Housing

AnjaliG
AnjaliG Community Member Posts: 12 Listener
in Benefits and income

Hello we are considering purchasing a house for our son and would like to know how it would affect his benefits if we transferred a property to his name or purchased one in his name.

Thanks for your help in advance

Comments

  • OverlyAnxious
    OverlyAnxious Community Member Posts: 5,974 Championing

    Hi,

    This shouldn't affect his benefits. Things like PIP or DLA are not means tested so would not be affected. IR ESA & UC are means tested, but the property the claimant lives in is not counted as capital so it should not affect those either.

    He would not be able to claim Housing Benefit or Housing Element to cover mortgage payments if not buying outright. He may still be able to claim Council Tax Reduction.

  • AnjaliG
    AnjaliG Community Member Posts: 12 Listener

    Thankyou for this information and getting back to me so quickly

  • AnjaliG
    AnjaliG Community Member Posts: 12 Listener

    So just thought of a follow up question. He cannot afford a mortgage as he is on benefits. If we paid outright would that be deemed to be an income to him and would that affect his benefits? (that is the cash to pay for the house rather han the house itself)

  • OverlyAnxious
    OverlyAnxious Community Member Posts: 5,974 Championing
    https://forum.scope.org.uk/discussion/comment/1080716#Comment_1080716

    If you give him the cash, that would be a problem.

    But if you buy the house for him, without the cash ever going into his account, that is not a problem at all.

  • AnjaliG
    AnjaliG Community Member Posts: 12 Listener

    Thanks Again for your help. That makes sense.

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