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AIBU?

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Original poster

To sell my house and try and get a council house? To think I'm too poor to own?

189 replies

RedFence · 23/05/2024 06:48

I don't want to rub people up the wrong way, I know its not easy to get a council house, I've never had one before, but I am at breaking point.

I've posted a few times about my house; I bought using a government scheme which means I have 60% equity. I am a single parent to 2 sons, 9&13, 9 yo is SEN. I work PT around their school as youngest cannot attend wrap around.

I bought the house whilst we were homeless, 3 of us in my mums tiny and damp spare room.

The house had so many issues not on the home report and because I'm stupid and didn't 'see' the issues. I had to get a new bathroom due to leaking, insulation, roof repair, raw sewage coming up through pipes into bathroom, it's been awful. I am in debt. And then last night, I come downstairs to a large area of the wall wet and dripping because the roof is leaking again. I can't afford it, it'll be another debt.

I have £9 in my account. I behind on my council tax, every month just seems to be a new repair. It's unsustainable. I skip meals, I haven't had my hair cut for 9 months, I wear trainers with holes in them. I don't mind if the alternative my sons miss out, I just want them to be okay. We have moved three times in just over a year, I feel so guilty.

I feel I was never in a position to be a home owner, inevitably I bought a house with issues because that's what I could afford, but I can afford the repairs, or the upgrades.

I don't know who I can talk to about this. I don't know what to do. Private rents are rare and ridiculously expensive, we also have a 5year old dog. I am breaking.

OP posts:
Thread gallery
10
PotatoPudding · 23/05/2024 06:52

How much equity do you have in your house? You would have to sell the house first before the local authority would even give you permission to bid; then your eligibility and priority would depend on your savings and your income.

Are you claiming everything you’re entitled to? Mortgaged home owners are still entitled to UC as long as they qualify through other criteria.

A call to Citizens Advice would be a good idea. Good luck.

Whaleandsnail6 · 23/05/2024 06:54

I'm not sure how this would work. You have secure housing now so would be low down in level of criteria, what would you do in the period between selling your home and being eligible for a council property? That could potentially take a very long time.

loudbatperson · 23/05/2024 06:55

You will need proper advice before you do anything.

Selling could likely make you intentionally homeless and the council would discharge its duty to house you.

60% equity in the property is pretty good, could you remortgage to afford the repairs? I am not sure how debts or part time working may impact this. You may need to speak to a mortgage broker.

fieldsofbutterflies · 23/05/2024 06:59

Surely if you sell your house, your council will see it as making yourself deliberately homeless and won't help you?

MountCaramel · 23/05/2024 07:04

Are you claiming DLA for your son and carers allowance or carers credit to make up your income shortfall. I would look at getting a remote f/t or p/t job to increase your household income.

If you sell in order to get a council house you won't be priority for the council. You could be stuck in a B&B for years before you're housed. You will not be able to choose the area the council houses you. Plus, any equity from the house might disqualify you from council housing.

Try to find a way to keep the house or sell to buy another one than to rely on council housing.

GeckoFeet · 23/05/2024 07:06

Talk to citizens advice and ask them to do a benefit calculator, they can do it online for you. Even though you've got a mortgage you'll be able to claim more than just child benefit.

MyOtherCarisAVauxhallZafira · 23/05/2024 07:08

Do you have 60% equity or do you have a mortgage for 60% of the property?

Original poster
RedFence · 23/05/2024 07:09

I honestly don't know how it works with council housing, I don't know anyone in a council house. The local authority have built a lot locally recently, I know having a house right now would mean I wasn't given any priority, but If I sold its not because I'm desperate for a council house, or maybe it is? Our housing situation does not feel secure, the house is at risk of falling into disrepair, its causing us a huge amount of stress. I don't feel well enough to go to work today, and worry about project deadlines when I have all this going on at home.

I just don't know what to do. I'm in roughly 13k of debt from repairs to family and the bank. I can't afford to eat. I should never have bought a house, I should have got a council house when we were homeless last year.

OP posts:
Original poster
RedFence · 23/05/2024 07:11

I have 60% mortgage on the house, sorry, so not equity? I have to give back 40% of the value upon sale.

I get topped up a little by universal credit, and I applied for CDP for my son last year before diagnosis, which he now has.

OP posts:
Einwegflasche · 23/05/2024 07:14

Firstly, sorry things are so hard @RedFence.
Regarding selling your house and trying to get a council house - it's highly possible that the council will view that as 'making yourself intentionally homeless', plus there is a huge shortage of supply in relation to demand when it comes council properties. If they housed you at all you may end up in a hostel or even a hotel/b and b. Even if you had applied last year you might only be in temporary accommodation, at best.
I suggest that you speak to an Independent Financial Advisor and somewhere like Citizens/Advice to see exactly what options you might have. You may be entitled to some sort of home improvement grant if your house is in really bad condition.
Good luck.

renomeno · 23/05/2024 07:16

Who owns the other portion of the house? They surely have equal responsibility for maintenance and repair? If it's a housing association you need to be discussing the situation with them, they might be able to help. Another option would be to speak to the charity Shelter who can give you advice or point you to appropriate support. Good luck

soupfiend · 23/05/2024 07:16

Is there space in the house to get a monday to friday lodger?

