Care Home or Home Care | Which Is The Right Choice For You?

This article was reviewed by Hannah Karim, Customer Care Lead at Lottie, on 21st February 2025. Hannah Karim has over three years of experience within the care sector and works closely with families to ensure they find the right care option. Hannah has received training from organisations such as Mind and The National Bereavement Service, and is also a certified Dementia Friend. Next review due February 2026.

If you or your loved one requires care, you may be wondering what the best option is. The two most common places to receive care are in your own home and in a care home. Knowing which is better suited can be challenging, which is why we’ve broken down everything you need to know.

Below, we’ve explained the different options for care homes and home care, advantages, other key considerations, and the cost of both, to help you choose between them.

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What To Expect From a Care Home

A care home is a home, often purpose-built, that provides accommodation and round-the-clock care from trained care professionals to those needing extra support on a daily basis. To ensure a rounded experience, care homes also provide regular meals, activities, and facilities.

Depending on your or your loved one’s care needs, there are different types of care homes, including residential care homes, nursing homes, and dementia care homes.

Along with care provided within the home, many care homes work with local medical professionals such as GPs and district nurses to ensure a rounded and thorough care experience.

When living in a care home, you’ll have your own bedroom (these often come with en-suite bathrooms or wetrooms). While these are usually fully furnished, many homes encourage residents to decorate their rooms with furniture and personal items to create a home-from-home setting.

What To Expect From a Home Care Agency

Home care is when a trained caregiver provides care in the comfort of your own home. This can either be on a visiting basis (hourly care) or on a full-time basis where they move into your home (live-in care).

Home care can be permanent (if you have long-term care needs), or temporary (such as if you’re recovering from an illness, injury, or operation).

When To Choose a Care Home or Home Care Agency

Care homes	Home care
When you’re struggling to live safely by yourself, even when receiving support from friends, family or carers, and would benefit from 24/7 professional care.	You need support with daily routines like washing, dressing, household chores, and getting from one place to another, either on a part-time or 24/7 basis. However, you’d prefer not to move into a care home and would rather remain in a familiar setting.
You’re living with a complex medical condition that requires specialist support throughout the day and at night. A progressive condition like dementia could also make independent living unsafe.	You’ve become more prone to falls and other accidents.
Social isolation is a concern and you’d benefit from structured activities and socialisation with other residents.	Family members and external caregivers can provide the necessary support within your home, and social isolation isn’t a concern.

A care needs assessment may have also recommended either a care home or home care.

Advantages of Care Homes and Home Care

Care homes	Home care
Around-the-clock care - Carers in a care home are trained to provide around-the-clock care and support across various care needs. This includes specialist care, often given by registered nurses if your loved one is living with a medical condition or needs intensive rehabilitation following a stroke.	One-on-one care - A carer will provide care specifically for you or your loved one, ensuring a high level of attentiveness, whether they’re giving specialist care, helping you with personal hygiene-related tasks, preparing meals, or offering household support. You also have more control over precisely what care is given, with care plans tailored to accommodate your routines and personal preferences.
Access to further care and support - Many care homes are partnered with local medical professionals, including GPs. This ensures residents have access to specialist support given by a range of medical professionals whenever required.	Remain in the comfort of your own home - For many, the most significant benefit of home care is being able to remain in the comfort of your own home. This allows you to maintain your independence and preferred routine while receiving high-quality care in familiar surroundings.
Regulation - In the UK, all care homes are reviewed by a regulatory body. In England, this is the Care Quality Commission (CQC). These organisations regularly inspect homes to ensure they’re meeting standards. You can view home ratings on the CQC website. Each Lottie listing also states the most recent rating from a home’s relevant regulatory body.	Regulation - Home care agencies are also reviewed by a regulatory body such as the CQC. Like with care homes, you can check the rating of a home care agency through the CQC website.
Socialisation - Moving into a care home allows you or your loved one to meet new people. Regular activities are often organised, including trips out of the home, allowing residents to remain active, engaged and social. Friendly carers are also on hand to provide additional companionship.	Family involvement - Home care encourages family members to be involved in the decision-making process. You’ll also avoid any potential visitor restrictions. If your loved one is living with a pet, remaining in their own home makes it easier to keep their beloved furry friend close by.
Purpose-built settings - Care homes are often purpose-built or altered to accommodate older adults with limited mobility. They have features like lifts for accessibility and modifications that minimise the risk of falls or other accidents.	Greater flexibility - Through hourly care, you can choose how long visits last, how often, and when these take place. This degree of flexibility makes it easy to sculpt home care around your lifestyle and personal preferences.
First-class facilities - The best care homes are packed with state-of-the-art facilities. Lottie data indicates that popular facilities include communal lounges and dining rooms, idyllic gardens, en-suite bedrooms, hair and beauty salons, and activity rooms.	It can be more cost-effective - Hourly care means that you only pay for care when you need it, rather than paying on a 24/7 basis. This can make home care more cost-effective and affordable for many.
Peace of mind for family members and caregivers - When your loved one lives in a care home, you won’t have to worry about their safety. If you’ve been providing unpaid care, a move into a care home will alleviate this pressure, reducing stress and improving familial relationships.

