marriage breakup/mortgage/housing benefit NI

snapplejacks

Hi,

I am northern ireland resident, married with 2 kids.
its looking like a marriage breakup is looming and i need to know if my wife can get help with hosing benefit once i leave home.

i am currently the only name on the mortgage paying 660/mth repayment mortgage.

say if i was to leave, would my wife then be entitled to housing benefit or anything (she is currently working 16 hrs and is low income).

i want her and the children to contine life as normal and live where we are now, i want that as much as possible. but she cant afford mortgage or rent, would she then be entitled to help with housing benefit ?


thanks,

(ps, i know there are lots of other legalities around a marriage breakup, but i wanted advice on the above just for the time being).

princessdon

Of she's not on the mortgage then probably not as the mortgage is yours not hers. She could rent and receive housing benefit. As she worksv16 hours shed get WTC, ctc, CB too.

snapplejacks

can i rent the house to her then ? is this what you are saying.
preferably i want her (as i'm assuming she will) to stay in the house so things are kept as close to normaility for her and kids if you know what i mean.

princessdon

You would need to google contrived tenancy, plus she would have BI even if not on mortgage.

Also even if they did claim SMI its interest only on mainly the original loan value.

Why is she not on the mortgage?

snapplejacks

princessdon wrote: »

You would need to google contrived tenancy, plus she would have BI even if not on mortgage.

Also even if they did claim SMI its interest only on mainly the original loan value.

Why is she not on the mortgage?

What is BI ?
What is SMI ?

zzzLazyDaisy

I don't know the rules in NI, but in England:

SMI would not be available in this case as your wife is working - and even if she was not working AFAIK she would not be eligible as she has no legal liability for the mortgage (SMI = help with the interest on the mortgage)

Housing Benefit is also not available if the Landlord is the parent of a dependent child living in the house. I think Princessdon is referring to what would happen if she moved out and rented somewhere else.

Edit - just to avoid any confusion - even though the house is in your name only, it is still a joint marital asset, and she will certainly be entitled to a share in any equity in the house, as part of the divorce settlement - this is what is known as a 'beneficial interest' in the property.

princessdon

Sorry (am lazy when on my phone). SMI is support for mortgage ie benefits for home owners. It is paid 13 weeks after benefit claim begins, to lender at 3.49% (I think that is current rate) on an interest only basis - not repayment.

Paid only to names on mortgage.

bi is beneficial interest, ie she has lived there and has an interest in the capital. Would prevent renting as even if benefits allowed it (they won't) then the building society won't.

She will have to move out or find the money from her additional payments and your maintenance.

snapplejacks

this is what i hoped not would happen.
i know they could move out and get all her beneifts/entitlements, it could then be up to me to rent it out to someone else which is unfortunate, just for the sole reason, i would prefer no major shifting about if only for the kids

snapplejacks

princessdon wrote: »

Why is she not on the mortgage?

we weren't together when i bought the house 9 years ago. and she has never asked to have her name on the mortgage

princessdon

snapplejacks wrote: »

this is what i hoped not would happen.
i know they could move out and get all her beneifts/entitlements, it could then be up to me to rent it out to someone else which is unfortunate, just for the sole reason, i would prefer no major shifting about if only for the kids

I understand your sentiments, but the benefit system isnt set up that way, I don't see an alternative.

princessdon

snapplejacks wrote: »

we weren't together when i bought the house 9 years ago. and she has never asked to have her name on the mortgage

You do know that legally she has an interest, which MAY affect benefits even if renting elsewhere. If it is deemed she owns half, this can prevent access to other benefits. Perhaps it's best to get some legal advice?