Mortgage on incapacity benefit

fethiye2003

Hi, i want to buy my council flat on the right to buy scheme.
I am on long term incapacity benefit £360
+ pension £125 = £485 per month
what are my chances of getting a mortgage as there will be £25,ooo equity with my discount.
I will never work again because of my illness which is not terminal.
I am 44 and have a house in turkey worth £80,000
thanks in advance.

jkc_2

dont know how helpful this is but is mildly related so here goes.

When I worked at a certain agency a couple both on long term incapacity related benefits came in. The partner had worked for three months in order to gain a mortgage then stoped work again on the grounds of incapacity which he was able to reclaim at the same level he had previously claimed at. in the mean time because she had been on incapacity throughout was able to claim interest only payments on the mortgage from social security. This benefit is only claimable after so many weeks which she had covered being on incapacity for the previous 10 years. this was the theory any way. we helped fill in their claim form and off they went.

The mortgage they took out was 100% interest mortgage, which dss payment would cover the whole payment in this case. I think theres a bit on these in the first time house buyer forum.

I am not sure if they were successful in their claim for interest only payments on their mortgage from social security or if the scheme worked.

HappyMJ

Why buy it? Isn't council paying all the rent at the moment and aren't they responsible for all the repairs and maintenance. i.e regular repainting/decorating and a new kitchen/new bathroom every now and again. What about buildings insurance? Boiler/Central heating maintenance? Electrical issues? If you own it you'll have to save for these things yourself. Owning a property costs more than the mortgage repayment.

Income isn't always wages/salary. Could the rental income from your property in Turkey be sufficient to pay a UK mortgage?

poppy10_2

Have you declared your £80,000 asset to the DWP?

Yorkie1

As far as I know, incapacity benefit isn't means-tested (although other benefits are)

fethiye2003

poppy10 wrote: »

Have you declared your £80,000 asset to the DWP?

I have a special needs trust, the house was bought with the trust money and part of the trust and everything is above board.

fethiye2003

Yorkie1 wrote: »

As far as I know, incapacity benefit isn't means-tested (although other benefits are)

i was aware of this.

dmg24

How much would your mortgage be for? The DWP would not pay SMI for a mortgage taken out after you were on qualifying benefits.

fethiye2003

HappyMJ wrote: »

Why buy it? Isn't council paying all the rent at the moment and aren't they responsible for all the repairs and maintenance. i.e regular repainting/decorating and a new kitchen/new bathroom every now and again. What about buildings insurance? Boiler/Central heating maintenance? Electrical issues? If you own it you'll have to save for these things yourself. Owning a property costs more than the mortgage repayment.

Income isn't always wages/salary. Could the rental income from your property in Turkey be sufficient to pay a UK mortgage?

I do not rent my property in turkey as i live there 6 months a year.
the plan is to buy my rtb flat and sell it back to the council or rent it out.

leveller2911

QUOTE:I do not rent my property in turkey as i live there 6 months a year.
the plan is to buy my rtb flat and sell it back to the council or rent it out.



FWIW I think theres a Troll at work here........ Something perverse if the Taxpayer foots the bill for this....(IF OF COARSE ITS REAL)

ses6jwg

fethiye2003 wrote: »

I do not rent my property in turkey as i live there 6 months a year.
the plan is to buy my rtb flat and sell it back to the council or rent it out.

Why don't you just take a p!ss on all the taxpayers in the UK who are funding your benefit?