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own/mortgaged property but living with parents
Hi
I know this has been covered before but cannot for the life of me find it.
So client has a property with mortgage that he was living in. Has been staying with parents because of cancer treatment and we are looking at options.
One option is that he rents out the property for a year. Would I be correct in saying that it would not be counted as capital but the rent (minus mortgage costs) would count as income for UC purposes.
Can someone just confirm this for me.
UC will look at the value of the 2nd property if he isnt living there - so market value less 10% less any mo/s mortgage.
If he is temporarily away from home and intends to go back, then its not a 2nd property (and so not capital) but i think he’s need to go back within 6 months.
I dont think renting a property out automatically precludes it from being treated as capital ( it did in certain specific circumstances for HB but dont think UC have the same disregard) s