TheYearOfSmallThings · 23/05/2024 07:16

If you sold the house tomorrow, roughly how much would you get from your equity in it?

TheDefiant · 23/05/2024 07:21

Depending on area you could wait more than a decade for a council house. They aren't just hard to get, they might be nearly impossible to get.

Go to turn2us and look at the grant database. See if you are eligible for any grants that you could use to improve your home.

Check entitlements to benefits. Are there any second jobs you could do from home? Look at the earn £10 a day thread on here.

Go on the money saving expert website and learn every possible financial tool to manage your outgoings and income.

Get a referral to a food bank for food.

I think you fight tooth and nail to keep your home or at least get it ready for selling if you are exhausted.

Are there any charities associated with your DCs SEN that might be able to help with volunteers who come in and do home improvements?

PotatoPudding · 23/05/2024 07:25

I know it’s not a long term solution but are there any community-based charities that could help you with clothing and household items?

Original poster
RedFence · 23/05/2024 07:27

Would think negative equity if I sell tomorrow due to the roof leak and ceiling falling in.

If I repaired that, I believe I'd be lucky to get 5k I think. Boiler also needs looked at, there must be a leak as the pressure drops to the point of not working roughly every 3 weeks.

If I sell, I lose, but staying I am bleeding money and my health is affected.

I will call citizens advice and see if there are any grants. I thought about an SMI loan from government for interest costs, but thats just more debt.

OP posts:
qwertyqwertyqwertyqwerty · 23/05/2024 07:28

Please don't do anything rash. I understand you feel overwhelmed - this is a natural feeling Brew

If you sell your house, you will make yourself homeless but most likely not be entitled to council housing.

You need a budget - you must prioritise your mortgage and your CTax payments.

What are all your incomings and outgoings at the moment?

soupfiend · 23/05/2024 07:30

Can you set out the likely selling price, the amount of mortgage you have left, whether you pay any rent and service charges (ie is this shared ownership), what scheme you are under

You're writing about the property as if its derelict or something, are there things you can learn on youtube to fix them.

Theeyeballsinthesky · 23/05/2024 07:30

fieldsofbutterflies · 23/05/2024 06:59

Surely if you sell your house, your council will see it as making yourself deliberately homeless and won't help you?

I’m so sorry OP you sound desperate xx

however unfortunately You will in their eyes be “intentionally homeless” and they may refuse to help. At best you’d probably be in temporary housing in a bedsit in a hotel

have you gone to citizens advice to ensure you are claiming everything you can?

SquashPenguin · 23/05/2024 07:32

I know someone who did this. It took her five years to get a HA property because she’d previously had a mortgage and it was classed as making herself intentionally homeless. She’d shared the mortgage with her ex but was obsessed with having a council house to the point she left him for it. She then ended up renting privately for 5 years paying way over the odds, and the property she finally got was so far away her kids had to move schools.

Scottishshortbread11877 · 23/05/2024 07:33

MountCaramel · 23/05/2024 07:04

Are you claiming DLA for your son and carers allowance or carers credit to make up your income shortfall. I would look at getting a remote f/t or p/t job to increase your household income.

If you sell in order to get a council house you won't be priority for the council. You could be stuck in a B&B for years before you're housed. You will not be able to choose the area the council houses you. Plus, any equity from the house might disqualify you from council housing.

Try to find a way to keep the house or sell to buy another one than to rely on council housing.

You can only earn £151 weekly and under to claim carers credit

Beezknees · 23/05/2024 07:33

I live in a council flat.

I'm sorry OP, your situation must be hard. However, I would advise against your plan. I had to live in temporary accommodation with my DS for a long period before being housed. You do not get a choice of where this is. My DS was a baby at the time so not a huge issue, but if you have school age children you might end up far away from their school, it could disrupt their education. You will likely all have to share one room as well.

Temporary accommodation is usually not nice, luckily my DS doesn’t remember it but there are often many horrible characters living with you.

If you end up with money from a house sale they will probably say you have enough money to private rent and they will ask why you aren't doing that. You can still apply for a council property, anyone can but you will be a low priority. You could be in temporary accommodation for years. And there's no guarantee that you will get a safe council place, many of them are in disrepair, have mould issues that don't get dealt with. Luckily mine hasn't but I've had issues with broken doors, satellite dish etc that weren't fixed for months on end.

It really is not ideal to put your children through that unnecessarily.

Cucumberz · 23/05/2024 07:34

Personally id keep the house. Id put the debt on the mortgage (or home buyers loan) and elongating the mortgage period? You can always shorten the mortgage period when life is easier, when the kids are a bit older

Cucumberz · 23/05/2024 07:35

What’s your current mortgage period?