Can i claim housing benefit for a house owned by my father

[hiblingz]

i recieve housing benefit for a house which i rent from a private landlord.

he has told me that the mortgage payments for the house i am renting from him have gone up

I spoke to the council and they told me i have to cover the shortfall myself as i allready recieve the maximum ammount of benefit.

There is no way i can cover the shortfall so my father has aggreed to buy a house and let it to me (buy to let)

Will i still be able to claim housing benefit?

[society]

I have nothing worthy of contribution except I'm glad Barmaid put her ten (not two) cents in.

[salspotters]

Best thread for ages the few who agree with joko are nice and read the thread properly and are clever all the rest are no better than dog turds.

[droopdrawers]

My Grandson lived with me rent free on more than one occasion when he was going through an on off relationship.

I have to say it may be legal to buy a house and rent it to a relative who us recieving housing benefit but it does leave a sour taste in my mouth.

I hope your situation changes soon hiblingz

DD

[joko]

i fail to see who benefits in that situation, any more than they would if they didnt do it

other than convenience...

[THECORBYLOON]

When a property is owned by a relative and rent is paid to that relative, the council has to check a couple of conditions.

Firstly the rent has to be paid on a commercial basis, this is not the same as paid at the market rate but means there is a formal arrangement.

Secondly, it must not be contrived, in other words, rent must be paid even when there is no entitlement to Housing Benefit (HB). If HB is being paid, the council must be satisfied these conditions are satisfied.

The law permits folk to live in a property owned by a relative and claim HB as long as the relative is not a close one who also lives in the property. If Joko did not live in the house, someone else would be renting it and getting HB so what is the problem?

[salspotters]

THECORBYLOON have you read all the posts joko says >i have also never had to attend any sort of meeting about it..and neither has my dad....nor have i even been questioned.<

Goodsoulette
(14:20 on Thu 02/Sep/10) I rented from my father and got housing
benefit but he already owned the property and it was quite clear that he would be renting it anyway. The problem you have is that he is especially buying the property to rent out to you. I don't know if this will get you through the contrived tenancy interviews that you will both have to attend seperately, believe it or not they want to knwo that he is just as willing to kick you out and get another tenant in if you dont pay the rent.

joko

(14:29 on Thu 02/Sep/10) good point goodsoulette...but i have never been asked how long my father has owned this house, so i doubt they will ask hiblingz

i have also never had to attend any sort of meeting about it..and neither has my dad....nor have i even been questioned.

i have claimed for short periods on an off for about 15 years, and probably filled the forms in about 10 times...

it may well be because although my dad is listed as my dad, he is also listed as a company too though

[joko]

salspotters...they perhaps have different processes in other areas...

could also be, in my case, because my dad is a well known landlord in the areas and has had, and still has, many other tenants over the years that they know its a genuine arrangement

[salspotters]

I agree with your first line

[LoftyLottie]

Thank goodness for Barmaid and Corbyloon who have absolute accurate knowledge on this. I am so pleased you have confirmed what others and myself have said.
As it so happens, I also have taken advice from the relevant sources on the rules and regulations of renting property out to a close relative.

However, it's sad to see that the few who apparently just don't have the intelligence to understand are still continuing to make absolute fools of themselves.

[joko]

i know lottie...thats why i kept replying...normally id have got bored ages ago...but i enjoyed hearing the knees jerking...then faltering...haha

[ummmm]

Joko is a she Doc...

[Goodsoulette]

I really can't see everyones issue here to be honest. I work now and moved out of dad's place a fair old while ago but I now pay 650 a month, which is a hell of a lot of money to me but its the best I could probably get, yet my housing allowance would be just 550 a month. If I was on benefits how on earth would I be able to rent privately? Many of us fall on hard times and thats why living in a country that has a welfare state is such a priviledge. Surely its better that Joko recieves half the amount of HB because of her fortunate circumstances than YOU ALL having to pay with YOUR hard earned taxes probably twice as much if not more.

[slark]

I was brought up with morals when my parents needed somewhere to live i let them move in with me. The thought of charging them rent and buying another property never crossed my mind. I was brought up with the belief that benefits were there as a safety net to stop you living on the street. It seems to me that some people on this site and indeed some in this country think that benefits are to be treated as a perk and claim or make as much money as you can out of the system. I honestly believe that this is why this country is a magnet to every piece of scum from around the world. Why should someone with kids work when they get a house and more money paid to them to not work. No wonder this country is the cesspit of Europe.

[joko]

jeez...slark...read the post

my dad owned the house well before i was born... and i have not 'fallen on hard times and need putting up' - this is my home and my offical landlord happens to be my dad

[cassa333]

Joko,

You say that most of the posters have missed the point or not read your posts properly.

I, however, would say they have a good grasp of what is happening. You don't seem to be grasping what they are saying.

Most of the negative posters, myself included, have said that although what you are doing is legal and to all intents and purposes above board it would seem morally wrong.

Your father owns four properties. One of which will, all things being equal, be yours eventualy.

Two are rented out (one to yourself) and two are in a state of disprepare. If I needed money to subsidise my pension then I would sell the two in disrepair and have a lump sum to live on. That way I could afford to let you live rent free. If they are in such bad shape then they must be costing him money to have hanging around!!

As a good businessman he should have thought of that already perhaps. Even if the market is depressed he would still make a tidy profit on something he purchased so long ago.

If the houses are morgage free he will make enough to keep him till he goes to the great property market in the sky.

[lushlar]

yes it will be ok, cos my dad and i did the same thing, as long as it is done properly with tenacy agreement and rent book and all that, and of course you have to be seen to be paying the shortfall.