Moving home - I am a home owner

Dusty_Hammer

Hi everyone

I’m wondering if anyone can help me. I am current getting universal credit, the one where I don’t have to look for work etc. (I applied for pip but it was rejected) 

I own my own home outright (I was left money by three relatives who all died quite close to each other )

I am considering moving house, because I currently live in a small town, and my dad (who currently lives in the same small town) is moving to France to retire. I rely on him for everything at the moment - so I am thinking of moving to Birmingham where I have a group of friends and there is excellent public transport, I know the city well, lots of support etc. 

Does anyone know if this would effect my universal credit? My situation hasn’t changed, I am still suffering the same condition, the same pain etc. just thinking about moving so I can be better able to be more independent as there is hardly any buses here and the hospitals etc are miles and miles and miles away. 

I just have no idea if this will effect my UC?? Everything I can find so far is for people who get housing benefits or have mortgages. 

Many thanks 

Dusty_Hammer

woodbine said:

Yes of course you can move home.

So… there won’t be any kind of penalty or anything for doing this? I’m sorry if I’m sounding really dense. 

My head is extremely scrambled at the moment. (It feels like a bucket of rocks) 

So I would guess I would just let them know when I have moved/plan to move? 

ShirleyW

Are you planning on selling your current home and buying another one in Birmingham?

If you sell up and use the sale proceeds to buy another home this is allowed subject to certain rules.

If you intend to keep your current home and rent somewhere then your UC would most likely be affected.  As the value of the home you don't live in is counted as capital/ savings. 

If you are going to sell and buy another home are you likely to have any of the money left over?
If yes then your capital/savings might be too high. 

If you have more than £6,000 savings your UC is reduced on a sliding scale.   If you have over £16,000 in savings then your UC will stop.

I am struggling to find a link to the Gov information about the rules on capital disregards for UC but I an sure one of the more experienced posters will be able to point you in the right direction. 

Dusty_Hammer

ShirleyW said:

Are you planning on selling your current home and buying another one in Birmingham?

If you sell up and use the sale proceeds to buy another home this is allowed subject to certain rules.

If you intend to keep your current home and rent somewhere then your UC would most likely be affected.  As the value of the home you don't live in is counted as capital/ savings. 

If you are going to sell and buy another home are you likely to have any of the money left over?
If yes then your capital/savings might be too high. 

If you have more than £6,000 savings your UC is reduced on a sliding scale.   If you have over £16,000 in savings then your UC will stop.

I am struggling to find a link to the Gov information about the rules on capital disregards for UC but I an sure one of the more experienced posters will be able to point you in the right direction. 

Hiya, thanks for your reply. 

I would sell this home and buy another, I don’t think I would have anything left over after selling fees, solicitors, moving costs etc. 

Hopefully someone can point me in the right direction re any rules / guidance it might be subject too

ShirleyW

@Tori_Scope I think that this discussion would be better off in the Universal Credit section in Benefits.

@Dusty_Hammer I have tagged one of the admin team to suggest that your thread may be better off in the Universal Credit section.  It is more likely to be seen there by one of the more experienced posters who will know about the rules concerning Capital Disregards for the sale of the home you live in.  I am struggling to find anything on the internet which links back to the .Gov site.

But briefly I think that if you sell the home you are living in, then the proceeds are disregarded for 6 months while you look for another property.  You do have to advise UC when you receive the proceeds as they will take you over the limit of savings you are allowed.  And then a Decision Maker makes the decision as to whether the money can be disregarded.  I also think it's possible to get the 6 months extended.

But I imagine that if you complete on the sale of your old house and the purchase of the new one on the same day then it wouldn't matter anyway.  But of course it's not always possible to do that.

Where would you live if you hadn't found somewhere before your home sells?

poppy123456

Dusty_Hammer said:

I own my own home outright (I was left money by three relatives who all died quite close to each other )

Do you have the inheritance now? or was that what you used to buy your current home?

Dusty_Hammer

ShirleyW said:

@Tori_Scope I think that this discussion would be better off in the Universal Credit section in Benefits.

@Dusty_Hammer I have tagged one of the admin team to suggest that your thread may be better off in the Universal Credit section.  It is more likely to be seen there by one of the more experienced posters who will know about the rules concerning Capital Disregards for the sale of the home you live in.  I am struggling to find anything on the internet which links back to the .Gov site.

But briefly I think that if you sell the home you are living in, then the proceeds are disregarded for 6 months while you look for another property.  You do have to advise UC when you receive the proceeds as they will take you over the limit of savings you are allowed.  And then a Decision Maker makes the decision as to whether the money can be disregarded.  I also think it's possible to get the 6 months extended.

But I imagine that if you complete on the sale of your old house and the purchase of the new one on the same day then it wouldn't matter anyway.  But of course it's not always possible to do that.

Where would you live if you hadn't found somewhere before your home sells?

Awesome, thank you. Appreciate you trying to find me the help I need, it’s all really complicated. 

I wouldn’t have any option but to go directly from one home to another, i wouldn’t be able to afford to put anything into storage . So yeah, it would need to be a direct thing.

Dusty_Hammer

poppy123456 said:

Dusty_Hammer said:

I own my own home outright (I was left money by three relatives who all died quite close to each other )

Do you have the inheritance now? or was that what you used to buy your current home?

It’s what I used to buy the house 

poppy123456

Thanks. Then as Shirley’s has correctly advised, when selling your home and buying another then savings can be disregarded for 6 months. ( can be extended) 

Dusty_Hammer

poppy123456 said:

Thanks. Then as Shirley’s has correctly advised, when selling your home and buying another then savings can be disregarded for 6 months. ( can be extended) 

Awesome, thank you, I really appreciate the clarity. 

L_Volunteer

Glad we could provide you with clarity @Dusty_Hammer. Thanks for your positive feedback.

If we can do anything else to help, please don't hesitate to let us know. We are all here for you