can i buy my mums council house??

25
Found 12th Jul
hi can any one help me. my mum is on housing benefit now due to bad health. she asked why dont i buy the council home she lives in as its a family home. me and my partner been trying g to save for a mortgage and managed to save 25000. my mum reckons we would be able to buy hers for that. i love my mums house its home to me. but i don't know if i would be able to it? my mum would still live in the house untill she passes away.
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If you can save £25,000 you should be able to buy a regular property and have somebody who needs that council property move in,this is the problem with council homes! And before people jump down my throat I spent my first 25 years of my life in one! I understand it’s a family home memories etc but you’ve got more deposit than most could dream of for a start on the property ladder!
But if you pursue it you have to find out if you have the right to buy- if the name on the books has been changed once already I doubt you will- Unless a name has been removed as this is a removal and doesn’t count!
Edited by: "ASongOfFireAndIce" 12th Jul
25 Comments
If your mom wants to buy her council house what business of the council is it where she gets the money from? you can't buy in your name though and when it passes to you or if gifted the might be tax to pay.
I know here in many parts of Wales as of this year they have removed any rights to buy your council home, also don't think you will purchase it for anywhere near £25,000, I thought it was around 25% lower than market value. So if it is valued at £100,000 you are still looking at £75,000. The other issue is that I would imagine the right to buy would only be for your mum, if you was to gift her the money to buy her home it could affect any benefits she is claiming.
Edited by: "SOUTHWALES" 12th Jul
4TheMenyNotTheFew5 m ago

If your mom wants to buy her council house what business of the council is …If your mom wants to buy her council house what business of the council is it where she gets the money from? you can't buy in your name though and when it passes to you or if gifted the might be tax to pay.


I thought you risked getting done for money laundering if you buy an item for more than £5000 cash so will need to state where the money has come from, if son pays it into her bank account then even though it may only sit there for a week it will not look good if claiming benefits.
Edited by: "SOUTHWALES" 12th Jul
You would have to gift your mum the money and pay tax on it. Then she would lose any benefits she receives as you would be over the savings threshold. So she would have to pay full rent till the sale went through. Then she would have to live in it for a minimum of 5 years before selling it in to you. Or gifting it and paying tax.

Yet again someone trying to get something for next to nothing!
Edited by: "Wadda" 12th Jul
SOUTHWALES7 m ago

I thought you risked getting done for money laundering if you buy an item …I thought you risked getting done for money laundering if you buy an item for more than £5000 cash so will need to state where the money has come from, if son pays it into her bank account then even though it may only sit there for a week it will not look good if claiming benefits.



Well money laundering is just that, you can't done for it you are not doing it. The money doesn't need to be in the mom's account it just needs to be transferred to the council's solicitors account. Naturally once she owns the house some of her benefits must stop.

Pretty sure if the go to their bank or bs they'll tell them how to do it. But sure they may be flying close to the wind on council regs if not political views.
If you can save £25,000 you should be able to buy a regular property and have somebody who needs that council property move in,this is the problem with council homes! And before people jump down my throat I spent my first 25 years of my life in one! I understand it’s a family home memories etc but you’ve got more deposit than most could dream of for a start on the property ladder!
But if you pursue it you have to find out if you have the right to buy- if the name on the books has been changed once already I doubt you will- Unless a name has been removed as this is a removal and doesn’t count!
Edited by: "ASongOfFireAndIce" 12th Jul
4TheMenyNotTheFew11 m ago

Well money laundering is just that, you can't done for it you are not …Well money laundering is just that, you can't done for it you are not doing it. The money doesn't need to be in the mom's account it just needs to be transferred to the council's solicitors account. Naturally once she owns the house some of her benefits must stop.Pretty sure if the go to their bank or bs they'll tell them how to do it. But sure they may be flying close to the wind on council regs if not political views.


