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Buying parents housing association property.

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24

Comments

  • blueball
    blueball Posts: 22 Forumite
    edited 18 July 2018 at 8:57PM
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    The money is coming 100% from me.

    I've been unable to get a mortgage to buy my own property so am using the money which I have to buy my dads house with cash.

    I rang the housing association and they've said as I'm related there's no issue with me buying the house and taking advantage of the 50% discount on offer.

    I did phone housing benefit and they said the best way to do it (so he can keep housing benefit) would be to setup a limited company.
  • Edi81
    Edi81 Posts: 1,444 Forumite
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    I do not believe for a minute that the housing benefit people said that!
    You make me sick - trying to do the state for your own personal gain.
  • 00ec25
    00ec25 Posts: 9,123 Forumite
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    blueball wrote: »
    the best way to do it (so he can keep housing benefit) would be to setup a limited company.
    excellent idea. By the time you have done that it will have cost you an extra 51% and done taxpayers a very great service.
  • tlc678910
    tlc678910 Posts: 982 Forumite
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    edited 19 July 2018 at 1:18AM
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    As it is your father who has the right to buy (at a huge discount) it would be disgraceful if someone were able to exercise this right on his behalf and then charge the public purse for him to live in it.

    If this is allowed we should be writing to our MPs. Just when you thought you had seen it all with right to buy. What an utter P155 take!

    Edit: but I assume he would have to be named on the deeds and would not be allowed to claim housing benefit for a home he owns. I hope so!
  • Norman_Castle
    Norman_Castle Posts: 11,871 Forumite
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    HA rtb has only had a small pilot scheme, do you mean right to acquire? With rta the tenant would become the owner. Impossible to rent to yourself. Which HA is it?


    See below.
  • Sncjw
    Sncjw Posts: 3,509 Forumite
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    You would have to set up a proper tenancy agreement. If he doesn!!!8217;t get housing benefit or can!!!8217;t pay the rent will you evict him?
    Mortgage free wannabe 

    Actual mortgage stating amount £75,150

    Overpayment start date 1/3/23.

    Starting balance £66,565.45

    Current balance £63,787.16

  • jimbo26
    jimbo26 Posts: 954 Forumite
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    Here's an idea, why don't you support your father rather than expecting the tax payer to do it.
  • blueball
    blueball Posts: 22 Forumite
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    Thanks for the replies so far.

    It's definitely called right to buy, the property has been discounted at 50% of the purchase price.

    With regards to the use of tax payers money I'm not sure I follow what people are saying. He gets housing benefit, housing associations are companies so regardless if he's paying rent to me or the housing association the cost to the tax payer is the same amount. Why would you rather a faceless company profited as opposed to a family member?

    HB advised to form a limited company but I would just like to see if anybody else here has the same experience.
  • Mojisola
    Mojisola Posts: 35,557 Forumite
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    Would you evict your father from his home?

    If you would, your father would be mad to let you buy the house.

    "The council will refuse your housing benefit claim if it believes that your relative would not evict you even if you can't pay the rent."
    https://england.shelter.org.uk/housing_advice/housing_benefit/housing_benefit_renting_from_family
  • blueball
    blueball Posts: 22 Forumite
    edited 30 July 2018 at 9:56PM
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    He would be given a standard AST. However as he gets a pension and HB he is never going to be in a position where he can't pay the rent.

    I would not evict him from the property, it's a life long arrangement and an investment for the future. After his death, the property would be converted into flats and sold.
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