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  • FIRST POST
    mrsrwallace
    Housing benefit query
    • #1
    • 21st Jun 12, 4:03 PM
    Housing benefit query 21st Jun 12 at 4:03 PM
    Hi
    Sorry not sure if I am sending this properly but I am seeking Housing Benefit advice. In a nutshell I have a mortgage and can no longer meet the repayments, the lender has declined my lower offers and I have written to them stating I cannot increase the offer. I am now awaiting their reply. In the meantime I would like to know what would happen if I was to move out of here and look to rent a property? Would I get Housing Benefit if I chose to move out of my home? Would I need to be evicted by the lender in order that I could get Housing Benefit? Any info would be much appreciated, thanks.
Page 1
  • mynameistallulah
    • #2
    • 21st Jun 12, 7:57 PM
    • #2
    • 21st Jun 12, 7:57 PM
    Hi
    Sorry not sure if I am sending this properly but I am seeking Housing Benefit advice. In a nutshell I have a mortgage and can no longer meet the repayments, the lender has declined my lower offers and I have written to them stating I cannot increase the offer. I am now awaiting their reply. In the meantime I would like to know what would happen if I was to move out of here and look to rent a property? Would I get Housing Benefit if I chose to move out of my home? Would I need to be evicted by the lender in order that I could get Housing Benefit? Any info would be much appreciated, thanks.
    Originally posted by mrsrwallace
    Until the property is sold, the equity in the property would be counted (minus an amount for costs), so anything above £6,000 would reduce your entitlement to HB, and anything over £16,000 would mean you are not entitled to any assistance.

    If you post on the Debt Free Wannabe board they may be able to help you deal with your mortgage payments. There are also some numbers on there for debt charities that can help you work through your options.
    • enabledebra
    • By enabledebra 21st Jun 12, 8:22 PM
    • 7,395 Posts
    • 10,909 Thanks
    enabledebra
    • #3
    • 21st Jun 12, 8:22 PM
    • #3
    • 21st Jun 12, 8:22 PM
    If you are taking reasonable steps to sell the house the capital can be ignored for 26 weeks. After that if it's not sold it is taken into account as mynameistallulah has explained.
  • mrsrwallace
    • #4
    • 21st Jun 12, 9:19 PM
    • #4
    • 21st Jun 12, 9:19 PM
    hi, thanks for replies.
    my house is in really bad negative equity and if i was lucky enough to sell it i would be left with a shortfall of about £40-£45,000. So if I had house up for sale and no chance of any equity or capital from it would I be Ok to apply for Housing Benefit for a rented house or am I better staying put and waiting until house is sold or I am told to leave?
    • enabledebra
    • By enabledebra 21st Jun 12, 10:07 PM
    • 7,395 Posts
    • 10,909 Thanks
    enabledebra
    • #5
    • 21st Jun 12, 10:07 PM
    • #5
    • 21st Jun 12, 10:07 PM
    http://www.dwp.gov.uk/docs/hbgm-bw1-assessment-of-capital.pdf

    Thy will assess the value of your capital minus any mortgage secured on it etc:

    W1.430 Capital should be valued at its current market or surrender value less 10% if there are costs
    involved in disposing of it. The 10% is the standard allowance that is applied whatever the
    actual costs of disposal. Any charge or debt secured against it should also be deducted.
    HB Reg 47 & 48; CTB Reg 38 & 37
  • CAB Wyre Forest representative
    • #6
    • 22nd Jun 12, 9:50 AM
    • #6
    • 22nd Jun 12, 9:50 AM
    mrswallace

    have a look at the others who have replied to your post, but also look at the CAB website
    www.adviceguide.org.uk and search 'housing benefit'. You cannot claim housing benefit whilst you are living inyour own home but once it is sold you can claim hb providing you fit the criteria as given on our website.
    Hope this helps
    Last edited by CAB Wyre Forest representative; 22-06-2012 at 8:44 PM.
    ďOfficial CAB Representative
    I am an official representative of CAB. MSE has given permission for me to post in response to questions on the CAB Board. You can see my name on the companies with permission to post list. If you believe Iíve broken any rules please report my post to forumteam@moneysavingexpert.com as usual"
    • daimonde
    • By daimonde 22nd Jun 12, 10:39 AM
    • 199 Posts
    • 203 Thanks
    daimonde
    • #7
    • 22nd Jun 12, 10:39 AM
    • #7
    • 22nd Jun 12, 10:39 AM
    You cannot claim housing benefit whilst you own your own home
    this is just not correct at all.