Don’t you think it’s ripping off both the council involved and the government? The council only get about a third of the money from a council house sale. The rest goes to the central government. That’s why councils can’t afford to build more council houses. The council for years will have been paying for her rent and maintaining the house. That then she’s getting on the cheap. It’s th3 tax payer that suffers in this situation

Another thing to consider besides this is if you buy your mums house and she own it. If she has to go into care the house will be classed as her asset and have to be sold to pay for her care home bill. You would have no right to it at all
Edited by: "Wadda" 12th Jul
I do understand that it is hard trying to get your foot in the property ladder, truth be known it is demand that has pushed house prices through the roof, since 1997 we have added an extra 10 million to the UK population and this has had a serious affect on demand, to ease the housing crisis I think local councils should build caravan parks but to a high standard, but to stop them turning into trailer trash parks only allow working families or the disabled to apply to live there. I would live in one tomorrow as modern caravans are luxury living compared to the tiny houses they build now.
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Edited by: "SOUTHWALES" 12th Jul
It cannot be done. First thing they'll check your mother's savings and even if you deposit a sum in her account they will smell a rat. The savings have to go back many years. Get past this, they'll investigate next of kin in case they being coerced.
Wadda30 m ago

You would have to gift your mum the money and pay tax on it. Then she …You would have to gift your mum the money and pay tax on it. Then she would lose any benefits she receives as you would be over the savings threshold. So she would have to pay full rent till the sale went through. Then she would have to live in it for a minimum of 5 years before selling it in to you. Or gifting it and paying tax.Yet again someone trying to get something for next to nothing!


I think we are all guilty of trying to get something for nothing, every one wants a slice of the cake, let's not pick on your average person when those at the top are the biggest scroungers of them all.
ASongOfFireAndIce24 m ago

If you can save £25,000 you should be able to buy a regular property and …If you can save £25,000 you should be able to buy a regular property and have somebody who needs that council property move in,this is the problem with council homes! And before people jump down my throat I spent my first 25 years of my life in one! I understand it’s a family home memories etc but you’ve got more deposit than most could dream of for a start on the property ladder! But if you pursue it you have to find out if you have the right to buy- if the name on the books has been changed once already I doubt you will- Unless a name has been removed as this is a removal and doesn’t count!


ive had to work 13 hr shifts 6 days a week to save this up my hubby works 6 days a week. also my dad and grandad just passed away and i was left money and want to put it to good use. id like my little boy to be set up if anything wad to happene to me. i font want him paying dead end rent money like i have done.
Same here same here no different here! Even the money being left I could of bought my moms home for £32,500 there worth £100-125,000. If you have £25,000 you effectively have a 10% deposit which is what most banks require so you could basically purchase up to £250,000 if your earning a regular income and you meet lending criteria but you wouldn’t go that high anyway so drop down the price of a property and more options of a mortgage will become easier. Then it won’t be “dead end” as you put -there’s no point being the richest person in the grave don’t get so hung up on leaving your kids the world he’s little as you say! And renting isn’t so bad if you have an end goal and money to one side!(highfive)
Edited by: "ASongOfFireAndIce" 12th Jul
Have you asked the council?
Wadda1 h, 30 m ago

Don’t you think it’s ripping off both the council involved and the gov …Don’t you think it’s ripping off both the council involved and the government? The council only get about a third of the money from a council house sale. The rest goes to the central government. That’s why councils can’t afford to build more council houses. The council for years will have been paying for her rent and maintaining the house. That then she’s getting on the cheap. It’s th3 tax payer that suffers in this situationAnother thing to consider besides this is if you buy your mums house and she own it. If she has to go into care the house will be classed as her asset and have to be sold to pay for her care home bill. You would have no right to it at all



In a word yes but one in five Right to buy properties in London did this but not with a family member, with a property companies who paid the benefit claimant up to £100k then rented the properties out at about £800 a week. Personally I would rather the mother be able to pass the property on to her kids as a rental but I understand council don't do that anymore in places.
If you gave your mother the money it would be in her name and you can’t sell or give away for a few years, if your mother was to go into a care home the council would make her sell her home to pay for the care home. Unless you lived at the property and you bought it jointly so they have no claim.

