A family agreement is an arrangement made between an older person and another party, usually family, friends or carers. The older person agrees to sell or transfer their home, assets or large amounts of cash to relatives in exchange for accommodation and current or future care. Family agreements can take a number of forms and are often verbal.
This resource also includes a relevant case study:
Kim-Ly decided to sell her home. With the proceeds she paid for an extension to her son Trang’s house so that she could live there with him and his wife, Lilly. Kim-Ly also gave Trang $100,000 to assist him expand his business. The arrangement worked well for three years. Then Trang’s business went bust and his marriage broke down. The home was sold and the proceeds split between Trang and Lilly. Kim-Ly received nothing. Trang decided to move up north to look for work and at the age of 72, Kim-Ly had no choice but to find a new place to live without much money or assets.