Advice On Buying a Council House

Loretta

nicola1982 wrote: »

Where do they live in 3 years then? They won't get another council house if they had RTB. Plus they'll make money on the sale which will then be taken out of their HI allowance (money from house sale can be taken into account with benefits - I've seen it happen to my OH's ex). Be very careful that you profitting will not put them in a difficult position.

With regards to saying you're paying them rent, that would need to be declared to benefits office so going down that route could result in an investigation. Also if you are earning I'm not 100% sure but they might need to declare your income anyway - you're living rent free.

To me this sound a lot more complicated than simply buying a council house - there could be some serious implications with regards to benefit fraud if you start declaring certain things. I would investigate what you should and shouldn't do in terms of claiming before doing anything - you don't want to put your parents in a worse position.

Whether you are paying them rent or not, if they are on certain benefits, ie. husing benefit the fact that you are living there at all would be taken into account and it would be presumed that you are contributing towards the rent and the council tax.

One of the questions of the housing benefit claim form would be 'do you own a property?' and it would also say on the form that you have to notify the council of any change of circumstances ie they have recently been left a house. What do they do with your Gran's? is it let? are they receiving rent?

This needs a good sort out before you do anything. The main question which you have not answered is, how can they get a mortgage when they have no income?