Can I have a house in my name but not derive any income from it and still receive tax credits etc?

[rosili]

I live in the UK but am from another country. For complicated reasons it would benefit another member of the family if my mum would put her house on my name. She would still live there, continue to pay her mortgage and all other costs, and I wouldn't get any income from the house being in my name.
I receive tax credits and housing benefit. I'm wondering if I would still be entitled to these?
Where can I get reliable information on this?

Not sure how it would affect you but your mother cannot have a mortgage on a house that isn't in her name.

I think you need a lawyer, but I can't see the mortgage company being thrilled.

Housing Benefit would stop as it would be considered a capital asset worth over £16K which means you would no longer qualify.

I’m not sure this would be possible anyway. Might be considered a tax issue - a way to avoid inheritance tax. If you technically own a house, I’m sure that would affect your housing benefit. Your mum can only pay your mortgage by paying you and you pay it I would think, so for all intents and purposes it’s your mortgage. surely you wouldn’t get housing benefit if technically a home owner.

How are you going to get a mortgage?

Like a pp said, 16k limit on benefits.

For complicated reasons it would benefit another member of the family if my mum would put her house on my name sounds like fraud to me

It won’t affect tax credits but it will count as an asset when you are switched to Universal Credit and you will get no award if you have assets (other than the house you live in) worth more than £16k.

Housing Benefit would stop as it would be considered a capital asset worth over £16K which means you would no longer qualify.

That's your answer.
If you own a property, its value is taken into account just as if you have that money in the bank.
Don't have anything to do with this.

Where can I get reliable information on this?
From Citizens Advice.

Run away from this mad scheme.

Why does she want it in your name, is it to do with tax.

You are looking at a world of trouble doing this. There are so many cross checks with banks, solicitors etc. these days to prevent money laundering.

No you can't do this.

No

HTH

It sounds like you/ her are trying to do some kind of clever avoidance thing. I really wouldn’t.

Seems like you and your mother would be doing this to defraud the taxpayer, so not sure where you would get advice.

For complicated reasons it would benefit another member of the family if my mum would put her house on my name

what are the reasons?

If its got a mortgage then surely the lender will not allow a transfer.

Is your mum trying to avoid care home fees?

To move the house into your name you would need to buy it off her and give her the value of the house. You would then pay the mortgage. You would need to do this via a solicitor. Or you could I suppose buy half the house. I would look at www.gov.uk or the equivalent in your country.

You can receive tax credits and be a homeowner. But I have no idea about the housing benefit side of things. I can’t imagine them giving you housing benefit to live in a different house whilst you have a property in your name.

Our neighbours went through a trust thing, put the house in their daughters names but continued to live there. HMRC came along and said they had to pay rent to their daughters. They then had to undo the trust. Cost a lot of money. They thought they could do this a few years ago but apparently not.

I believe if you own a house with a mortgage and don't work & are on Universal credit, you have to take a loan from Government to pay the mortgage. I guess the alternative would be to get a lodger. If you don't live in the house, I don't believe that you will receive housing benefit

So you are asking for help in perpetuating a fraud??

No.