    the advice given above the CAB reply is correct from mynameistallulah & enabledebra - who actually quotes & links the HB guidance manual we use to process HB claims.

    the link posted is very useful, as well as the parts quoted it details capital items that may be disregarded which may be relevant.

    the whole HB Guidance Manual from where it came can be found here :-
    http://www.dwp.gov.uk/local-authority-staff/housing-benefit/claims-processing/operational-manuals/housing-benefit-guidance/
    Last edited by daimonde; 22-06-2012 at 11:20 AM.
  • Dunroamin
    • #8
    • 22nd Jun 12, 5:54 PM
    • #8
    • 22nd Jun 12, 5:54 PM
    mrswallace

    have a look at the others who have replied to your post, but also look at the CAB website
    www.advicegude.org.uk and search 'housing benefit'. You cannot claim housing benefit whilst you own your own home but once it is sold you can claim hb providing you fit the criteria as given on our website.
    Hope this helps
    Originally posted by CAB Wyre Forest representative
    You seem to have misspelled your link to the CAB Guide making it inoperable; I expect you meant http://www.adviceguide.org.uk/

    Unfortunately there is no information (that I can find) that addresses the OP's question, when you search under "Housing Benefit".
  • CAB Wyre Forest representative
    • #9
    • 22nd Jun 12, 6:12 PM
    • #9
    • 22nd Jun 12, 6:12 PM
    re Dunroamin post.

    I do apologise for not giving the correct link to CAB Adviceguide the one you have given is correct.

    I quote from CAB information on claiming for Housing Benefit.

    " Housing Benefit cannot be claimed for the costs of owning your own home, only if you are a tenant. Housing costs for home owners can usually be claimed through other means tested benefits, such as income support, jobseekers allowance etc."
    Hope this is clear now.
    Last edited by CAB Wyre Forest representative; 22-06-2012 at 8:45 PM.
    ďOfficial CAB Representative
    I am an official representative of CAB. MSE has given permission for me to post in response to questions on the CAB Board. You can see my name on the companies with permission to post list. If you believe Iíve broken any rules please report my post to forumteam@moneysavingexpert.com as usual"
    • enabledebra
    • By enabledebra 22nd Jun 12, 7:26 PM
    • 7,395 Posts
    • 10,909 Thanks
    enabledebra
    Hi
    Sorry not sure if I am sending this properly but I am seeking Housing Benefit advice. In a nutshell I have a mortgage and can no longer meet the repayments, the lender has declined my lower offers and I have written to them stating I cannot increase the offer. I am now awaiting their reply. In the meantime I would like to know what would happen if I was to move out of here and look to rent a property? Would I get Housing Benefit if I chose to move out of my home? Would I need to be evicted by the lender in order that I could get Housing Benefit? Any info would be much appreciated, thanks.
    Originally posted by mrsrwallace
    Capital

    Your capital includes savings and investments held by yourself in any form (for example, bank and building society accounts, investment trusts, and shares) from any source (for example, inheritance, redundancy payments, and irregular payments from a charitable or voluntary source). It will normally also include the net sale value of land and housing that you do not occupy, after deducting 10% for expenses of sale. HB Reg 44, HB(SPC) 44; CTB Reg 34,CTB(SPC) Reg 34]

    http://www.dwp.gov.uk/publications/specialist-guides/technical-guidance/rr2-a-guide-to-housing-benefit/working-it-out/income-and-capital/
    • enabledebra
    • By enabledebra 23rd Jun 12, 3:16 PM
    • 7,395 Posts
    • 10,909 Thanks
    enabledebra
    CAB Wyer Forest representative.

    Just a polite request that you do not edit your posts without identifying what has changed. It makes the thread very confusing - particularly where the original post has been quoted in a reply and/or the edit has changed the advice originally given.
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