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Original poster

Universal credit and mortgage?

7 replies

whalesong88 · 28/04/2023 21:33

Me and my 2 children have recently moved out of the family home and in with my parents after separating from their father.
My name remains on the mortgage as he says he can't afford to buy me out, and the mortgage goes up when he takes my name off.
I've applied for UC but it says they will give me 6 months leeway for being on the mortgage.. it's classed as an "asset"
What does this mean? Does it mean if I'm still on the mortgage in 6 months time I won't entitled to UC anymore? Thank you.

OP posts:
GiltEdges · 28/04/2023 21:34

Yes, quite probably. You need to seek legal advice.

Babyroobs · 28/04/2023 22:47

You own half a house that you are not living in. DWP will disregard the equity in the property for six months to give you a chance to sell it or for him to buy you out. It can be disregarded for longer but that decision would need to be made by a decision maker at that time. Once the house is sold, if you get more than 16k equity from the sale or him buying you out then your UC would stop. If that equity is being put into another property that you are buying then it can be disregarded again but I'm not sure on the time scales for that.

Original poster
whalesong88 · 28/04/2023 23:05

@Babyroobs thank you. That's very helpful. He doesn't want to put the house up for sale nor be able to buy me out so I can imagine it taking a while. After 6 months will I need to contact UC if I'm still in the same position (named on a mortgage for a house I'm not living in) or will they get in touch with me? I'm all new to this.

OP posts:
Rockatoundacroc · 30/04/2023 16:39

I believe that you can force the sale of a property , but you would need legal advice. This is if you own jointly.

Or he can buy you out of the property
He could get a lodger in if you come off the mortgage

backawayfatty1 · 30/04/2023 19:39

There may be am exception made if he refused to sell and you can't afford to force the sale. Discretion of work coach unfortunately

LakieLady · 01/05/2023 09:24

If you can demonstrate that you are taking reasonable steps to sell the property, eg legal proceedings to force a sale, they should extend the 6-month period during which your share of the equity is disregarded.

ilikeeggs · 02/05/2023 08:14

You can still get UC if you’re on a mortgage as I do but you just don’t get the housing element.

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