something like that anyway, best people to ring are the counci
ok maybe a totally different situation and i know things have changed a lot since the 80's I was living at home at the time and did buy my mothers council house with a mortgage,In those days you did not need a deposit. But the council stated that my mother had to be on the mortgage, so the house was in both names. This was done so that i could not buy the house in my name and then make my mother homeless for the council to re house.Sad world but i expect some children would do that to their parents. Also my mother was not on benefits. Best to ask the council for the current conditions on buying
The only way you may be able to do it is if you get joint tenancy of the house but you would need to live there for a long period of time. You may be able to claim you are moving in to be her carer but you would need to live there. Having said that as your being added it would be under any current rules which may not permit right to buy or have restrictions or less generous terms.
4TheMenyNotTheFew3 h, 18 m ago

Well money laundering is just that, you can't done for it you are not …Well money laundering is just that, you can't done for it you are not doing it. The money doesn't need to be in the mom's account it just needs to be transferred to the council's solicitors account. Naturally once she owns the house some of her benefits must stop.Pretty sure if the go to their bank or bs they'll tell them how to do it. But sure they may be flying close to the wind on council regs if not political views.


Google the proceeds of crimes act, if you don't think you can get done for money laundering even if you're confident that you're not actually doing anything wrong.
Edited by: "Dyslexic_Dog" 12th Jul
Dyslexic_Dog16 m ago

Google the proceeds of crimes act, if you don't think you can get done for …Google the proceeds of crimes act, if you don't think you can get done for money laundering even if you're confident that you're not actually doing anything wrong.



So first step, the mother comes off benefits, although I'm sure that may not be needed it removes those fears. She then applies under the Right to buy. In time she'll need to transfer money on the completion of the sale. It's got nothing at all to do with council where she gets the money from, it could be her own money, it could be a mortgage or someone else could be paying for it. it's certainly not against the law for a child to give their mother money. She now owns the house and her kids move in with her.

Tell me what law has been broken, tell me why that is money laundering.
4TheMenyNotTheFew33 m ago

So first step, the mother comes off benefits, although I'm sure that may …So first step, the mother comes off benefits, although I'm sure that may not be needed it removes those fears. She then applies under the Right to buy. In time she'll need to transfer money on the completion of the sale. It's got nothing at all to do with council where she gets the money from, it could be her own money, it could be a mortgage or someone else could be paying for it. it's certainly not against the law for a child to give their mother money. She now owns the house and her kids move in with her.Tell me what law has been broken, tell me why that is money laundering.


If the child provided money and the tenancy wasn’t in joint names. Then the money would need to be gifted to the mum and there are annual limits on the amount that can be gifted to a person, therefore she would pay capital gains tax on that gift and lose her benefits for a period of time up to the end of the tax year as in theory she would have earnings that exceeded the amount in that tax year that she could be eligible for to claim benefits. If the money was still in her account at the end of the tax year she would be ineligible for benefits again until it’s spent.

Best way is to get joint tenancy although she would lose housing benefit most likely or receive reduced rate until the property is purchased at which point she wouldn’t be entitled to it anymore.
Edited by: "cmdr_elito" 12th Jul
4TheMenyNotTheFew46 m ago

So first step, the mother comes off benefits, although I'm sure that may …So first step, the mother comes off benefits, although I'm sure that may not be needed it removes those fears. She then applies under the Right to buy. In time she'll need to transfer money on the completion of the sale. It's got nothing at all to do with council where she gets the money from, it could be her own money, it could be a mortgage or someone else could be paying for it. it's certainly not against the law for a child to give their mother money. She now owns the house and her kids move in with her.Tell me what law has been broken, tell me why that is money laundering.


In guessing you didn't google the poca then?
4TheMenyNotTheFew3 h, 32 m ago

So first step, the mother comes off benefits, although I'm sure that may …So first step, the mother comes off benefits, although I'm sure that may not be needed it removes those fears. She then applies under the Right to buy. In time she'll need to transfer money on the completion of the sale. It's got nothing at all to do with council where she gets the money from, it could be her own money, it could be a mortgage or someone else could be paying for it. it's certainly not against the law for a child to give their mother money. She now owns the house and her kids move in with her.Tell me what law has been broken, tell me why that is money laundering.


