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Single Room Rent benefit...

ovy_2
ovy_2 Posts: 52 Forumite
edited 23 June 2009 at 9:57PM in Benefits & tax credits
Hi,

I will soon be renting a 2 bedroom flat from my parents

Now, i have been searching for benefits that i can apply for, i tried housing benefit and realised if your under 25 you can't receive this, i am now 20 years old. but i can receive Single Room Rent, which i calculated and confirmed is £51 a week.

Will i be able to claim this single room rent from the council which will go to my parents, this rent agreement will be set up correctly and legally.

Anyone have any suggestions to help us get this sorted and if my thinking is correct?

Thanks
«1

Comments

  • mealone
    mealone Posts: 527 Forumite
    500 Posts
    ovy wrote: »
    Hi,

    I will soon be renting a 2 bedroom flat from my parents (basicly paying off a morgage)

    Now, i have been searching for benefits that i can apply for, i tried housing benefit and realised if your under 25 you can't receive this, i am now 20 years old. but i can receive Single Room Rent, which i calculated and confirmed is £51 a week.

    Will i be able to claim this single room rent from the council which will go to my parents, this rent agreement will be set up correctly and legally.

    Anyone have any suggestions to help us get this sorted and if my thinking is correct?

    Thanks

    Just go back and read your previous posts again.................................

    If you can buy a flat using cash why do you want LHA?
  • dmg24
    dmg24 Posts: 33,920 Forumite
    10,000 Posts
    mealone wrote: »
    Just go back and read your previous posts again.................................

    If you can buy a flat using cash why do you want LHA?

    Good spot. ;)

    OP, unbelieavable. :rolleyes:
    Gone ... or have I?
  • ovy_2
    ovy_2 Posts: 52 Forumite
    It isn't a mortgage that i am getting, i will be renting from parents who are getting the flat.
  • dmg24
    dmg24 Posts: 33,920 Forumite
    10,000 Posts
    ovy wrote: »
    It isn't a mortgage that i am getting, i will be renting from parents who are getting the flat.

    How do you intend to pay the rest of the rent? A two bed flat in any area of the country is going to cost more than £51 a week. No point in claiming benefits for a place that you are going to get evicted from. I assume your parents would evict you if you could not pay the rent?
    Gone ... or have I?
  • ovy_2
    ovy_2 Posts: 52 Forumite
    I have a full time job which will help pay towards the rent, i can claim £51 for single room rent, that is not the cost of rent, which is more.

    I will not get evicted from, as i will be paying a monthly rent, with help from single room benefit.

    What i really wanted to know was am i able to receive this benefit..
  • Is this the same flat you are buying with £90k cash then?
    You work full time,have £90k to buy a property outright and want to know if you can claim housing benefit too!:rolleyes:
    I dont think so.Infact I am certain,NO.
    "Reaching out to touch the stars dont forget the flowers at your feet".
  • ovy_2
    ovy_2 Posts: 52 Forumite
    Is this the same flat you are buying with £90k cash then?
    You work full time,have £90k to buy a property outright and want to know if you can claim housing benefit too!:rolleyes:
    I dont think so.Infact I am certain,NO.


    Purchased under parents name, the advice was for them.

    All i wanted to know is can i claim single room rent, while in full time work....
  • mealone
    mealone Posts: 527 Forumite
    500 Posts
    ovy wrote: »
    Purchased under parents name, the advice was for them.

    All i wanted to know is can i claim single room rent, while in full time work....

    no you cant because its a contrived tenancy which ever way you look at it.
  • real1314
    real1314 Posts: 4,432 Forumite
    edited 23 June 2009 at 10:47PM
    ovy wrote: »
    Purchased under parents name, the advice was for them.

    All i wanted to know is can i claim single room rent, while in full time work....


    Only if your total income is below £145 per week. And only if the claim passes the relevant criteria.
    It is not "Single Room Rent Benefit" it's Housing Benefit, under the LHA part of the rules, subject to a Single Room Rent restriction.
    Also, you would need to show how your savings have been spent. Given that you'd have spent them on a flat that you've put in your parents names, this would be treated as still belonging to you as therefore you would be treated as having over £16k in capital and the claim would be disallowed.
    Your parents would also be liable for capital gains tax on any increase in the value of the flat when they come to sell it or transfer it to anyone else.

    I think your *idea* has more than a few flaws. Some of which may lead to free accomodation, but may involve sharing a small room with at least 1 other person.
  • dmg24
    dmg24 Posts: 33,920 Forumite
    10,000 Posts
    ovy wrote: »
    Purchased under parents name, the advice was for them.

    All i wanted to know is can i claim single room rent, while in full time work....

    If you are in full time work you will get very little LHA. How much do you earn?

    If the property is 'purchased under parents name' but in reality yours, you will not be able to claim LHA.
    Gone ... or have I?
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