ESA/Incapacity Benefit and Mortgage.

Pyrosfx

Is anybody dealing with a mortgage provider that is accepting their Incapacity/ ESA Support as income.

with the bedroom tax and the changes to tenancy agreements, plus the increased discount we have looked at right to buy. and we can afford it, but are struggling to find a lender willing to discuss things . looking for an initial 65K on 145K , over 17 years. (age related)

Our daughter works 30 hours and acts as our carer wife gets esa support I get esa WRAG (appealing) total income £26,000

also have bonds maturing in personal injury trust fund which will reduce the principal by a further 20K over next 5 years.

Anybody know a good lender. can't believe the anti disabled attitude I'm finding. Sure it must breach the UN convention on rights for the disabled persons. but then again this is the asbestos banking sector.

kingstreet

Try these people;-

http://www.mysafehome.info/

Pyrosfx

Thank you for that, but they only deal with shared ownership schemes, and not with my HA.

We have to go to the market, in fact we did not start the application until we had a more than adequate provisional offer of more than required from our own BS, then as soon as we wanted to move forward. suddenly oh we don't use ESA or DLA. so £80 K became £45K Possibly. I think its discrimination, but hey what's new.

kingstreet

These;-

Disability Living Allowances:
Attendance Allowance/ Constant Care Allowance/ Incapacity/ Severe Disablement Allowance/ Industrial Injuries Disablement Benefit/ Mobility Payments/ Thalidomide Trust Income
Note 'Incapacity Benefit' is being replaced

are noted as being accepted by Halifax.

It's possible other lenders accept similar benefits.

Pyrosfx

Oh yes, Halifax do, well they say they do, but in fact , they only do in part.. you know, pennies on the pound type thing... as if its not real money. If you use a calculator on their site it comes up as sufficient, when one enters the ESA/DLA as basic income... when one then applies.. well it does not do what is says on the tin.

There is a massive reluctance to accept any form of disability benefit , you can almost hear them backing away on the phone as if some giant snake had appeared in the room.

Actually got an offer from Halifax of below what we were asking, £45,450 then 2 days later we all receive a letter telling us even that had been withdrawn!!!!! Been my daughters bank/BS etc since birth. they know she is a saver.

Currently waiting for a call back from the ethical co-op, who have not been quite as ethical as they could be.. lied to me. Actually lied to me. They were going to call back at 2:30 yesterday to explain the anomaly, but now its between 9-5 today.. well 4 and 5 today as that's all that left of 9-5.

they caught themselves out as well. you would think a £150,000 house would be sufficient security for a £65,000 loan.. but I suppose they know how dodgy the banking sector can be..

kingstreet

Yes. Halifax splits income into primary, where 100% is taken into account and secondary, where it's 60%.

Can't comment on Co-op and sorry I can't offer any more help.

ACG

Woolwich do too.
Ive got one going through with them at the minute, it is difficult to find a lender who will accept benefits, i spent a good few hours trying various lenders.

Pyrosfx

Well it seems that a spurious default on my credit report may not be helping ... I took out a mobile phone contract with 3 back in 2004, and although my home and area were shown as covered, local anomalies meant no reception in my home or garden.. So after having it changed, then software updated to no avail, went to Trading standards, and on their advice, returned the phone as not fit for purpose. Three did not like, seems they eventually sold on this contract as a debt... Which somebody has registered as defaulted in 2008? The air turned blue during a phone conversation... they have said they will remove ASAP...

I'm going to go back to the couple that turned us down and see if the situation changes.. then i might try the woolwich. but if anybody knows any specialist broker or adviser in this regard.. I'm still looking.

ACG

You dont need a specialist advisor. Most will be able to help with this.

The default wont cause too much of an issue with the default being so old.