can a disabled person iinherit a house then rent it out for income

glyndwr1999

Hi all,

a complicated question, but i`ll try my best to outline the basics of my query.

I am a full time carer, on income support, caring for my disabled 20yr old son, who has quadriplegia cerebral palsy and will need care for the rest of his life.
I am also responsible for his financial matters and have obtained a lasting power of attorney.

My dad that is now quite elderly wants to leave his house to my disabled son in his will. In that event, could my son rent out the house for is own income without that affecting me in any way even though i am his power of attorney or would he have to sell the house?

Thank you.

JohnnieW

It would probably not be in your son's best interests to have the house left to him as it would affect any means tested benefits.
It would be better if it were left to him in a discretionary trust, so that he could preserve his benefits and you could use the income on his behalf for things which benefits would not cover.

glyndwr1999

Ok, thank you for that Johnnie, so am i correbt in thinking a discretionary trust is set asise when being assessed for any benefits he may get.
At the moment he is in college so does not claim anything in his own right yet, but in july he will be out of college and be on employment support allowance.
The main reason for the house not coming to me is that it wold affect my position as a carer and income support claim.

elsien

If he does rent the house out, would it be you doing all the landlord duties and responsibilities as power of attorney? If so, you'd need to do a bit of research as to all your obligations, on top of the money side of things.

le_loup

Isn't it good the either one or other of you could become self sufficient - if only for a time - rather than being on benefits?

McKneff

Could you live in the house when it all comes to pass, saving Rent....

glyndwr1999

le_loup wrote: »

Isn't it good the either one or other of you could become self sufficient - if only for a time - rather than being on benefits?

Of course it would. I could quite easily put my son into full time care and go back to work no issue, if you feel that would be a cost advantage.....
You have no idea in the cost emotionally and monetary in caring for a severely disabled child or young adult that cannot do anything for themselves.
I consider the state do very well indeed out of the £60 odd pounds i get per week for caring full time for my son. So please, dont patronise me, you have no clue......

Bogalot

glyndwr1999 wrote: »

Of course it would. I could quite easily put my son into full time care and go back to work no issue, if you feel that would be a cost advantage.....
You have no idea in the cost emotionally and monetary in caring for a severely disabled child or young adult that cannot do anything for themselves.
I consider the state do very well indeed out of the £60 odd pounds i get per week for caring full time for my son. So please, dont patronise me, you have no clue......

Have you misread the quoted post? What le loup suggests will give you/ your son a higher income.

le_loup

glyndwr1999 wrote: »

Of course it would. I could quite easily put my son into full time care and go back to work no issue, if you feel that would be a cost advantage.....
You have no idea in the cost emotionally and monetary in caring for a severely disabled child or young adult that cannot do anything for themselves.
I consider the state do very well indeed out of the £60 odd pounds i get per week for caring full time for my son. So please, dont patronise me, you have no clue......

You asked for help. Sorry that you thought I was not trying to give it.

System

glyndwr1999 wrote: »

The main reason for the house not coming to me is that it wold affect my position as a carer and income support claim.

You are falling into the benefits trap and risk doing yourself out of money just in order to maintain a benefits claim for Income Support and Carers Allowance, potentially making the both of you at least £1900 a year worse off and probably more than that. Your carers allowance claim would not be affected if the rental profit was at or below £110 a week which is more than you'd be getting in income support by £37 a week leaving you £1900 a year better off and I find it hard to believe you couldn't do with having an extra £1900. There are expenses which you can offset to maintain that £110 and some of them don't involve you spending as much money as you claim.

However if you live in an area where the property rental is higher, such as the south east, the rental income was more than £137 a week then you'd be better off than being on Carers and IS.

As I said you are falling into the benefits trap by your thinking and basing your entire decision making on maintaining your claims. There are a lot of people in poverty in this country because they do the same, usually trotting out the "but we'd only be working for a quid an hour" as justification because the wage for the job was £40 more than the benefits they were on.

Cook_County

Are you a Court appointed deputy for your son? The duty of the deputy (possibly you if you have been appointed) is to act in his best interests. I am struggling how you could persuade the court when the time comes that his granddad dies that it is in your son's best interests to have 100% of his assets held in a single high risk class of assets that has no certainty of regular income. Your dad's solicitor should include a discretionary trust to be created under the Will. It is likely that the trustees will agree that selling the property and using the cash in a balanced investment portfolio will be a much better proposition.