Retirees maintain large wealth holdings, hold the majority of housing, and often leave bequests. How do house price fluctuations affect retirees’ savings? Informed by evidence from a natural experiment, I estimate a model of savings decisions including housing and bequest preference heterogeneity. I disentangle precautionary savings, bequest motives, and the desire to remain in one’s home utilizing variation in housing and bequest taxation. 1/4 of house price increases are passed on to future generations, despite 50% of retirees having zero estimated bequest motive. I evaluate means-tested Long Term Care programs finding providing marginal liquidity delivers large benefits per pound spent.