice

Jim V