Playing the system? Housing benefit question

I have experience of renting out a property in Manchester to a benefit claimant and I think I'm on safe ground by saying that they will not fork out £600 notes for a single person to live in a flat!!. Especially if there is cheaper to be had and/or local authority/housing association property available. The benefits system is a safety net and not a way of life!.

600 for a place is surrey is very very cheap !

600 is not a lot in Surrey. It will depends on the woman cicumstances, however if the council find out that she has the money to pay rent in advance it is likely that she is commiting (or going to) fraud. I would stay well clear.

Your friend should contact the council to aks what their upper limits for HB are for single people.

She said she was going to pay the advance from her savings. She hates living up North - only went there because her husband (now deceased) wanted to go there and no he's gone she wants to move back South. More of the hard luck story she told my mate.

Will they give out that information - from my experience, trying to get information out of a local authority is like getting blood out of a Jehovah's Witness.

I imagine it is,more fool those who live there,but the social wont pay for it..!!

Post on uk.gov.social-security. There are several HB experts there.

My point is that there is a limit to the amount of savings you can have to be able to claim HB.

Yes, just ring and ask what their upper limit is. It might even be on their website. Which council would it be ?

Thanks for your tip - I told my mate to email his local authority and they replied back and said that the maximum rent payable for a 1 bedroomed property is currently around 675 per month in his area. They use the 'Rent Officer Service' - whatever that is. Seems like this old woman may be on to a winner! Now I know where my council tax, income tax and every other tax goes to!!!!!!!

"Zoe Brown" wrote

Perhaps paying the advance totally wiped-out her savings?

Whether this is the case of not, housing benefit are not likely to pay her back if you see what I mean. It is just something to look out for.

Basically an inspection of the property to check that it is suitable and that the rent being sked is not too much.

Yup - and now imagine what the maximum rent in surrey would be for a single mum and 3/4 children !!!!

"Zoe Brown" wrote

No-one is suggesting that they will pay her back the advance, just future rent - surely?

This is a huge problem for the state. Unless property value declines then rents, which the government will fund, will inevitably rise, inexorably.

I would not be remotely surprised to see new rules 'instructing' rent review officers/panels to order low rents to save overwhelming the taxpayer at the expensive of the landlord. I see no reason to suppose that this will not form a baseline which will ripple through to the private sector and impose a ceiling on rent levels.

Possibly - it depends on how you read the post. In anycase it is clear that she intend to make the claim for HB now and they won;t process if the rent is already paid for the next 6 months. I suspect that she will pay the rent, make the claim and then keep the 6 months rent that she has paid in advance. I could be wrong...it just sounds dodgy.

In message , Neaco writes

There are a few ways of looking at this.

7 months rent up front is not a bad deal for a landlord. But if she doesnt pay after this, (or HB dont pay), if you keep on top of things like notice, summons, and bailiffs, it might be the end of the 10th month before you got to the point of eviction.

I think you, (or she), can have a pre-tenancy determination, which tells you what they will pay before she moves in.

Personally, if someone even hints at the possibility of being a housing benefit tenant, I would run a mile - based on 4 years experience of Manchester and Trafford Councils benefits systems.

How would you feel if she was a "normal" housing benefit tenant, and was not able to pay more than say, 1 months rent and a deposit, up front. This is what she will be once the up front rent period comes to an end.

But many private landlords, letting agencies etc. steer well clear of taking on tenants who claim housing benefit. For private sector landlords in these situations I can't really see how controlling rent levels can be enforced.

Of course they will pay her back the advance, as long as she is eligable for housing benefit when she first moves in and starts a claim then.

It will take a few months to come through but she will recieve rent backdated to the date she moved in, paying back her advance.

Peter