Benefits and savings limit what do I do

[Happybabys]

Own my own very small one bed flat partner lives with us and surprise baby on the way. Partner works low income Newly self employed wage should go up as time goes on. I left my job just before Christmas due to illness with view to find a job suitable to my illness. I’ve now got hg badly so finding a job is impossible at the moment. I have some savings for us to get a bigger house but currently using them to live off. I’m not entitled to any benefits due to our joint savings. I’m going to have to move once baby needs its own room flat is way too small. I will have to sell my flat and live of the small amount of equity I have to rent somewhere bigger. Renting will be more expensive than what my mortgage would be. I feel like I’ve saved since my first job to get on the ladder all for nothing. We’ve looked at moving now but mortgage company want another year of business earnings. Was told I was infertile had planned on buying a bigger house and then looking at ivf in the future. Feel very blessed to be pregnant but also at a loss.

Maybe spending 3k to get your savings below 16k isn't a bad idea IF it means you can claim UC- I'm not an expert!
Can you overpay any debt, start buying baby things, something beneficial for flat?
Personally I would also claim unemployment benefit, even if you can't actually work atm due to morning sickness, I think job centre are unlikely to chase for job applications in your situation.
Claim maternity allowance when you can.
As PP have said do not sell your flat and rent, you can probably manage in a one bed with a young child for a quite a while . Not ideal but better than selling and using your equity on rent, things will hopefully improve in 2-3 years and you can move up property ladder.
Congratulations on your pregnancy

Sorry forgot to say my partner also has 25k count Remember last night think I’ve been so sick my brains gone with it. Also flat it’s like tiny tiny small one bed with enough room for a double bed and not much else in the living room. Kitchen is with the living room as one small room we will make it work but it will be tight .

This. Don’t sell and rent. Make do for a couple of years if need be. You’ll never afford to buy again otherwise.

You’ve got £45k between you?

You won’t be entitled to any UC with 20k and 25k in savings. Why are you considering benefits if you have so much saved?

Even if you get your savings down to 16k, £4.35 is taken off of your UC claim for every £250 you have saved that’s over £6k. You have a mortgage so you won’t be paid the housing element anyway so the deductions will probably wipe off your entitlement.

You’ll have a joint claim as you’re a couple and if your partner is self employed but on a low income and not earning the minimum amount when self employed, they will tell him that he needs to find another job with a better income. If you’re more than 28 weeks pregnant then you won’t have any work commitments. You will do so if you’re less than 28 weeks.

Your best bet is probably making the house that you’re in work as best as possible

Stay put until you can upgrade. You might never get back into owning otherwise.

My ds (just turned 5, health issues mean he's up overnight) and dd2 (still breastfeeding) still insist on co sleeping with me. Dp is the only one who sleeps alone.

You can always do clever things with the living room to make more space as needed. Maybe get a good sofa bed now if either of you is likely to need/want uninterrupted sleep.

Congratuations!

Totally understand it's frustrating that you've worked hard in the past to acquire savings. Can your OH get a second job? DH bought his own flat and worked a second job before and after he met me for extra income. He changed job and then was doing all the overtime going.

I can't believe you even considered benefits with so much in savings.

You cannot ring-fence savings to buy a property and then expect taxpayers to pay for your day-to-day living expenses.

With 45k between you that’s enough for a deposit on a new house . Sell your flat, either get a WFH job and your partner ups his hours. You have enough money between you not to panic

We can’t get a mortgage at the moment and where I live houses are so expensive we have looked at moving but it’s not an option we are going to stay put for now. What irks me is that I scrimped and saved for years not having treats etc to be able to move house and it’s going to be dwindled down on living expenses. I could have had a holiday gone to the cinema actually enjoyed my life and been able to claim some money instead.

Is that £45,000 a big enough deposit to put down on a larger flat or even a small house
Have you looked into shared ownership. Which area do you live in?

You have 45k between you and you have Choices.

I wouldn't step off the housing ladder. We had our dd in our room in a cot bed until she was 4 and it was fine. There's no rush for them to have their own room and they'll probably prefer being in with you.

Over pay your mortgage by 35k if you can, even if you have penalties for doing so. Then pay the council tax, gas, electric and water £1k each to give you a buffer. Then claim universal credit 🤷🏼‍♀️

Depending on your due date and how long you were in your previous job, might you qualify for maternity allowance? You need to have worked 26 weeks in the 66 before baby is due. That might go some way to bridge the gap until either your partners income goes up or you are able to return to work.

If you didn’t have this money, you’d be forced
to claim benefits anyway. You still wouldn’t be able to save up.

What irks me is that I scrimped and saved for years not having treats etc to be able to move house and it’s going to be dwindled down on living expenses. I could have had a holiday gone to the cinema actually enjoyed my life and been able to claim some money instead.

Wow.

Besides, you don't have to sell. No baby needs their own room.

For various reasons we (DH and four children) ended up in a tiny two bed for a time years ago. I honestly look back quite fondly. We all moved sleeping arrangements a lot as the children got older, (the last few months we slept on a pull out in the lounge so the kids could have bedrooms) but it worked. Yes it was squashed but also cosy and cheap and we went outside more.

Yep, this sounds wise.

Keep the £6k savings you're allowed have, overpay the mortgage, overpay your utilities, then apply for benefits. Sorry you're so unwell.

Savings are for rainy days, this is your rainy day.

Stay put, focus on new baby, re visit when baby is 6 months. Hopefully, your partner will be earning more.