Can a parent be a landlord? How do I inform DWP?

howmuch

Hi. I receive PIP benefits due to my neurological disorder and my partner is my carer. We also receive universal credit including the housing element.

my question is, can my parent be my landlord? I’ve discussed this matter with the CAB and they advised that a parent can be a landlord provided:
1) the landlord isn’t receiving an inflated rent. Ie. It’s not more than the market value
2) it is a genuine commercial arrangement. Ie if the tenant went behind with the rent then the landlord would evict the tenant.

both of these conditions are true. How do I inform the DWP? I’m becoming paranoid because I’m not certain that I ticked the correct box when I originally applied for universal credit.

Richard_Scope

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forgoodnesssake

My info may not be correct but we asked this exact question of a Uni benefits advisor a couple of years ago and were told very definitely that housing benefit cannot be paid to a family member.  However I would have hoped that CAB would be up to speed!

Geoark

Parents can be landlords, with regards to being at uni this article may be helpful
https://www.simplybusiness.co.uk/knowledge/articles/2016/10/how-parent-landlords-rent-to-their-children-to-help-them-on-the-property-ladder/

forgoodnesssake

To clarify my comments. Yes parents can be landlords but, if the student (or otherwise child of the parent landlord) is eligible to claim housing benefit or its equivalent they cannot do so if they are renting from a close family member, ie it cannot be paid to that parent. So there could be a big financial hit. That is what we were told.

poppy123456

This is not correct. Claiming housing benefit/housing element of UC from a close family member is possible but it's only possible if your tenancy is a commercial one rather than an informal family arrangement.

https://england.shelter.org.uk/housing_advice/benefits/housing_benefit_renting_from_family

forgoodnesssake

Thanks.. That is interesting!

Kitty1

Hi
I rented a house from my sister when I first came back to my home town a few years ago. She had her own home and did not live with me. It was a proper rental property. I was allowed and received housing benefit.