Brother moved into house - possible problems - advice please

barneybeagle

Hello,

Recently my Mother passed away and I was left the house which I had owned for over 20 years and which had been solely in my name for the last 7 or 8 years. I live with my own family nearby.

I intended to rent the house out through an Agency. However, recent developments have resulted in my Brother moving into the house. I do not mind him moving in as he is in a rut at the moment. For how long he stays is another thing and my feeling is that it could be long term.

However I would appreciate some advice on the following:

Insurances:
Should I put the buildings and contents in my name or my Brothers? In the past I paid for the buildings insurance and my Mother the contents although I never charged her rent.

Utility Bills:
Water, Gas, Electric, Phone: Should these stay in my name or transfer them to my brothers name?

Council Tax:
Again, should this be in my name or my Brothers as he is living there. He is currently on income support.

Do I have to inform any other services or departments, eg Council, Electoral people, Inland Revenue?

Although I would like to think it would never happen, what kind of rights would my Brother have in the future, ie squatters rights, etc. I may be barking up the wrong tree, but I'd like to know the pit falls and where exactly I stand so I can put everything forward to my Brother then we can get everything sorted out properly and by the law to avoid any future problems.

Do I still have to get the relevant certificats CP12, Energy Cert. etc for Electric and Gas appliances for my Brother living in the house?

Apologies if it is a bit longwinded, but appreciate any comments/advice on my situation. I've probably missed out a lot, but I just do not know as I haven't been in this situation before. I'm not wanting to kick him out, I just want to know where I stand and as I've mentioned make sure everything is in order.

Thanks in advance
bb

BitterAndTwisted

barneybeagle wrote: »

Hello,

Insurances:
Should I put the buildings and contents in my name or my Brothers? In the past I paid for the buildings insurance and my Mother the contents although I never charged her rent.

Buildings insurance in your name, you are the owner. Brother can get contents insurance himself.

Utility Bills:
Water, Gas, Electric, Phone: Should these stay in my name or transfer them to my brothers name?

Everything in your brother's name unless you are happy to continue to be liable for them.

Council Tax:
Again, should this be in my name or my Brothers as he is living there. He is currently on income support.

Brother's name as he is the occupant.

Do I have to inform any other services or departments, eg Council, Electoral people, Inland Revenue?

Your brother should inform the electoral register and you don't need to inform the revenue unless you are charging your brother rent, then it should be declared by way of your tax return

Although I would like to think it would never happen, what kind of rights would my Brother have in the future, ie squatters rights, etc. I may be barking up the wrong tree, but I'd like to know the pit falls and where exactly I stand so I can put everything forward to my Brother then we can get everything sorted out properly and by the law to avoid any future problems.

There's no such thing as squatter's rights, he will only be occupying the property with your permission. Should you need to evict him you will have to go through the normal possession procedures.

Do I still have to get the relevant certificates CP12, Energy Cert. etc for Electric and Gas appliances for my Brother living in the house?

Dunno about the CP12, energy cert but if there's a gas supply you will be responsible for arranging the annual gas safety certificate.

Please be aware that if you are contemplating charging your brother rent you could face being involved in a "Contrived Tenancy" where the LA could decline to pay the rent on behalf of your brother if they have reason to assume that the tenancy has been set up purely to take advantage of HB/LHA. How would you feel about having to provide your brother with a free house indefinitely? How would you feel about having to evict him for non-payment of the rent?

Jowo_2

The more informal you make it, the more there are likely to be disputes where your brother doesn't understand his responsibilities as a tenant and you don't understand his rights, nor your obligations.

The problem with mixing family and business is that the family relationship gets ruined when there are tenancy disputes.

Would you feel comfortable evicting your own brother?

Perhaps its best to help him move into a property where he can receive LHA by lending him the deposit or offering to be his guarantor (latter is risky, look into it before you sign it) and then let out the property with a decent agent.