Tax evasion as you can only gift £3k per year. Unless you pay tax on it.

If she had had savings over £16k she should not have been claiming housing benefit.

Also it would be a struggle to get a mortgage for £25k with no job.
Edited by: "Wadda" 13th Jul
kriston21 h, 20 m ago

ive had to work 13 hr shifts 6 days a week to save this up my hubby works …ive had to work 13 hr shifts 6 days a week to save this up my hubby works 6 days a week. also my dad and grandad just passed away and i was left money and want to put it to good use. id like my little boy to be set up if anything wad to happene to me. i font want him paying dead end rent money like i have done.


Ignore some of the idiots on here, a fair few haven't got a clue half the time what they are jibbering about.

Everyone thinks they are an expert!

Speak to a conveyancing solicitor, you can normally get a quick chat with no costs involved who will give you idea on what you can and cant do.

Also if you have been in property for a vast amount of time you also fall under different rules when it comes to Right to Buy, you get an added bonus in that your discount and calculation being is on different terms to the current scheme.

Also don't worry about Money Laundering and Tax Evasion (pmsl) you are perfectly fine being it is your Parent and you have lived in that property for your entire life. Unless of course, you happened to have sold loads of illegal drugs, used that cash to buy a car and then sold that car for £26k!

Here is a link that will help but get some proper advice, ignore some of the morons. You can look to purchase as Joint tenant with your Mam, under Tenants in Common, the only thing you have to consider in this instance is Stamp Duty, as you may more than likely be hit with Duty to pay on your own future property as you no longer qualify for FTB rates. You can also gift your mam the money, it wont affect her benefits as its being used in full against cost of property, bear in mind That any future tax is only valid if you die within 7 years. You also have Trust options available.

Take look and give them a ring righttobuy.gov.uk/am-…le/

And obviously your mam will lose entitlements to Housing Benefit, for starters she owns her home and now pays now rent. But if you still have a repayment to make on a mortgage and require financial assistance that scheme is now over and you are required to purchase an expensive loan from the government which can be quite costly.

All in all, give a couple of solicitors a ring, but speak to the helpline first as they are quite knowledgeable. But don't fret its easy to do.
MissGoldie21 h, 39 m ago

It cannot be done. First thing they'll check your mother's savings and …It cannot be done. First thing they'll check your mother's savings and even if you deposit a sum in her account they will smell a rat. The savings have to go back many years. Get past this, they'll investigate next of kin in case they being coerced.


Stop posting such unsubstantiated rubbish.

We have done it and pretty sure plenty of others have done so aswell. No men in black suits came to our door to arrest us. The options are there, why wouldn't you want to especially if your family member had been in there for over 30 years and were to old to buy it themselves, especially the memories that such a place holds.
charleaward811 h, 28 m ago

Stop posting such unsubstantiated rubbish. We have done it and pretty sure …Stop posting such unsubstantiated rubbish. We have done it and pretty sure plenty of others have done so aswell. No men in black suits came to our door to arrest us. The options are there, why wouldn't you want to especially if your family member had been in there for over 30 years and were to old to buy it themselves, especially the memories that such a place holds.



The gift of £30k would have to be declared as income for the tax year for it to be a legitimate gift and to avoid benefit fraud as any change of circumstance must be reported! This would remove the right to benefits as its over the £16k savings threshold. No matter what it’s spent on! The original poster does not live in the property. So has no right to buy it personally, her mother does have the right to buy. If the original poster did live in the house and was working full time the mother would have no right to housing benefit. Due to household income level.

Also putting a house in trust to avoid a care home bill does not work. The local authoritie will fight it tooth and nail to win the cost of care fees.

Over the past few years the government has made it more expensive to become a landlord with increased legislation, second property stamp duty and reduction of tax relief on mortgage interest.
Edited by: "Wadda" 13th Jul
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