Few housey questions

macymoo

We are thinking about buying a house and having Mum (pensioner) live with us and pay minimal rent,
1) Is this ok to do from a mortgage company point of view?
2) Would she need a legal document (tennancy?)
3) Could she claim housing benefit to help?
4) What would be a good rental price?
5) Whats happening with Stamp duty at the moment? is it all suspended or just lower priced houses?

Thanks in advance

silvercar

1. A relative living with you won't be of interest to a mortgage company.
2. Living with you means she would be a lodger rather than a tenant.
3. Unlikely. HB claims are difficult when it is a relative; living in your home makes it more difficult.
4. Depends on the area. Remember that if you formally charge rent upto £4250 can be received free of tax under the governments rent a room scheme.
5. Limit moved from 125k to 175k. After that it is 1% on the lot upto 250k where it jumps to 3% and then 4% for properties over 500k.