Brother as a lodger - Housing Benefit?

alwaysonthego_2

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tek-monkey

Just saw this on the shelter website:

I live in a property owned by a family member - can I claim housing benefit?

If you live in a property owned by a family member and pay them rent, you may be entitled to housing benefit. However, this will not be the case if you (or your partner) are responsible for a child and are renting from the other parent of that child.

The council will also want to check:

• that you're paying rent on a commercial basis. In other words, that it's a proper tenancy, not just an informal arrangement between family.
• that the arrangement has not been set up in order to take advantage of the housing benefit system - this is called a 'contrived tenancy'. For example, if your landlord only asks you to pay rent when you are not working (and so eligible for housing benefit), but not when you are working (and earning too much to claim housing benefit), this would be a contrived tenancy.

As I shall be living there, he is just a lodger, this seems more correct? So if I draw up a tenancy agreement, and get the gas checks etc. needed, he may be able to claim?

Any advice appreciated.

Oldernotwiser

tek-monkey wrote: »

Just saw this on the shelter website:

I live in a property owned by a family member - can I claim housing benefit?

If you live in a property owned by a family member and pay them rent, you may be entitled to housing benefit. However, this will not be the case if you (or your partner) are responsible for a child and are renting from the other parent of that child.

The council will also want to check:

• that you're paying rent on a commercial basis. In other words, that it's a proper tenancy, not just an informal arrangement between family.
• that the arrangement has not been set up in order to take advantage of the housing benefit system - this is called a 'contrived tenancy'. For example, if your landlord only asks you to pay rent when you are not working (and so eligible for housing benefit), but not when you are working (and earning too much to claim housing benefit), this would be a contrived tenancy.

As I shall be living there, he is just a lodger, this seems more correct? So if I draw up a tenancy agreement, and get the gas checks etc. needed, he may be able to claim?

Any advice appreciated.

It's the fact that you, the family member, actually lives in the same property that's the real problem, I'm afraid. There's no way round that.

alwaysonthego_2

As ONW says, please refer to the quote of post 2 below!

Caz3121 wrote: »

from the Shelter website

I live with other family members - can I claim housing benefit?



If you are renting a home from a family member and they live in the same house, you won't be able to get housing benefit, even if you are paying them rent. A close relative is a:

• husband or wife
• civil partner
• partner
• parent or step-parent
• father-in-law or mother-in-law
• child or step-child
• son-in-law or daughter-in-law
• brother or sister
• brother-in-law or sister-in-law
• partner of any of the above.

tek-monkey

Ah, read it wrong! We're both better off if he lives somewhere else then, so thats what will have to happen.

DaisyFlower

If you're buying your own home your mortgage is the same with or without him there so you wont save on the mortgage by not letting him stay. He can help with bills etc from his JSA.

ailuro2

But obviously renting out a room to a lodger will bring in more money to help with the mortgage - as long as you have permission from your mortgage lender of course.;)

tek-monkey

I have a mate that would happily take the room, so in that way I'll be losing out. However my bro could possibly move into a spare room at another mates and still claim, albeit a little more than I'd have charged. Its under the rent a room limit, so no change in tax for them.

Would have rather he'd stayed at mine, but can't be helped I suppose. Oh, and my mortgage co are well aware of him. He'd already signed the waiver to say he has no claim on the house if I die, but not having a job has put a spanner in all that.