What do I do about my house?

TBagpuss

No, if you use the capital from one property to buy another it doesn't affect your benefits - n fact you can have the capital disregarded for a brief period (I think it is 3 months with the possibility of extending it to 6 on application).

It may be worth looking at whether there are any shared ownership properties in your area which might be suitable for you? You might be able to buy a % of the property using your equity, and then pay rent on the balance. You'd be able to get help with the rent via benefits and being a part owner should mean you have more security.

You could also make enquiries as to whether you would be likely to qualify for housing via a Housing Association.

It might be worth you checking out whether there are any charities or support organisations relating to your illness / disability which might be able to offer your additional support or help in working out what you may be entitled to and what your options would be.

missbiggles1

alihud wrote: »

Ok here is my situation.
I have my own house with mortgage. I am long term unwell with a life long illness. I have a 17 year old son due to leave school in June.
I am living on my parents inheritance which should last about another year. I am also on DLA just transferring over to pip.
I do not know what to do for the best. Do I sell my house this year and move into a smaller one bed place rented and live on the equity for a few more years then I would need to claim esa. I can't see any other way of doing this. My son is planning to go and live with his dad as he lives in an area that will give him a better chance of finding work or his other plan is to get an apprenticeship with the navy.
If I stay in the house and my money runs out then won't I have to sell it anyway as the government would make me move to a one bedroom place anyway if I were to claim benefits. Seems as though I will have no choice but to sell it.

I can see from your earlier thread that lodgers weren't an option because of your children. When your son moves out, can you look at this again?

McKneff

Why aren't you claiming esa now

mad_spaniel

Try the benefits section for advice, they will direct you to a benefits calculator that will tell you what you're entitled to and give solid advice

pmlindyloo

May I ask how much you have in savings?

The reason I ask is because if you apply for income based ESA there will be a 39 week wait before they will pay Support for Mortgage Interest so you would need to apply for it as soon as your savings drop below £16000.

Presumably you are still getting child tax credits for your son?

The difficulty I feel you have is that you do not know what is happening with your son, i.e whether he will stay with you or whether he will go to live with his father. Obviously this impacts decisions that you make as regards taking in a lodger.

Perhaps you ought to leave making any big decisions at the moment until you know exactly what will happen in the future as regards your son. Then you will be able to make a decision:

take in a lodger
sell up and move to rented accommodation
find another house as part buy/part rent

In the mean time try exploring houses in your area that are part buy/part rent.

Is there any way you can do some work? Work from home for example?

All these options can be explored.

I do not know what your long time illness is but you have to be aware that ESA and PIP are becoming increasingly difficult to get so if there are other options available then it would be a good idea to look at them.

alihud

I'm not on esa as I live off my mothers inheritance at present which is going to run out in about a year that's why I'm trying to work out what to do now.
Have just done the benefits calculator and if I stay in this house I wouldn't get enough help with the mortgage.
I don't think lodgers would be an option for me I don't cope with stress very well and have big anxiety problems unfortunately I think it would just not work for me. I need to be in my own space if that makes sense.
Ok a shared ownership place might be an option? Where would I find them? On right move?
Would the housing association take me if I have money from the house sale?
I do appreciate everyone trying to help,this is just brilliant you don't know how much this means to me.

pmlindyloo

alihud wrote: »

I'm not on esa as I live off my mothers inheritance at present which is going to run out in about a year that's why I'm trying to work out what to do now.
Have just done the benefits calculator and if I stay in this house I wouldn't get enough help with the mortgage.
I don't think lodgers would be an option for me I don't cope with stress very well and have big anxiety problems unfortunately I think it would just not work for me. I need to be in my own space if that makes sense.
Ok a shared ownership place might be an option? Where would I find them? On right move?
Would the housing association take me if I have money from the house sale?
I do appreciate everyone trying to help,this is just brilliant you don't know how much this means to me.

Where do you live?

Different local authorities have different criteria for allocating housing association properties.

alihud

Lindyloo at present I have £28000 in savings so I'm calculating I can look at maybe a year left before it runs out as I have a high mortgage to pay,I've cut back absoloutely everywhere to make the money last.
My son changes his mind weekly about what he wants to do so last night we agreed that living with his dad will be the best thing for him as his dad will push him more than I can because I'm not well. I don't want him to go at all,but want what is best for him and I need to make my own plans.

alihud

I'm in Wiltshire lindyloo I'm sure I've looked in housing association and because I would have money I would not be eligible.

pmlindyloo

Put 'shared ownership homes Wiltshire ' into Google and get in touch for some advice.

Here's one to begin:

http://www.sovereignliving.org.uk/buying-from-us/how-shared-ownership-works/