Claiming housing benefits while on joint mortgage

ziqbal_2000

I and my friend bought a house on joint mortgage in 2007 thinking that prices will appreciate and we will move in individual units after accumulating some equity. We both have families. I have two kids but my friend do not have any kids. Things did not work out the way we thought and house prices started declining. Due to having a congested house we started having issues with my friend's family and I sold my part of the house to my friend on 6k. My actual investment was about 14k (including 5% advance and furnishing). But bank refused to transfer mortgage to my friend's owing to less salary. I moved out of house and we signed a private agreement that I surrender my rights on property by accepting 6K. Obviously I am still responsible for the loan. It has been over nine months now that I am privately renting. I recently lost my job and want to apply for housing benefits. Can I get housing benefit based on my circumstances?

I would appreciate your response please.

My previous house is in negative equity (around 20k)