The Cost of Care Homes and Home Care

Our data shows that the average UK cost of living in a residential care home is £1,406 per week. This rises to £1,449 for residential dementia care, £1,558 for nursing care, and £1,597 for nursing dementia care. Usually, short-term respite care is slightly more expensive than permanent care. For example, residential respite care costs an average of £1,488 per week (£82 more per week than permanent care).

Meanwhile, when it comes to home care fees, hourly care costs £27 per hour. This means that it would cost £135 per week if you received it for five hours a week. Live-in care is £206 per day (or £1,442 per week), overnight sleeping care is £178 per night (or £1,246 per week), and overnight waking care is £230 per night (or £1,610 per week). Individuals needing frequent visiting care or live-in care may find the cost meets or surpasses that of a care home.

For care homes and home care, the exact cost is determined by the care provider you choose and where in the UK this is. For example, care in London is usually more expensive than in North East England, due to the cost of living being higher in this part of the country. Care homes will also cost more if they have premium facilities like gyms, spas, and cinema rooms.

In both cases, you could be eligible for funding support from your local authority. Your eligibility will depend on the value of your savings and income (and assets like a home in the case of care homes). Your eligibility will be determined through a financial assessment.

Other Key Considerations

Care homes	Home care
Finding a local care home - It can be tricky to find a local care home matching your requirements, particularly if you need specialist care. Use Lottie to find the best-rated care homes near you and ease this care search. You can filter by your care needs, budget, preferred facilities, and more to narrow your search.	Finding the right carer and care agency - It may take some time to adjust to your new carer, particularly if they’re moving into your home. With that said, home care agencies will always do their best to match you with a carer best suited to your needs and personality. It can also be challenging to find a care agency in your local area that perfectly aligns with your care needs. Thankfully, Lottie eases this process. You can use our free service to find a home care agency near you.
Transitioning to new surroundings - Moving to a care home means leaving your current, familiar surroundings. This transition period can be a challenging one. Care staff will be on hand to support residents during this time. Many homes allow residents to decorate their bedrooms with furniture and treasured possessions to ease any feelings of uncertainty or unfamiliarity.	Social isolation - Although companionship care at home aims to alleviate feelings of isolation, you may still feel lonely at times if living in your home by yourself due to a lack of socialisation with others.
Set routines - While many care homes encourage residents to set their own schedules, there will still be a degree of structure, such as when meals are served. Adjustment may be needed for those used to living with greater flexibility.	Receiving care when needed - Unless you choose live-in care, there will always be a delay in receiving the care you need, particularly if a medical emergency occurs. This can make some types of home care less suitable for those with greater care needs.
You may need to move to a different care home in the future - Your loved one may only need residential care to begin with, before requiring nursing care later in life as their care needs increase. Some homes offer several care types for residents with differing care needs, meaning the process of moving homes is avoided.	Your home needs to be fit for purpose - To continue living safely in your home, you may need to make adjustments, such as having grab rails installed in your bathroom, or a more extensive modification, such as a stair lift. These modifications can often be funded through a form of funding like a disabled facilities grant. If a carer is moving into your home, it needs to be suitable for them as well, including having a spare bedroom.

Making The Right Choice Between Care Homes and Home Care

We hope you now have a better understanding of care homes and home care and which is the right choice for you or your loved one. Ultimately, the right choice will be determined on a case-by-case basis. Before making any decisions, be sure to discuss with family members and friends to get their input.

Your choice depends on factors like your care needs and how independent you are. Care homes provide comprehensive 24/7 care and extra socialisation but may lead to concerns about losing independence. Meanwhile, home care emphasises tailored support and maintaining independence, but care won’t always be available (if you choose hourly care).

If you’re still unsure, you can apply for a care needs assessment by social services. They’ll offer guidance on what care would best suit you or your loved one, and in what setting.

We’re on a mission to support individuals and their loved ones throughout each stage of their later living journey. For more information, check out everything Lottie has to offer.