Rent from family and on partial housing benefit - considering purchasing share

snowdown

theartfullodger wrote: »

Gosh: Family member, raking in the rent, is not bothering to comply with his repairing responsibilities? Anything else he's not bothering with? - Declaring all rent to tax man, permission to let property from lender, if any, gas safety certificate, landlord insurance??


btw most mortgages and landlord insurances exclude renting to family: So, if the place burnt down (clearly we all hope it doesn't) insurance probably wouldn't pay out: Relative & you somewhat stuffed...

Cheers!

No we don't have any gas safety certificates. I think they would probably ask us to lie about being family if house was to burn down but I don't know for sure. It is a difficult situation as they are changing us less rent then going rate as we are family but that puts us in position of not wanting to complain or ask for repairs etc. It has always been the agreement that unless it's something major all repairs and maintenance are our responsibility.

[Deleted User]

snowdown wrote: »

The house is worth around £150k and we were looking to get a mortgage for 75k. We don't have the income to afford a mortgage on 150k and it wouldn't make financial sense as we would be missing out on the housing benefit we are entitled to claim.

Your whole post stinks of 'we could afford to not claim, but we want the free money from the taxpayers' and this comment pretty much confirms that.

[Deleted User]

snowdown wrote: »

No we don't have any gas safety certificates. I think they would probably ask us to lie about being family if house was to burn down but I don't know for sure. It is a difficult situation as they are changing us less rent then going rate as we are family but that puts us in position of not wanting to complain or ask for repairs etc. It has always been the agreement that unless it's something major all repairs and maintenance are our responsibility.

Oh lord, it gets worst! So not only are you getting help in the form of housing benefits but you don't even pay the going rate of rent anyway!

hign10pines

snowdown wrote: »

Yes we were stupid to not inform them in the first place and I wish I could go back and change that now. It was many years ago and I was young and I was wrongly informed that I wouldn't be able to rent the house if it was from family. Unfortunately what's done is done but I can assure you that there is no cheating going on.

The house is worth around £150k and we were looking to get a mortgage for 75k. We don't have the income to afford a mortgage on 150k and it wouldn't make financial sense as we would be missing out on the housing benefit we are entitled to claim.

Am I reading this wrong or do you really think its better for the tax payers to pay part of your rent than you paying all of your mortgage?

NYM

snowdown wrote: »

No we don't have any gas safety certificates. I think they would probably ask us to lie about being family if house was to burn down but I don't know for sure. It is a difficult situation as they are changing us less rent then going rate as we are family but that puts us in position of not wanting to complain or ask for repairs etc. It has always been the agreement that unless it's something major all repairs and maintenance are our responsibility.

That could be problematic whilst claiming HB. Your tenancy should be on a commercial basis.

snowdown

hign10pines wrote: »

Am I reading this wrong or do you really think its better for the tax payers to pay part of your rent than you paying all of your mortgage?

If we could afford to pay the whole mortgage we would but it is not an option. The fact of the matter is we are entitled to some housing benefit whether people like it or not. I am looking for option that makes most financial sense to me. Shared ownership schemes are available to people on partial housing benefit who can only afford a small mortgage. I am not doing anything wrong or conning anyone. I am just trying to save money which is what this site is supposed to be about.

theartfullodger

snowdown wrote: »

No we don't have any gas safety certificates. I think they would probably ask us to lie about being family if house was to burn down but I don't know for sure. It is a difficult situation as they are changing us less rent then going rate as we are family but that puts us in position of not wanting to complain or ask for repairs etc. It has always been the agreement that unless it's something major all repairs and maintenance are our responsibility.

Sir/Madam:

Forgive me but this sounds so like a setup to exploit HB, at the expense of the taxpayer: Am I incorrect perhaps? Many might suggest you knew/know it.

re.

snowdown wrote: »

.....The house is worth around £150k and we were looking to get .....

You said you have £6k savings. It might appear to many that there's a lie in there somewhere, between the £6k, the £150k & the 5%.... 5% of £150k is £7.5k. For most of us £1.5k is something we'd notice...

snowdown

Deleted_User wrote: »

Oh lord, it gets worst! So not only are you getting help in the form of housing benefits but you don't even pay the going rate of rent anyway!

I am failing to see the problem in claiming housing benefits I am ENTITLED to combined with the fact that my rent is cheap? I pay tax the same as everyone else and if i'm entitled to something of course i'm going to claim it, who wouldn't?

csgohan4

theartfullodger wrote: »

Thanks for the pointer csgohan4: I was aware of how to report benefit fraud & wish more people reported those they know to be on the fiddle. Benefits or tax: I certainly have.

I'm 68, in receipt of state pension, £10 Xmas bonus, winter fuel allowance(**), free prescriptions, free eye tests, 'bus pass. Can you think of any reason I am not entitled to any of them??

** I get the lower amount as co-residing with my wife.

Cheers!

I was only pulling your leg, I have seen your posts, generally sensible and helpful :T

[Deleted User]

snowdown wrote: »

I am failing to see the problem in claiming housing benefits I am ENTITLED to combined with the fact that my rent is cheap? I pay tax the same as everyone else and if i'm entitled to something of course i'm going to claim it, who wouldn't?

Benefits should be a temporary solution for people who fall on hard times, not a lifestyle choice. It’s quite obvious you could easily afford to not claim, but you choose to do it just because you’re ‘entitled’ to it.

You are the epitome of everything that is wrong with the benefits system in this country.