Incapacity Benefit - Getting element of Income Support

jenny81

I will claim the SMI after I have purchased a property, so it will be "existing" when I claim for it.

Morgan_Ree

jenny81 wrote: »

The deposit etc will be financed by family, so there won't be a problem with getting a mortgage etc.

You're living in a dream world if you think anyone will give you a mortgage whilst on benefits. Deposit or not!

healy

jenny81 wrote: »

The deposit etc will be financed by family, so there won't be a problem with getting a mortgage etc.

With regards to gaining financially from the taxpayer. I'd like to point out that a) Before benefits I was a higher rate tax payer b) I and family have funded and continue to fund on a private basis operations/treatment to try and aid recovery,which has cost in excess of £75k.

I have tried to be as little burdon on the State as possible and would like to try and gain as much independance as possible. Hopefully go back to work at somepoint in the future, but first I need to deal with my rehabilitation and can't continue to rely on family. Hence why I'm asking these questions, I don't feel I'm sponging in anyway.

It is not relevant how much tax you have paid in the past as many people have said many times it is not a savings scheme.

As said you have little or no chance of getting a mortgage.

dmg24

jenny81 wrote: »

I will claim the SMI after I have purchased a property, so it will be "existing" when I claim for it.

It doesn't work like that - you are looking at claiming IS now, and that is the qualifying benefit.

To repeat again, no one is going to give you a mortgage if your sole income is less than £6,000 a year. I understand that renting is very uncertain, perhaps you could apply for social housing? You may get a place more quickly than you think.

jenny81

Sorry, yes I know it's not relevant how much tax I have paid. Just didn't want to sound like claiming benefits is a career choice.

Can we please get away from the issue of a mortgage. This has already been sorted. It's not excessive and nowhere near the maximum of £200k and the SMI would be less than the housing benefit I currently receive.

I have enquired about Social Housing and it's basically very unlikely that I would get anywhere for years. White, single, male, young, no children doesn't rate very highly.

So I need to know how I can get some form of Income Support, wait the 13 weeks and claim SMI.

tcr_3

You won't get help with housing costs if your mortgage is taken out during a "relevant period" i.e. a period when you're entitled to Income Support.

Decision Makers Guide Para 23464 -
Apart from certain allowable housing costs (see DMG
23475 et seq) and certain loans for repairs and improvements (see DMG 23585 et
seq), interest on a loan
1. taken out in a relevant period and
2. used to acquire an interest in the home
will not be eligible during that relevant period if the conditions in DMG 23468 or
1
23470 apply . This means that borrowing for house purchase cannot normally be
increased in a relevant period.
1 Sch 2, para 4(2); IS (Gen) Regs, Sch 3, para 4(2)

http://www.dwp.gov.uk/docs/dmgch23.pdf

So you'll need to get the mortgage & move into the house then claim Income Support for any chance of this working. And the 13 weeks might not apply because you're already in receipt of a qualifying benefit (long term incapacity) so they might deem the 13 week waiting period to have been served right from the start of your Income Support claim, in which case you won't have to wait 13 weeks at all.

That is my take on it, may or may not be right but it gives you a few pointers.

tcr_3

TBH you'd be best running the whole scenario past welfare rights or the CAB. Because the last thing you're wanting to do is take on a mortgage only to discover the DWP won't pay it on some technicality.

anmarj

jenny81 wrote: »

Can we please get away from the issue of a mortgage. This has already been sorted. It's not excessive and nowhere near the maximum of £200k and the SMI would be less than the housing benefit I currently receive.

the interest rate is changing in october and going down to at least half of what it is at present, are you able to fund the difference?

jenny81

anmarj wrote: »

the interest rate is changing in october and going down to at least half of what it is at present, are you able to fund the difference?

Yes I'm aware it will be around 3.5% from October and will be able to fund any difference. As I currently have to make up the difference between Housing Benefit and actual rent costs.

tcr- Thank you for that information, grateful for all input. Will contact welfare rights and CAB.

Grateful for anbody elses views aswell

hermum

If you have a support need you should be eligible for sheltered accommodation or whatever your LA calls it.
If you are then they have a fairly steady turnover as are still mainly housing for the elderly. With them obviously comes security.