UC - Become a Landlord

NorthernStar_17

I'm currently on Low Earnings and One Child element for UC. I'd purchased a property over 10years ago, never lived in it as it needed refurbishment which due to many factors, never happened. Council tax kept charging me for empty property, as years went by at premium of +200% I could never afford to carry out renovations due to this high demand. (never ending cycle) Recently, a family friend has said he would like to become a tenant for 6months and do the refurbishments thus removing empty property premium.
Can I become a Landlord on UC? What is the requirements for declaring?
UC are aware of ownership of property as I stated these details when I started my claim but they said to only put the address where I currently live(live with parents) 

born_again

What is the value of the property? As it should have been part of UC claim as capital.

NorthernStar_17

I purchased it for 96k in 2014, don't know what value is now.
I told them about property but like I said,they said to just put where you are actually living.

FlorayG

Could get complicated.
Be aware that even receiving no rent you are still legally a landlord, you need insurances and safety checks and a tenancy agreement and if your tenant doesn't want to leave after the 6 months you may not be able to force him to. You are going to need a watertight tenancy agreement as to the rental value (current and when finished) of the property and how much value the tenant is going to put into the property to offset the rent he isn't paying. I think the tenancy is what you should be worrying about first, not your UC claim

poppy12345

NorthernStar_17 said:

I purchased it for 96k in 2014, don't know what value is now.
I told them about property but like I said,they said to just put where you are actually living.

What do you mean by “you told them” who did you tell? When you claimed UC and filled in the form, it actually asks if you own any properties which you dont live in, what did you put for that? 

If there’s capital of more than £16,000 in that property then there shouldn’t have been any entitlement to UC. 

sammyjammy

Oh dear, I see a big overpayment in your future.

Muttleythefrog

I think you've failed to declare your capital correctly. This property should have been declared and any issues of disregard then considered. I think you need to resolve and take advice on this before considering any further declarations of intent with the property.

"I told them about property but like I said,they said to just put where you are actually living." - often UC or Jobcentres give really bad and incorrect advice... I cannot explain why they would say this but context could be important.

poppy12345

Muttleythefrog said:

I think you've failed to declare your capital correctly. This property should not have been declared and any issues of disregard then considered. I think you need to resolve and take advice on this before considering any further declarations of intent with the property.

Surely that’s a typo and should read “should have been declared” 

Muttleythefrog

poppy12345 said:

Muttleythefrog said:

I think you've failed to declare your capital correctly. This property should not have been declared and any issues of disregard then considered. I think you need to resolve and take advice on this before considering any further declarations of intent with the property.

Surely that’s a typo and should read “should have been declared” 

thanks...yes... corrected.... distracted by Rachel Reeves in my other window..lol

ripplyuk

Do they disregard property that is classed as uninhabitable? OP says they never lived there because it needed refurbished. 

NorthernStar_17

poppy12345 said:

NorthernStar_17 said:

I purchased it for 96k in 2014, don't know what value is now.
I told them about property but like I said,they said to just put where you are actually living.

What do you mean by “you told them” who did you tell? When you claimed UC and filled in the form, it actually asks if you own any properties which you dont live in, what did you put for that? 

If there’s capital of more than £16,000 in that property then there shouldn’t have been any entitlement to UC. 

On the online application to claim for UC, I declared that I had a property but I don't live there. They came back and said just to put address you are actually living at for the claim. If they've given me incorrect advise regarding this, then what will happen now. 

*if capital was disregarded, will I have grounds for appeal if they state I have to payback overpayment, if I can prove thats the advise provided from UC.

What capital/value can you have as surely all property is over the £16,000 but says you can own property and Claim UC