Can a disabled person buy a house without an income? {Merged}

[Deleted User]

MovingForwards said:

Potentially a person on benefits can obtain a mortgage, in reality it's only certain benefits which can be used towards obtaining the mortgage.

Speak with a really good, whole of market mortgage broker, to see what they say.

@haras_n0sirrah deals with shared ownership mortgages

But your mom also needs to find money for legal fees etc on top of finding the mortgage deposit.

She is probably better off contacting her local council and housing associations to see what they can do.

I don't know if it was clear in my OP. My father has been sending a consistent amount every month for the past 11 years, is that not good enough for a mortgage?

hb2

throwaway3000 said:

MovingForwards said:

Potentially a person on benefits can obtain a mortgage, in reality it's only certain benefits which can be used towards obtaining the mortgage.

Speak with a really good, whole of market mortgage broker, to see what they say.

@haras_n0sirrah deals with shared ownership mortgages

But your mom also needs to find money for legal fees etc on top of finding the mortgage deposit.

She is probably better off contacting her local council and housing associations to see what they can do.

I don't know if it was clear in my OP. My father has been sending a consistent amount every month for the past 11 years, is that not good enough for a mortgage?

It doesn't matter what your father did in the past, it's the future that counts. In your OP you said that he cannot continue making these payments.

Mnoee

Some mortgage providers do class PIP as income, Barclays is one of the brick and mortar ones that does. Any regular gift payments will not be counted as income by anyone, as they are not guaranteed. It's unlikely she will be able to raise the funds needed for a deposit, because of the rules around savings whilst claiming ESA - over £6k, they reduce, over £16k they stop altogether. This is rarely enough for a deposit, even if a person can save that much. You're also contending with the fact that your mother is unlikely to be able to get a long mortgage due to her age. 

Does your mother not claim housing benefit on top of her ESA and PIP? That should cover a fair chunk of the rent, at least. Also, check that she is receiving the severe disability premium with her ESA if she lives alone and claims both contributions based ESA and PIP. Hopefully maximising the amount of benefits your mother claims will ease the load on your father, even if a mortgage is not possible in her circumstances. 

Mnoee

I meant to say income based ESA, not contributions based, and can't work out how to edit in the new forum. Apologies. 

Comms69

throwaway3000 said:

MovingForwards said:

Potentially a person on benefits can obtain a mortgage, in reality it's only certain benefits which can be used towards obtaining the mortgage.

Speak with a really good, whole of market mortgage broker, to see what they say.

@haras_n0sirrah deals with shared ownership mortgages

But your mom also needs to find money for legal fees etc on top of finding the mortgage deposit.

She is probably better off contacting her local council and housing associations to see what they can do.

I don't know if it was clear in my OP. My father has been sending a consistent amount every month for the past 11 years, is that not good enough for a mortgage?

Hasnt your father paid enough?... 

AdrianC

60yo.
Doesn't work.
Only income is benefits.
No savings.

No, she is not going to find anybody who will lend her a 100% mortgage, and even if she did, how will she repay it?

Her best bet is to find out whether she's getting all she's entitled to in benefits, then find a suitable rental property - ideally from a social landlord. If she gets on the local authority's housing list, she may well get a certain degree of priority.
https://forums.moneysavingexpert.com/categories/benefits-tax-credits

You say your parents are separated, but are they still married? If so, then their finances may still be viewed jointly.

[Deleted User]

Comms69 said:

Hasnt your father paid enough?... 

I was just asking if they take into account regular gift payments. 

Comms69

throwaway3000 said:

Comms69 said:

Hasnt your father paid enough?... 

I was just asking if they take into account regular gift payments. 

But how would that help her paying the mortgage in the future in any case?...

Rodders53

Duplicate thread.  See replies here https://forums.moneysavingexpert.com/discussion/6164285/can-a-disabled-person-buy-a-house-without-an-income/p1

[Deleted User]

Mnoee said:

Some mortgage providers do class PIP as income, Barclays is one of the brick and mortar ones that does. Any regular gift payments will not be counted as income by anyone, as they are not guaranteed. It's unlikely she will be able to raise the funds needed for a deposit, because of the rules around savings whilst claiming ESA - over £6k, they reduce, over £16k they stop altogether. This is rarely enough for a deposit, even if a person can save that much. You're also contending with the fact that your mother is unlikely to be able to get a long mortgage due to her age. 

Does your mother not claim housing benefit on top of her ESA and PIP? That should cover a fair chunk of the rent, at least. Also, check that she is receiving the severe disability premium with her ESA if she lives alone and claims both contributions based ESA and PIP. Hopefully maximising the amount of benefits your mother claims will ease the load on your father, even if a mortgage is not possible in her circumstances. 

Thank you for your response.

I think all she gets is ESA and PIP but I will let her know.