What Are The Difficulties Of Moving Area While On Benefit?

[Deleted User]

Just one thing that seems to have been missed and i`m sorry to be negative but the likelyhood of being able to sell a house atm?plus selling when the market is still going down?,it might be wise financially to hold on till next summer when interest rates could be down to 3% or less and mortgages more easily avaliable for prospective buyers.
On the subject of moving to a new area and benefits,I was advised when we were thinking of this last year that it can lead to you having to re-apply for I/S and I/B as it would be a new office handling your claim.

Morglin

If you are on IB and DLA, then just advise the offices of your move - nothing changes and no new claim is needed.

I've moved a few times, and I have just written telling them and my IB file has just been transferred to the new office. Payments have been made as usual.

You would need to check about any IS and mortgages.

Any council tax rebate would need to be claimed via the new council.

Lin

gravitytolls

You shouldn't need to reclaim, but they'll doubtless send all your letters to the old address, and CT/HB will refuse to approve benefit, because your proof is for a different address. It was nigh on a year before they managed to update all their records.

TOBRUK

Thank you everyone for all your advice, I am very grateful.

Woodbine

Just one thing that seems to have been missed and i`m sorry to be negative but the likelyhood of being able to sell a house atm?plus selling when the market is still going down?,it might be wise financially to hold on till next summer when interest rates could be down to 3% or less and mortgages more easily avaliable for prospective buyers.

Thanks Woodbine, I have thought of this and I won't be rushing into anything soon.

Another thing that has crossed my mind (I hope I can put this across clearly)and perhaps someone can advise on:

If I were to sell the house, would the dss expect me to pay off my exsiting mortgage from the sale of the house before buying a new property?

bunny999

Yes, so would the mortgage people.You can't have a mortgage on a property that doesn't belong to you. The solicitors pay off the mortgage people and any fees before they pay you. Also having tens of thousands in the bank would mean you loose any entitlement to means tested benefits.

TOBRUK

Thanks for that bunny999, but I wouldn't have thousands of pounds in the bank because I would have used the money from existing property to buy another property to live in. This means I couldn't move because of this.

healy

TOBRUK wrote: »

Thanks for that bunny999, but I wouldn't have thousands of pounds in the bank because I would have used the money from existing property to buy another property to live in. This means I couldn't move because of this.

No the money could be "ring fenced" for 6 months or even longer while you sort out getting a new property, the previous advice is wrong.

TOBRUK

Thank you healy, phew that's really helpful otherwise I wouldn't be able to think of moving. Not sure what is involved totally and would have to look into it - "ring fenced" meaning it is protected in order to buy a new property? If I decide to go ahead does it mean that the dss won't take away money owed for my present mortgage - can it be transfered to the new one? Do you know what I mean?

Oldernotwiser

TOBRUK wrote: »

Thank you healy, phew that's really helpful otherwise I wouldn't be able to think of moving. Not sure what is involved totally and would have to look into it - "ring fenced" meaning it is protected in order to buy a new property? If I decide to go ahead does it mean that the dss won't take away money owed for my present mortgage - can it be transfered to the new one? Do you know what I mean?

I think that you're missing the point that there are very few lenders who'll lend to someone on benefits, particularly in the present crisis. Might it not be a good idea to choose a property that you can afford to buy out of the large amount of equity you have in your current property?

TOBRUK

Oldernotwiser wrote: »

I think that you're missing the point that there are very few lenders who'll lend to someone on benefits, particularly in the present crisis. Might it not be a good idea to choose a property that you can afford to buy out of the large amount of equity you have in your current property?

Thank you Oldernotwiser,
I know what you mean, but what I'm trying to say is that if I buy a property same value as mine I could transfer my mortgage (I do have a mortgage already) to the same value - I would not be increasing my mortgage.