He will only receive Local Housing Allowance at the shared accommodation rate if he's under 25 (will change to 35 soon) and therefore this may not cover the rent on a bigger property. Look at the LHA direct website. Also look into 'contrived tenancy' as he may be rejected for HB.

In the meantime, join a landlord's association and buy a good book as housing law is very complex and you need to stop being a naive or accidental landlord which leaves you very vulnerable.

tbs624

barneybeagle wrote: »

Recently my Mother passed away and I was left the house which I had owned for over 20 years and which had been solely in my name for the last 7 or 8 years. I live with my own family nearby.

I intended to rent the house out through an Agency....

Can you clarify what you mean here - you say that you have "owned" the house for the past 20 years and

(a) your sole name was on it for last 7/8 years then
(b) you have now "been left the house"

If you already owned it, then you can't have been "left it" as ownership had already been transferred.

Did your name get added to the deeds 20 years ago, perhaps jointly with your mother?

When it was then moved into being registered under your sole name 7/8 years ago did your mother continue to live in it , paying some form of rent to you? Or was she in residential care with the property being rented out to someone else?

barneybeagle

Thankyou for the replies, much appreciated.

TBS624:
I bought the house over 20 years ago, but it was in joint names with my Mother, then around 7/8 years ago it was transferred solely into my name. My mother continued to live in the house 'rent free' until just before her death a few months ago.

I've not rented the house out to anyone since. As I said I intended to, but it looks like Big Bruv will be in there for a while.

It seems that I won't be able to claim rent through the authorities for putting him up because he is immediate family. This is what I have been led to believe in the past. If this is not the case then I may proceed in this direction.

My brother is over 50.

Any further advice is appreciated.
Thankyou
bb

Blacksheep1979

barneybeagle wrote: »

Hello,

Recently my Mother passed away and I was left the house which I had owned for over 20 years and which had been solely in my name for the last 7 or 8 years. I live with my own family nearby.

sorry, can you clarify this? You say you've owned the property for 20 years yet it was solely in your name for 7/8 and then you were left it recently? This, to me, seems like 2/3 scenarios?

Ulfar

Your brother can claim LHA if you charge him rent as you are not resident at the same address, but it is dependant on the local authority deciding that it isn't a contrived tenancy. Best way to check is to ask them what criteria they apply.

This could get messy but I would be drawing up a tenancy agreement and charging rent as well, does your brother expect to live rent free if so can you kick him out and I will move in.

barneybeagle

Blacksheep1979 wrote: »

sorry, can you clarify this? You say you've owned the property for 20 years yet it was solely in your name for 7/8 and then you were left it recently? This, to me, seems like 2/3 scenarios?

Apologies for the wording and confusion regarding 'I was left it recently'. I meant it is up to me to do what I want with it now that my Mother has passed away.

To clarify, I haven't personally lived in the property for over 25 years. When I purchased the house it was in both my name and my Mothers. 7/8 years ago it was changed so it was only in my name.

Thanks for all the other help
Cheers
bb

Jowo_2

barneybeagle wrote: »

..
It seems that I won't be able to claim rent through the authorities for putting him up because he is immediate family.

Tenants can receiving housing benefit for properties owned by a close relative so long as it isn't a contrived tenancy and they do not live together in the same dwelling.

http://england.shelter.org.uk/get_advice/paying_for_a_home/housing_benefit_and_local_housing_allowance/housing_benefit_if_renting_from_a_family_member#1

"If you can satisfy the local authority that the arrangement was not intended to exploit the HB system, you may be able to get benefit."

http://www.dwp.gov.uk/publications/specialist-guides/technical-guidance/rr2-a-guide-to-housing-benefit/housing-benefit/

barneybeagle

Thanks for the info.
Cheers
bb

Geenie

Barneybeagle, I know it is your brother and you want to do the best and help him, but I would strongly advise going to see a solicitor about how to proceed before agreeing to anything.

I have seen families fall out and get into great difficulties over this sort of situation. The fact that your brother is on income support throws another complexity into the mix. Get proper legal advice.